- Posted byon January 11, 2012 at 4:21 PM EDT
What is insourcing?
After decades of watching American companies take jobs to other countries, we're beginning to see entrepreneurs and manufactures make the decision to keep factories and production facilities here in the United States—or even bring jobs back to the U.S. from overseas.
How do we know this is happening?
For the past 22 months, the private sector has been hiring—to the tune of 3.2 million jobs. In 2011 alone, we saw private companies bring on almost 2 million new workers, more than in any year since 2005.
That's good news, even if we still have a lot of ground to make up. And if you dive into the numbers (like those compiled in this new White House report), you'll notice something interesting:
- Business investment is up, growing by 18 percent since the end of 2009;
- We're exporting more goods and services to the rest of the world. As of October, American exports totaled $2 trillion -- an increase of almost 32 percent above the level in 2009; and
- Perhaps most importantly, the manufacturing sector is recovering faster than the rest of the economy. Through the course of the past two years, the economy has added 334,000 manufacturing job, and that's the strongest two-year period of manufacturing growth since the 1990s.
Each of those facts is evidence of a growing trend of insourcing.
- Posted byon January 10, 2012 at 1:10 PM EDT
As America’s heroes return from war zones and transition back into civilian life, many are facing challenges finding work. Last month, more than over 857,000 veterans were unemployed, and the jobless rate for post-9/11 veterans is 13.1 percent.
As President Obama said, “We ask these men and women to leave their careers, leave their families, risk their lives to fight for our country. The last thing they should have to do is fight for a job when they come home.”
Recognizing the unique skills and leadership abilities of America’s veterans, the Corporation for National and Community Service is joining forces to recruit more veterans to serve in AmeriCorps. Using the skills they honed overseas, veterans are continuing to serve on the home front through AmeriCorps - responding to disasters, building homes, mentoring at-risk youth, and supporting other veterans and their families.
As part of that commitment, we are excited to kick off our participation in 100 Hiring Our Heroes job fairs over the next five years. The first fair, focused on military and veteran spouses, will take place this Friday, January 13 in Washington D.C. We will have information about opportunities to serve in AmeriCorps and other CNCS programs. We are pleased to work with Joining Forces, the Chamber Foundation, DOL Vets, and other organizations in supporting these career fairs and look forward to sharing our message that AmeriCorps is recruiting our nation’s heroes now.
More than 16,000 veterans have served in AmeriCorps since its inception AmeriCorps helps put veterans on a pathway to economic opportunity as they assist others in the military community—and, in doing so, find strength in making an impact on problems here at home.
- Posted byon January 10, 2012 at 12:00 PM EDT
Secretary of Transportation Ray LaHood was in Detroit on Monday, kicking off the opening of the North American International Auto Show and highlighting the resurgence of the American auto industry. Since Chrysler and GM emerged from bankruptcy in June of 2009, the auto industry has added 170,000 jobs—the best period of job growth for the industry in more than a decade.
When President Obama took office, the American auto industry was shedding jobs by the hundreds of thousands and GM and Chrysler faced the possibility of liquidation – which would have caused at least 1 million more jobs to be lost. The President made the tough choice to help provide the auto industry the temporary support it needed to grow and prosper.
Today, GM and Chrysler have repaid their government loans, and the “Big Three” automakers-- GM, Ford, and Chrysler-- are all adding jobs, generating profit, and investing in their U.S. facilities. Auto sales climbed in December for the seventh consecutive month and GM, Chrysler, and Ford saw their market share increase to over 47 percent in 2011, the second straight year that Detroit gained market share against their foreign competitors, something that had not previously happened since 1995.
This industry and our economy have a long way yet to go to repair the damage from this recession and return to full health. But the distance these companies and the auto industry have traveled over the past two years is a bright spot on the road to recovery.
- Posted byon January 10, 2012 at 7:00 AM EDT
Yesterday, the North American International Auto Show kicked off in Detroit, with companies unveiling their new vehicles and folks eager to get their first peek. Transportation Secretary Ray LaHood was on hand for the opening events, and Commerce Secretary John Bryson, Energy Secretary Steven Chu, EPA Administrator Lisa Jackson, and the Labor Department’s Director Office of Recovery for Auto Communities and Workers Jay Williams are all taking part in auto show activities this week.
The auto industry had a strong year in 2011. It’s easy to forget, but just a few years ago many people doubted whether there would even be an American auto industry in 2011.
