Thousands to be Out of Work Next Week as 10,000 Jobs Program Ends

The 10,000 Jobs Program will be shutting down next week, if Congress does not act to reauthorize the federal stimulus program that made it possible.  An estimated 7000 people will lose their jobs as a result.

“This program was made possible by economic stimulus dollars and has created jobs for thousands of people, helped businesses and non-profit organizations and actually reduced both the State and the Federal government’s costs to provide welfare benefits.  It would be a tragedy if Congress let this program come to an end,” said Supervisor Don Knabe.

The Economic Recovery Act created a $5 billion Temporary Assistance for Needy Families (TANF) Emergency Contingency Fund (ECF).  A provision in the Fund made it possible to utilize it for subsidized employment.

This enabled Los Angeles County to create the 10,000 Jobs Program, which resulted in nearly 27,000 subsidized jobs for 10,500 adults and another 16,500 disadvantaged youth.

These subsidized jobs have helped private businesses and non-profit organizations in the middle of a deep recession.  Nearly three-fourths of all subsidized employment placements have been with the private sector employers.

Absent action from Congress next week, TANF ECF will expire on September 30, 2010, resulting in the loss of jobs and income for 7,000 adults in Los Angeles County.

“If Congress were to reauthorize this for another year, we could keep these folks working, and employ more, and we could save taxpayers money,” said Knabe. “But they need to act now.”