New Ore. jobless relief called 'better than nothing'

The front door of a Worksource Oregon Employment center
The front door of a Worksource Oregon Employment center, where about 18,000 Oregonians whose benefits have run out or soon will may soon be able to get a further extension on unemployment insurance benefits. Photo courtesy Rick Bowmer, AP

PORTLAND, Ore. (AP) – James Butler's mornings almost always start here, scanning the new job listings at an Oregon Employment Department center in North Portland.

Looking for work, Butler says, is a full-time job.

With Oregon's unemployment rate stalled at a grim 11 percent, job hunters like Butler are finding little relief. Lawmakers say a priority of the special February legislative session is extending unemployment insurance coverage for about 18,000 Oregonians whose benefits have run out or soon will expire after two years.

However, the help will be brief.

In coming months, thousands of Oregonians will see their final jobless benefits dry up, with no further emergency extentions in sight.

By April, about 1,000 Oregonians will exhaust their unemployment benefits each week.

"We'll do everything we can to help them," said Tom Fuller, spokesman for the Oregon Employment Department. "But it will be help with job hunting or connecting to community resources."

Bills to funnel $19 million into benefit extensions got unanimous approval in both chambers of the Legislature last week, and final approval is expected shortly. Officials hope the emergency measure will bridge long-term job hunters to spring, when employment opportunities traditionally improve.

Democratic Rep. Mike Schaufler of Happy Valley called the bill "better than nothing."

"This is just one little tiny, tiny, tiny, tiny step to help the thousands of Oregonians who are out of work," he said.

Gov. Ted Kulongoski also says he will continue to press Congress for federal money to extend benefits.

But economists say it will take several years for jobs to return just to 2007 levels. Only a big infusion of new jobs would make a dent in unemployment - and that isn't in the forecast.

"Is the job market going to turn significantly in the next two months?" said Tim Duy, a professor at the University of Oregon and director of the Oregon Economic Forum. "The answer is probably, 'No.' But certainly we're seeing more stability in Oregon's job market.

"The challenge is that we've lost a huge number of jobs over the last two years," he added. "There's just a huge number of people out of work and looking for work."

More than 217,000 Oregonians collected weekly unemployment checks in the last week of January. But add in those who have taken part-time work to pay the bills, or who simply have given up, and Oregon's unemployment rate almost doubles.

"There's going to be a rebound, there's going to be hiring that's occurring," said state economist Tom Potiowsky, who releases his quarterly economic outlook next week. "But it's going to be very slow going."

Under the proposed legislation, people who exhaust their benefits after Jan. 1 could receive a six-week extension. A wave of 12,000 Oregonians will exhaust their benefits at the end of March and could receive a two-week extension.

It is almost unheard of that unemployed workers receive benefits for two years. But that shows the depth of Oregon's economic woes.

Unemployed since last August – except for a one-day temp job – Butler tries to remain confident that there's an employer out there that needs his skills in customer service. But the 57-year-old has little proof for his optimism. None of his applications have panned out.

"I can live cheaply," said Butler, who said he receives about $150 weekly in unemployment benefits. "But what's going to last longer? The benefits or my need?"

Cheri Jones of North Portland lost her job as a bill collector two years ago, and her benefits ran out in November. She had applied for an extension.

Jones, 51, continues to apply for jobs, knowing she faces daunting competition. But her hope rises with each new job posting - like the one she found for an Alaskan cruise ship.

Jones maintains a rueful optimism. "I remind myself, well, I could be dead. Everyday we're above ground is a good day."