When President Obama took office, we faced the worst recession since the Great Depression, and the American auto industry was hit hard. Hundreds of thousands of jobs were lost in the auto industry, and entire communities that depended on a dealership or a parts manufacturer were affected.
Both GM and Chrysler faced the stark choice of seeking government support or facing almost certain uncontrolled liquidations, which would have had a ripple effect across the industry, causing at least one million more jobs to be lost. The President refused to let that happen.
In the face of stiff opposition, the President made a tough choice to help provide the auto industry the temporary support it needed to rebuild their companies and get moving again. This was a difficult decision, and came with significant risk. But the President was not willing to walk away from these workers and this great American industry.
Today, the American auto industry is coming back, creating jobs and moving cars off the line. Last month, the automotive industry added nearly 11,000 positions, bringing the total number of jobs added in the fourth quarter of 2011 to 36,000. The industry added 100,000 jobs over the course of 2011.
Since Chrysler and GM emerged from bankruptcy in June of 2009, the auto industry has added back more than 170,000 jobs, the best period of job growth in more than a decade. While there’s more work to be done, it’s clear the auto industry is moving in the right direction.
In December, we saw auto sales climb for the seventh consecutive month. The Big Three -- Ford, GM and Chrysler -- all saw sale increases for December, and the year as a whole.
In addition, because of the President’s leadership, we have put in place historic higher fuel economy standards, which will save Americans $1.7 trillion in fuel costs and reduce oil consumption by 12 billion barrels. That means families will begin saving money at the pump this year.
But there’s a lot more work to do to get the American people back to work. The President will continue to fight to restore the economic security for the communities that were hit just a few years back, to strengthen the middle class and rebuild an economy where hard work pays off and responsibility is rewarded.
Folks in Detroit and in auto communities across the country know what it takes to get the job done. They know a little something about hard work. They know what it takes to fight to rebuild their community and we’ll continue to stand right by their side every step of the way.
- Posted byon January 6, 2012 at 11:36 AM EDT
Today’s employment report provides further evidence that the economy is continuing to heal from the worst economic downturn since the Great Depression. It is critical that we continue the economic policies that are helping us to dig our way out of the deep hole that was caused by the recession that began at the end of 2007. Most importantly, we need to extend the payroll tax cut and continue to provide emergency unemployment benefits through the end of this year, and take other steps the President has proposed in the American Jobs Act.
Private sector payrolls increased by 212,000 jobs and overall payroll employment rose by 200,000 jobs in December. The unemployment rate fell 0.2 percentage point to 8.5 percent, the lowest level since February 2009. The drop in unemployment over the month was mostly due to employment growth, not lower labor force participation. The unemployment rate has fallen by 0.9 percentage point in the last 12 months. Despite adverse shocks that have created headwinds for economic growth, the economy has added private sector jobs for 22 straight months, for a total of 3.2 million payroll jobs over that period. In the last 12 months, 1.9 million private sector jobs were added on net, more than in any year since 2005. Nonetheless, we need faster growth to put even more Americans back to work.
Sectors with net job increases in December included transportation and warehousing (+50,200), health care and social assistance (+28,700), retail trade (+27,900), manufacturing (+23,000), leisure and hospitality (+21,000), and construction (+17,000). Local governments lost 14,000 jobs and state government employment was unchanged.
The monthly employment and unemployment numbers are volatile and employment estimates can be subject to substantial revision. Therefore, as the Administration always stresses, it is important not to read too much into any one monthly report.
- Posted byon January 6, 2012 at 11:00 AM EDT
[Ed. Note: Watch Secretary of Commerce John Bryson unveil the report details live today from 10 am - noon]
Today, the Commerce Department and the White House sent to Congress the Administration’s plan on The Competitiveness and Innovative Capacity of the United States, fulfilling an important requirement under the America COMPETES Reauthorization Act of 2010 which President Obama signed into law one year ago this month.
As the report emphasizes, innovation has been a key driver of U.S. prosperity and competitiveness throughout our history. Government investments in the building blocks of innovation – basic research, education, and infrastructure – have helped fuel and sustain the ingenuity of the inventors and innovators. Innovation-based economic growth has brought us higher paying, higher quality jobs as well as improved health and quality of life. Federally-supported research has led to world-changing advancements in a variety of fields, including laying the groundwork for the integrated circuit and computer industry; the Internet; advances in chemicals, agriculture, and medical science; and GPS. Millions of workers can trace their industries and companies back to technological breakthroughs funded by the Federal government.
