Snap Fact #241 - President Obama has fought for American Jobs Creation, While Governor Romney Pioneered Job Outsourcing!

Post date: Jul 10, 2012 3:15:57 AM

Snap Fact #241

President Obama has fought for American Jobs Creation, While Governor Romney Pioneered Job Outsourcing!


The Act would temporarily eliminate employer payroll taxes on wages for new workers or raises for existing workers: with a full holiday on the 6.2% payroll tax firms pay for any growth in their payroll up to $50 million above the prior year, whether driven by new hires, increased wages or both. This is the kind of job creation measure that CBO has called the most effective of all tax cuts in supporting employment. 

The act would also extend 100 % Expensing into 2012: the largest temporary investment incentive in history, allowing all firms—large and small—to take an immediate deduction on investments in new plants and equipment. Provisions in the Act would help entrepreneurs and small businesses access Capital and grow: thru administrative, regulatory and legislative measures—including those developed and recommended by the President's Jobs Council—to help small firms start and expand. This includes changing the way the government does business with small firms. 

Other provisions of the American jobs Act would include investing $35 billion to help states and localities avoid and reverse layoffs of up to 280,000 teachers, while supporting the hiring of tens of thousands more and keeping cops and firefighters on the job. 

Under the President's proposal, $30 billion will be directed towards educators and $5 billion would support the hiring and retention of public safety and first responder personnel. The Act would cover modernization of over 35,000 Schools -- from Science Labs and Internet-Ready Classrooms to renovated facilities, including rural schools, Bureau of Indian Education funded schools, and community colleges. 

President's plan includes $50 billion in immediate investments for highways, transit, rail and aviation, helping to modernize an infrastructure that now receives a grade of "D" from the American Society of Civil Engineers and putting hundreds of thousands of construction workers back on the job. The President's plan includes investments to improve our airports. The President is calling for Congress to pass a National Infrastructure Bank capitalized with $10 billion, in order to leverage private and public capital and to invest in a broad range of infrastructure projects of national and regional significance, without earmarks or traditional political influence. 

Additionally thru Project Rebuild, a $15 billion effort will put people back to work rehabilitating homes, refurbishing hundreds of thousands of vacant and foreclosed homes and businesses, thus stabilizing neighborhoods and communities. 

Project Rebuild will bring in expertise and capital from the private sector, focus on commercial and residential property improvements, and expand innovative property solutions like land banks. This approach will not only create construction jobs but will help reduce blight and crime and stabilize housing prices in areas hardest hit by the housing crisis. 

The American Jobs Act would also expand access to High-Speed Wireless in a fiscally responsible Way. The President is calling for a deficit reducing plan to deploy high-speed wireless services to at least 98 percent of Americans, including those in more remote rural communities, while freeing up spectrum through incentive auctions, spurring innovation, and creating a nationwide, interoperable wireless network for public safety. 

Under the American Jobs Act, the payroll tax cut would be expanded, cutting workers payroll taxes in half next year. This provision will provide a tax cut of $1,500 to the typical family earning $50,000 a year. 

Another provision of the American Jobs Act would help more Americans refinance mortgages at today's historically low interest rates: The President has instructed his economic team to work with Fannie Mae and Freddie Mac, their regulator the FHFA, major lenders and industry leaders to remove the barriers that exist in the current refinancing program (HARP) to help more borrowers benefit from today's historically low interest rates. This has the potential to not only help these borrowers, but their communities and the American taxpayer, by keeping borrowers in their homes and reducing risk to Fannie Mae and Freddie Mac. 

So far Congress has taken no action on the President's innovative plan although the President of the United States keeps urging them to do so at every opportunity. His plan will boost the economy, create jobs, and give Americans mortgage relief yet his pleas fall upon deaf ears and obstructive minds.

This past February Obama delivered a $3.8-trillion budget plan to Congress that focuses less on deficit reduction and more on job creation. Obama's budget projects a $1.3-trillion deficit in fiscal year 2012 and $901 billion in 2013. Obama sent the document to Capitol Hill along with a message about pushing the economic recovery now and worrying more about deficit reduction down the road.

A central and controversial feature of the 2013 budget is a proposal to ask the wealthy to shoulder more of the burden of paying down the deficit. The 2013 budget counts $1.5 trillion in increased taxes, including the expiration of the George W. Bush-era tax cuts for top earners, increased estate taxes and higher rates on investment income. The budget calls for new investment in highway and bridge construction, school improvement, student aid, manufacturing and research. The budget proposes $4 trillion in deficit reductions over the coming 10 years, thanks to trims on government spending and increases in taxes on the wealthy. The budget would cut spending by $2.50 for every dollar it raises in taxes.

