The Labor Department’s State Employment and Unemployment report confirms that GOP governors who answered House Republicans’ call to end unemployment bonuses that paid many jobless more to stay home than to work are seeing greater job gains in their states.

Ways and Means Republican Leader Rep. Kevin Brady (R-TX) issued the following statement:

“As Republicans predicted, new unemployment reports show that states ending President Biden’s anti-work unemployment bonuses have stronger job growth than states that continue them. Republican governors deserve credit for the improved July jobs report. 

“Given that Main Street businesses, manufacturers, and health care groups are still struggling to find workers, the Biden Administration’s insistence on extending these Covid temporary bonuses beyond its expiration date of September 6 is economically reckless.

“Doesn’t President Biden understand that paying people more to stay home than work is slowing the recovery, killing small businesses, and spurring higher inflation?”

Background:

On August 19, Treasury Secretary Yellen and Labor Secretary Walsh wrote the House Committee on Ways and Means and the Senate Committee on Finance declaring that states can use $350 billion of pandemic funds that Congress allocated in the American Rescue Plan to continue paying income support to unemployed workers. Federal unemployment benefits were supposed to expire by March, but were extended as part of President Biden’s so-called stimulus bill to lapse in early September.