In the 20th century, our schools turned out high school and college graduates at a higher rate than anywhere else in the world, creating a highly-skilled workforce and boosting innovation. And Federal infrastructure investments helped electrify the country, make clean water widely available, make air travel more affordable, and construct an interstate highway system. These developments helped businesses compete by opening up new markets to sell their products and services, while keeping costs low.
- Posted byon January 6, 2012 at 10:56 AM EDT
In December, the Obama Administration announced the Startup America Policy Challenge to identify high-impact ideas to support entrepreneurship in areas of national interest: education, energy, and health care.
To kick off the challenge, Secretary Arne Duncan (Department of Education), Secretary Steven Chu (Department of Energy), and Secretary Kathleen Sebelius (Department of Health and Human Services) each asked the American public for ideas about how the U.S. government can break down barriers to entrepreneurship and enable the use of clean energy, digital learning, and health information technologies.
On Quora, a public question and answer website, I asked the America people to respond to these specific questions:
- In the U.S. education system, what can the government do to best enable the use of new learning technologies?
- In the U.S. energy system, what can the government do to best enable the use of new clean energy technologies?
- In the U.S. healthcare system, what can the government do to best enable the use of new health information technologies?
The response has been thoughtful, wide ranging, and inspiring.
- On the subject of learning technologies, respondents had ideas to increase the flexibility of existing funds, spread best practices of what works, and improve basic infrastructure. And a number of respondents provided feedback about reducing bureaucracy and empowering teachers.
- On the subject of clean energy technologies, respondents had ideas on how the US Government could support consumer awareness of clean energy, be an anchor customer, and invest in research and development. Respondents also suggested including negative externality costs into the price of fossil fuels, and were adamant that government not pick a “winning technology.”
- On the subject of health care IT, respondents proposed ideas to promote interoperability standards, ensure a greater focus on the end user experience, share industry best practices, and measure the impact of specific technologies.
This is just a sampling of the great dialogue and answers – please feel free to vote on which ideas resonate with you and/or provide your own feedback. In the White House and in the Agencies, we are reading your responses.
To sharpen the dialogue a bit further and solicit additional input, I posted follow-up questions on Quora about specific barriers that customers face:
- Learning Technologies: Parents and teachers – what’s your biggest barrier to educating your kids that technology could solve? How important is the ability to access your child’s assessment data in electronic form?
- Clean Energy: Building and business owners – what’s your biggest barrier to using clean energy in your building or business? How important is the ability to access your building energy usage data in electronic form?
- Health IT: Doctors and patients – what’s your biggest barrier to using information technology to improve health outcomes? How important is the ability to share or receive your health records data in electronic form?
We look forward to hearing your feedback – so please keep it coming!
Aneesh Chopra is U.S. Chief Technology Officer
- Posted byon January 5, 2012 at 3:21 PM EDT
Ed. note: This is cross-posted from Open for Business, the blog of the U.S. Small Business Administration
The U.S. Small Business Administration yesterday launched a new online tool that helps Native American entrepreneurs prepare for business ownership. The Native American Small Business Primer: Strategies for Success is a free online business course developed for Native American entrepreneurs that gives an overview of basic business principles and of the SBA’s programs and services that help business owners get started.
The new primer is an important tool for American Indians, Alaska Native and Native Hawaiian business owners that can lend in our nation’s overall economic health through business ownership and creating new jobs. Our ultimate goal is to help spur job creation and to stimulate economic and business development in our Native American communities.
The new course is the ideal business development tool for the entrepreneur’s toolbox that emphasizes business planning and market research as essential steps to take before going into business. The course gives useful first steps to take, and includes a section on how to estimate business start-up costs that help assess the financial needs of starting a business.
SBA’s Office of Native American Affairs works to ensure that American Indian, Alaska Natives and Native Hawaiian communities have full access to all SBA programs and services. Each year, more than 200,000 American Indian and Alaska Native and 29,000 Native Hawaiian-owned businesses add billions to the American economy. We stand at the ready to help even more Native American entrepreneurs with business ownership.
- Posted byon January 5, 2012 at 11:41 AM EDT
Your first job brings you more than just a steady paycheck – the experience teaches young people life and work skills that serve them long after the job is done. But as our nation continues to recover the deepest recession since the Great Depression, American youth are struggling to get the work experience they need for jobs of the future.