President Obama inherited an economy in free fall, with huge deficits, skyrocketing health care costs, dwindling employment, and banking and housing markets on the brink of collapse. 

From the very dawn of his Presidency, he has focused on job creation. In February 2009, President Obama signed an economic stimulus law signed, which is still having a positive impact on the economy and job creation almost 3 years later, according to the non-partisan Congressional Budget Office. In its August 2011 quarterly report, the agency said the law's combination of aid to states and localities, public works projects, tax cuts, and other spending increased the number of people with jobs by 1 million to 2.9 million from April to June. 

Still in the first year of his first term, in December 2009, President Obama outlined a response to the nation's intensifying job crisis that encourages businesses to hire new workers by easing the flow of credit and implementing a series of tax cuts, but leaves important details -- including the cost of the plan -- to be hashed out by Congress. 

Obama's job-creation ideas build largely on elements of the $787 billion economic stimulus package passed that year, including tax cuts for small businesses, incentives to hire new workers and a fresh round of infrastructure spending. The president also recommended that Congress pass a "cash for caulkers" plan that would offer financial incentives for home weatherization. Senior administration officials said the program, based on the popular "cash for clunkers" automobile rebate program, would leverage hiring in construction and manufacturing -- sectors especially hard hit by the recession -- while promoting energy efficiency, resulting in long-term savings for homeowners.

Obama, also called on Congress to extend unemployment insurance, provide emergency aid to cash-starved states and cities, give aid to senior citizens, and assist with health-care help for the jobless. The President called this aid package “essential” as his administration grappled with ways to reduce the nation's highest unemployment rate in more than a quarter-century. 

Obama sketched his jobs plan while emphasizing that he is also concerned about reducing the nation's debt. With Wall Street firms repaying federal bailout money faster than anticipated, administration officials have concluded that the Troubled Asset Relief Program should cost the government $200 billion less than expected. Obama said the government could use that money to pay for elements of his jobs initiative and to lower the deficit. 

Working with the President, Democrats stabilized the financial system and helped to prevent a second Great Depression. An economy that was losing 700,000 jobs a month is now gaining jobs. 4.3 million private sector jobs have been created in 27 months of consecutive job growth. 495,000 manufacturing jobs have been created since 2010, and more than 1 million jobs were saved due to the President's rescue of the auto industry. 

Some of the specifics on only the auto bailout alone are; more than 310,000 jobs were saved in 2010, and nearly $97 billion in personal income losses prevented, more than 230,000 jobs added since June 2009—the most growth in a decade. The Industry expects to add 167,000 jobs by 2015. All Big Three automakers—GM, Chrysler, and Ford—are profitable for the first time in seven years. And they’ve paid back all outstanding loans to the Federal Government. GM and Chrysler sold 3.8 million vehicles in the U.S. in 2011—up 14 and 26 percent respectively from 2010, and GM is back on top as the world’s number one automaker.

President Obama provided tax incentives and made investments in clean energy technologies such as wind turbines and advanced car batteries to grow high-technology U.S. manufacturing capacity and supply clean energy projects with American-made parts and equipment. 

President Obama launched the Advanced Manufacturing Partnership, a national effort to invest in technologies that will create high-quality manufacturing jobs and enhance America’s global competitiveness. Additionally, President Obama signed the America Invents Act, historic patent reform legislation that will help American entrepreneurs bring inventions to market sooner, helping to create new businesses and new jobs.

President Obama has promised to do more to help put America back to work. To create more jobs, the President unveiled the American Jobs Act in September 2011 – nearly all of which is made up of ideas that have been supported by both Democrats and Republicans in the recent past. The President asked that Congress pass this act quickly to get the economy moving. The purpose of the American Jobs Act is simple: put more people back to work and put more money in the pockets of working Americans – without adding a dime to the deficit. The President's detailed deficit reduction plan will pay for every penny of the American Jobs Act and include the additional deficit reduction sufficient to stabilize our debt as a share of the economy. He also called on the Joint Committee to come up with the additional deficit reduction necessary to pay for the American Jobs Act and still meet their deficit target.

The American Jobs Act would include tax cut incentives to help small business hire and grow, tax credit and career readiness efforts to support Veterans' hiring, cutting the Payroll Tax in half for the first $5 Million in wages: This provision would cut the payroll tax in half to 3.1% for employers on the first $5 million in wages, providing broad tax relief to all businesses but targeting it to the 98 percent of firms with wages below this level.