Washington, DC (September 4, 2020) — Today, the U.S. Department of Labor released its monthly jobs report.
“In August, the unemployment rate fell to 8.4 percent and 1.4 million Americans regained their jobs. Last week, the number of first-time unemployment claims fell to its lowest level since mid-March. One of the reasons for this turnaround is stopping the $600 weekly unemployment benefits, which brought many Americans back into the workforce. JCN supported letting those benefits expire over Democratic opposition. There’s more good news, with the Trump administration and Speaker Pelosi reportedly coming to an informal deal to avert a government shutdown. To build on this momentum, governors and mayors need to lift draconian restrictions so more businesses and schools can safely reopen. We need those politicians to start listening to the health experts who say Americans can safely reengage with society. Additionally, we need Congress to fix a ‘tax glitch’ with the Paycheck Protection Program. While PPP funds are nontaxable, the IRS says their use on business expenses cannot be deducted from tax returns. This means small businesses will owe roughly $120 billion in PPP taxes. The next stimulus bill must include PPP tax forgiveness. If Congress is unwilling to act, President Trump should issue an executive order clarifying that these funds are tax-free. The PPP is a bipartisan success story – saving 51 million jobs – and we must do everything we can to keep it successful.”