Today President Obama announced a new initiative, Summer Jobs+, that will make a difference.
“America’s young people face record unemployment, and we need to do everything we can to make sure they’ve got the opportunity to earn the skills and a work ethic that come with a job. It’s important for their future, and for America’s. That’s why I proposed a summer jobs program for youth in the American Jobs Act – a plan that Congress failed to pass. America’s youth can’t wait for Congress to act. This is an all-hands-on-deck moment. That’s why today, we’re launching Summer Jobs+, a joint initiative that challenges business leaders and communities to join my Administration in providing hundreds of thousands of summer jobs for America’s youth,” said President Obama.
Summer Jobs+ is a call to action for businesses, non-profits, and government to work together to provide pathways to employment for low-income and disconnected youth in the summer of 2012. The President proposed $1.5 billion for high-impact summer jobs and year-round employment for low-income youth ages 16-24 in the American Jobs Act as part of the Pathways Back to Work fund. When Congress failed to act, the Federal government and private sector came together to commit to creating nearly 180,000 employment opportunities for low-income youth in the summer of 2012, with a goal of reaching 250,000 employment opportunities by the start of summer, at least 100,000 of which will be placements in paid jobs and internships.
A centerpiece of the program will be the Summer Jobs+ Bank , a one-stop search tool for youth to access postings from participating employers that is targeted to launch in 60 days, which will use the same technology that powers the Veterans Jobs Bank that was launched late last year. Employers who want to offer opportunities to America’s young people can find out more here.
- Posted byon December 29, 2011 at 1:47 PM EDT
More than 1.2 million people “Like” WhiteHouse.gov on Facebook, and one thing we noticed throughout 2011 is that many of you also like sharing your thoughts on the stories and videos we post on our page. Here are the top 10 stories people commented on in 2011:
December 20, 2011: What Does $40 Mean to You? What would you have to give up or go without? Share your story here and add your voice to the debate.
December 10, 2011: "Do Republicans in Congress think our financial crisis was caused by too much oversight of mortgage lenders or debt collectors? Of course not. And every day America has to wait for a new consumer protection watchdog is another day that dishonest businesses can target and take advantage of students, seniors, and service members." - President Obama
October 1, 2011: “These are the people who need a win, and I will be fighting for this jobs bill every day on their behalf. If anyone watching feels the same way, don’t be shy about letting your Congressman know. It is time for the politics to end. Let’s pass this jobs bill." - President Obama
- Posted byon December 23, 2011 at 3:25 PM EDT
Watch President Obama's full remarks here.
President Obama today signed into law a two month extension of the payroll tax cut, which means that 160 million American workers will not see their paychecks shrink starting Jan 1, 2012. The President thanked Congress for ending the stalemate and urged them to keep working to reach an agreement that extends this tax cut as well as unemployment insurance through all of 2012, saying it is the right thing to do for American families and for the economy, and called it "a boost that we very much need right now."
The extension came after tens of thousands of working Americans turned to the internet to let politicians in Washington know just how much they were relying on that tax break, which amounts to about $40 per paycheck for a family making $50,000 a year, and the President acknowledged just how valuable their contributions had been to the conversation happening in the Capital:
Finally, I want to take a moment to thank my fellow Americans for bringing their voices to this debate. I met with several here at the White House yesterday. I really think it takes courage to believe that your voice can make a difference. And I promise you, the American people, your voices made a difference on this debate. Whether you tweeted or called or wrote, you reminded people in this town what this debate and what all of our debates should be about -- it’s about you. It’s about your lives. It’s about your families. You didn’t send us to this town to play partisan games, and to see who’s up and who’s down. You sent us here to serve and make your lives a little bit better; to do what’s right. And fortunately, that’s how this week ended.
The President called on Congress to redouble their efforts to make sure the economy is growing and that jobs are being created, and called this period a make-or-break moment for the middle class in this country..
- Posted byon December 17, 2011 at 7:06 PM EDT
This afternoon, President Obama took a moment to address reporters on the plan from Congress to extend the payroll tax cut. He said:
Today, Congress has finally agreed to extend this middle-class tax cut into next year. And they’ve also agreed to another part of my jobs plan, extending unemployment insurance for millions of Americans who are out there trying as hard as they can to find a job. This is spending money that also benefits families and businesses and the entire economy. And it’s a lifeline that would have been lost for more than two and a half million people in the first two months of next year if Congress had not acted.
