WASHINGTON – Senate Republicans are considering approving a short-term extension of increased federal unemployment benefits, just days before payments are due for millions of Americans.
Senators said Wednesday that talks are in the early stages and that there is no consensus on the size or duration of any extension of benefits. Americans without a job currently receive $ 600 a week in fringe benefits that have served as an affordable livelihood for millions of people who lost their jobs due to the pandemic.
“The discussions come down to both duration and price,” Sen. John Barrasso, Republican of Wyo., The third Republican in the chamber, told reporters on Wednesday.
Prospects for renewing federal unemployment benefits have looked bleak as Republican senators parted ways with the future of the program. To complicate the negotiations, President Donald Trump has pushed through unpopular provisions, such as cutting funds for tests and reducing the payroll tax.
But there may be hope that Republicans will find a temporary patch for the unemployment program, which has supplemented state payments to Americans without jobs.
Senator John Cornyn, R-Texas, said he is open to a short-term extension.
“There is a lot of discussion but there are still no decisions,” he told NBC News.
An extension would allow more time for broader negotiations as Republican party divisions threaten the prospects for another major aid package. Senate Majority Leader Mitch McConnell, R-Kentucky, has downplayed hopes of passing a new bill before August.
The weekly payments of $ 600 were approved in March in the CARES Act and will expire on July 31, but for administrative reasons the states have said that the last payments will come out this weekend if the program is not extended.
Republicans are widely opposed to continuing the $ 600 a week benefit, arguing that the size of the payments removes an incentive to work for many Americans who are now bringing home more money than they earned from their job. However, some senators have said they support a smaller additional payment.
Senator Lindsey Graham, RS.C., a staunch Trump ally, asked to cut the payment to around $ 400 and extend the program until the end of the year.
“I think the federal benefit should continue, but it should be adjusted because it is creating a disincentive to return to work,” said Graham.
Sen. Ron Johnson, R-Wisconsin, said he wants the benefit to be limited so people don’t accumulate more in unemployment than they earned while working.
Johnson asked for a “fairly short” extension, which he said could be renewed again if necessary.
He also said that Congress should “redesign” existing money instead of authorizing new spending. He said the situation has improved since Congress passed the CARES Act in March.
“There is no panic right now,” Johnson said. “We are seeing mortality rates decrease.”
Sen. Rob Portman, R-Ohio, said a provisional bill is better than letting the benefit expire.
“If we can’t do it all by next week, we cannot allow for a precipice in unemployment insurance, given that we still have approximately 11% unemployment and approximately 17 million Americans out of work, some without their own fault” , said.
Senator Mitt Romney, a Republican from Utah, said he opposes another round of direct stimulus payments to people, but is open to continued benefits for the jobless.
“A check to people right now who are unemployed through our unemployment system, that makes sense to extend that,” he said.
Senator Ron Wyden, D-Ore., The highest-ranking member of the Finance Committee, weighed in on the Republican Party’s handling of the issue and urged them to approve the Democrats’ plan to extend the $ 600 benefit, linked to economic conditions.
“Republicans have had months to come up with a plan to extend supercharged unemployment benefits, and they still have nothing to offer,” he said. “Republicans have not reached out to Democrats and are simply trying to deflect blame.”
