by Chriss Street
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But looking behind Barack the Great’s smoke and mirrors reveals that the President’s highly controversial July suspension of the “workfare” requirements that welfare recipients must actually do real work to be counted as employed seems to have dramatically reduced the U.S. Labor Department’s unemployment rate.
The
Bureau of Labor Statistics publishes two monthly surveys that measure
employment levels and trends: the Current Population Survey (CPS), also known
as the “household survey”, and the Current Employment Statistics (CES) survey,
also known as the “payroll survey”.
With most economists estimating the current U.S. economic growth at an
anemic 1.5%, it seemed ludicrous that the Obama Administration could report a
monthly gain of 873,000 jobs in the household survey, just short of the
all-time record 900,000 jobs gain in June of 1983, when under President Ronald
Reagan the economy was growing 6 times faster at 9.3%. In fact, the same household survey report showed a recessionary slide of 195,000 jobs in
July and another 119,000 decline in August. Adding to the suspicions regarding the
credibility of the household survey, the more reliable “payroll survey” that
tracks the rate of jobs growth through IRS withholding data was
unchanged from last month.
After
the report, the internet “blew-up” with conspiracy theories that the employment
numbers must have been consciously manipulated by the U.S. Labor Department to
help the President’s reelection odds.
Even the highly-respected former CEO of General Electric, Jack Welch, tweeted: “Unbelievable jobs numbers..these Chicago
guys will do anything..can’t debate so change the numbers.”
Like
all spell-binding illusions, the real set-up for this phenomenally great
employment report was engineered back on July 12, 2012, when the Obama
Administration announced an Executive Order that eliminated President Bill Clinton’s highly-praised workfare reform that
required welfare beneficiaries to get real job in order to continue to receive
payments. According to former Clinton Advisor Dick Morris, in 1996
Senate Republican Majority Leader Trent Lott stated: “I don’t want anyone
going to a truck drivers’ school that advertises on a matchbook cover and
avoiding work.” The
Republicans included 42 U.S.C. § 615(a)(2)(B) in the Temporary Assistance for Needy Families (TANF) reform
legislation to make sure every states’ welfare recipients were required to work
in a real job and also inserted section 607 to prevent future secretaries of
Health & Human Services (HHS) from waiving the real workfare requirement.
With
1.4 million of the two million families receiving TANF payments not actually in
real jobs, Obama took heat for changing the work rules. The Heritage Foundation warned:
“in the past,
state bureaucrats have attempted to define activities such as hula dancing, attending Weight Watchers, and bed
rest as ‘work.’ These dodges were blocked by the federal work standards. Now
that the Obama administration has abolished those standards, we can
expect ‘work’ in the TANF [welfare] program to mean anything but work.”
Presidential candidate Mitt Romney, a former governor, howled
“the
linkage of work and welfare is essential to prevent welfare from becoming a way
of life.” Republican Congressional leaders screamed the waiver was a “blatant
violation of the law” by allowing states to substitute “vocational
educational training or job search/readiness programs” to “count
as well” in meeting the work requirements.
But
as the heat dissipated and the campaign news cycle moved on, President Houdini
was positioned to triumph. No one knows
just how many of the up to 1.4 million TANF welfare recipients have now been
re-designated by the states government as “employed”, but isn’t it just magical
how 873,000 people started working last month.
Is Barack Obama really the new Ronald Reagan?
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