So I'm very pleased to see the work that the Senate has done. While this agreement is for two months, it is my expectation -- in fact it would be inexcusable for Congress not to further extend this middle-class tax cut for the rest of the year. It should be a formality. And hopefully it’s done with as little drama as possible when they get back in January.
- Posted byon December 16, 2011 at 4:02 PM EDT
This week, the Department of Transportation continued its TIGER grant program, sending $511 million to 46 transportation projects in 33 states. Already the response has been tremendous.
At City Halls in Philadelphia and Cincinnati, and on the phone with major and local media outlets across the country, folks seem excited about the benefits these projects will provide and the jobs they'll create. I expect even more enthusiasm in Chicago shortly.
In the historic Philadelphia City Hall's Reception Room, I was happy to share with Mayor Michael Nutter and others the news of a $10 million grant for the city's IMPaCT project. This award will help pay for upgrades to 100 traffic lights and connect these controllers to the city’s traffic management system through fiber optic cable. The project includes technology to extend green lights for buses and trolleys when they need more time to get through an intersection. The money will also support upgrades to handicapped ramps and pedestrian countdown signals at crosswalks.
When completed, this $32 million program will improve traffic flow for transit vehicles, synchronize signals to keep motorists moving, and increase safety for pedestrians and people with disabilities. That sounds like a big win for all Philadelphians.
- Posted byon December 15, 2011 at 8:19 PM EDT
To explore two interactive maps that show how investments in our schools will affect each state and district across the country, click here.
A report released today shows that schools across the country are in serious need of repairs and renovations that they simply can’t afford to make. From Rhode Island to Nevada, schools are operating with leaky roofs, broken pipes, and outdated mechanical and electrical systems. Far from being able to provide our students with the skills and training needed for 21st century jobs, some schools are so overdue for renovations and upgrades that they can’t be wired for internet access.
When President Obama proposed the American Jobs Act, he included a $25 billion investment in renovating and modernizing our public schools, and $5 billion to upgrade infrastructure in America’s community colleges. The repairs and construction projects needed would put hundreds of thousands of Americans back to work on a range of projects, from emergency repairs and renovations to energy efficiency upgrades to modernizing and upgrading classrooms, labs, and technology infrastructure.
As today’s report shows, the physical condition of our schools has a real impact on our students.School buildings with poor lighting, ineffective heating and cooling systems, excessive noise, or other deficiencies put students at a disadvantage—simply put, students in poor buildings are more likely to struggle academically. They are more likely to perform poorly on tests, miss days of school, or drop out altogether.
Another crucial piece of President Obama’s plan for our schools is a $30 billion investment to hire and retain teachers. Nearly 250,000 educators lost their jobs between October 2008 and October 2011 as a result of the recession’s effect on state and local budgets, and another 280,000 could be at risk without federal assistance.
America’s education system has always been one of our greatest sources of strength and global economic competitiveness. Our nation cannot expect to train our children for the high-skilled jobs of today, or for the opportunities of the future, without investments in a world-class education system.
To demonstrate the impact of the American Jobs Act’s investment in our schools, the Department of Education also released two interactive maps that show its effects on every state and school district in the country. The maps (and downloadable datasets behind them) are available here.
- Posted byon December 15, 2011 at 7:09 PM EDT
Today, the White House released a new report that shows how extended unemployment insurance benefits have helped, and would continue to help, the economic recovery. The report shows that unemployment insurance must be extended to ensure that millions of Americans are able to make ends meet and care for their families while looking for a job.
The report, prepared by the President’s Council of Economic Advisers, National Economic Council, Domestic Policy Council and the Department of Labor, found that five million workers will lose their benefits over the next year if Congress fails to extend unemployment insurance, including about 1.3 million people whose benefits will expire as soon as January. Additionally, the Council of Economic Advisers estimates that the economy will generate nearly 500,000 fewer jobs through 2014 if federally funded unemployment insurance benefits aren’t extended.
Extending and reforming unemployment insurance, along with extending the payroll tax cut and preventing taxes from going up on 160 million Americans, are critical components of the President’s plan to build a stronger middle class and a brighter future for the American people.
To learn more about how unemployment insurance provides important support for the millions of Americans looking for work and helps them return to work sooner, read the full report here.
- Posted byon December 15, 2011 at 4:15 PM EDT
Four years ago, President Obama spent the day with Pauline Beck, a home health care worker. He followed her throughout her day -- as she got up at 5:00 in the morning to care for an 86-year-old amputee. He saw first-hand the demands of her work.
