Congress to Debate Renewing CARES Act, Sending Stimulus Checks
On July 2, the Bureau of Labor Statistics reported an 11.1% unemployment rate in the U.S. It was a slight decrease from May, but still paints a grim picture of joblessness in America as the COVID-19 pandemic continues to impact all our lives.
The $2 trillion Coronavirus Aid, Relief, and Economic Security (CARES) Act has been a lifeline for many Americans out of work, but it's set to expire later this month. Now Congress must decide if the act will be extended or another aid package will replace it.
Forbes reports that Republicans are considering a federal bonus for people returning to work. They argue that extending the CARES Act could disincentive work, while the promise of a bonus and a payroll tax cut resulting in more take-home pay would better stimulate economic recovery.
Democrats argue that the Republican proposal would do nothing to help those who are unemployed, and have proposed the Health and Economic Recovery Omnibus Emergency Solutions (HEROES) Act, which would authorize more stimulus payments and increase the amount each family receives. CBS News' Aimee Picchi provides more details in this article.
President Donald Trump has reportedly expressed support for increased payments to Americans, hoping that they'll spend the money and help keep the economy going. However, he's calling for an easier distribution process and incentives for work. He's also thrown his support behind efforts to ensure that businesses reopening are protected from liability lawsuits from employees who contract the novel coronavirus at work.