Executive Council Statement

Unemployment Insurance

Portland, OR

The nation's unemployment insurance system is facing an unprecedented attack, precisely when it needs to be strengthened. In 1975, 75 percent of the unemployed received benefits. Last year, only 30 percent of the unemployed got benefits. Throughout the 1980s, Governors and employers restricted eligibility and built up substantial UI trust funds. Now in states all over the country, they are laying plans to raid their UI trust funds for tax giveaways. The AFL-CIO pledges to resist this anti-worker effort and to expand UI eligibility.

In addition to the threat of trust fund raids, several states are now developing legislative plans to devolve more responsibility for UI financing to the states. These plans would reward states which have already proven hostile to workers and the unemployed. The AFL-CIO will resist these efforts wherever they arise.

Our actions are not just defensive. The AFL-CIO has long stood at the forefront of efforts to extend UI benefits to all workers, regardless of their low wages or irregular work hours. Recent AFL-CIO lawsuits in Illinois and California on behalf of workers with irregular work patterns are part of our long-standing tradition. Republicans in Congress have proposed legislation to reverse our court victory in Illinois. Such efforts to reverse progress are a direct affront to working people. We pledge to move the UI system forward, not just to defend it from sliding back.

Through federal legislative activity, mobilization of state federations, and coalition building, the AFL-CIO will play a pivotal role in rebuilding the nation's unemployment insurance system.