Their business is a growing industry -- one of the fastest in America. As the population of this country gets older, more Americans are turning to people like Pauline Beck to help make sure they have the care they need. And as the President said this morning, "As the homecare business has changed over the years, the law hasn’t changed to keep up." In the eyes of the law, homecare workers fall into the same category as a teenaged babysitter.
So today, the President did something to help homecare workers like Pauline Beck. He announced his support of a law to extend overtime pay protections and a guaranteed minimum wage to those who do this work:
We are going to make sure that over a million men and women in one of the fastest-growing professions in the country don’t slip through the cracks. We’re going to make sure that companies who do right by their workers aren’t undercut by companies who don’t. We’re going to do what’s fair, and we’re going to do what’s right.
Watch President Obama's full remarks here.
- Posted byon December 15, 2011 at 12:49 PM EDT
Ed. note: This is cross-posted from Work in Progress, the Official Blog of the Department of Labor
In-home care service is a high growth industry, and it’s projected to grow by 50 percent between 2008 and 2018. In-home caregivers are an essential component of the health care system and will only become more important, as an increased number of patients turn to them for more affordable assistance with medical care as well as everyday tasks and household chores.
Many homecare providers earn less than the minimum wage and no overtime for these vital services. In 2007, then-Senator Obama spent a day with professional homecare worker Pauline Beck, assisting with her daily tasks and observing firsthand the unique challenges of in-home care (watch the video). He was impressed by Pauline’s dedication, and determined to assist her and others in her profession.
Today, Pauline joined me and President Obama as he announced a proposal from the U.S. Department of Labor to revise the Fair Labor Standards Act rules that would ensure fair pay for approximately 1.8 million workers who provide in-home care services for the elderly and infirm. This new rule would ensure that these hardworking professionals who provide valuable services to American families would receive the protections of minimum wage and overtime pay that nearly every employee in the United States already receives under the FLSA.
Many of these workers are the primary breadwinners for their families. Of the roughly 2 million workers who will be affected by this rule, more than 92 percent are women, nearly 50 percent are minorities, and nearly 40 percent rely on public benefits such as Medicaid and food stamps. According to the Bureau of Labor Statistics, home health care aides earn about $21,000 a year and many lack health insurance. That is unacceptable.
The proposed regulation would also ensure that employers who have been treating these workers fairly are no longer at a competitive disadvantage. Leveling the playing field for both workers and employers is a fundamental principle of the FLSA.
- Posted byon December 15, 2011 at 10:45 AM EDT
Today Pauline Beck will be at the White House to watch as President Obama announces proposed changes to the Fair Labor Standards Act (FLSA) that will affect home healthcare workers like herself. Today's event has special significance for Pauline, because it was the day then-Senator Obama spent "in her shoes" that informed him of the important work these Americans do and the need to level the playing field so they are fairly compensated for their efforts. Take a minute to watch the video and learn her story.
- Posted byon December 14, 2011 at 10:01 AM EDT
In this new White House White Board, Brian Deese, the Deputy Director of the National Economic Council, explains how President Obama's payroll tax cut helps families, businesses, and the economy -- and why it's so important to extend that tax cut for 2012.
Watch the White House White Board video here.
- Posted byon December 9, 2011 at 3:53 PM EDT
Lately, many Americans have asked me if the payroll tax cut will affect Social Security. The answer is simply no.
The payroll tax cut has given tax breaks to millions of families across the country this year, providing a boost to their pocketbooks. Extending it would ensure that taxes do not go up for nearly 160 million hardworking Americans on January 1st -- an increase of $1,000 for the typical household.
While more money stays in workers’ paychecks, the law specifies that Social Security receive every dollar it would have gotten even without the payroll tax cut. This happens by automatically transferring resources from the government’s general coffers to the Social Security Trust Fund. And indeed, the chief actuary of the Social Security Administration has confirmed that the payroll tax cut would have no impact on the Trust Fund.
The President believes that Social Security is a sacred compact, that in return for a lifetime of hard work, America’s seniors will have a chance to retire with dignity. We have an obligation to keep that promise and safeguard and strengthen Social Security for seniors, people with disabilities and all Americans, both now and in the future.
The President also believes in the need to spur economic growth. The payroll tax cut will generate growth and put people back to work.
Jon Carson is Deputy Assistant to President and Director of the White House Office of Public Engagement