Jobs Are The Issue

By Marc Morial

President of the National Urban League

With an economy that is still treading water, job creation should be the number one priority for elected officials in Washington.

Numerous reports indicate that corporate profits have made a comeback, but the trickle down onto Main Street remains strikingly elusive.  The Dow has soared to new heights as we’ve witnessed an extended case of suspended animation in the broader recovery, which remains stuck in neutral largely because of political gridlock in Washington.

Black unemployment remains 12.7%, which is still twice the unemployment rate among white workers — a gap that has not changed since the recovery began four years ago.  The current policy of austerity reflected in the sequester and reduction in federal government spending are restraining growth, blocking job creation and exacerbating inequality as the income gap widens between the top 1% and the middle class.

Going forward, uncertainty about a possible second shutdown in January and debt default in mid-February 2014 may restrain holiday consumer spending and business investment in inventory, which would further reduce GDP growth and contribute to a rise in unemployment.

As work continues towards creating a responsible budget, nothing should be done to negatively impact an already rocky recovery – and that includes enacting any irresponsible, ideological-based budget-slashing measures.  It’s time for the folks in the Beltway to get back in touch with the needs of the American people, and right now, Americans need jobs.

Marc Morial is the President of the National Urban League