Federal Financial Aid to be cut 8.4% starting March 1
San José, CA – On March 1, the automatic spending cuts demanded by the 2011 Budget Control Act are scheduled to go into effect. These cuts were originally scheduled to go into effect Jan. 2, but were delayed as part of the solution to the so-called ‘fiscal cliff.’ Included in the spending cuts is an 8.4% reduction in federal financial aid. While the large Pell Grant program is exempted, other federal financial aid, including the Stafford Loans, Work-Study, Perkins Loans and others would be all reduced by 8.4%. This would lead to less aid to students receiving financial aid, and some would be cut off entirely.
San José, CA – Starting Jan. 1, payroll taxes paid by workers went up from 4.2% to 6.2%. This increase will affect about 77% of all households. Depending on other deductions and taxes, this will lower the take-home pay of workers by 2% or more.
San José, CA – On Jan. 23, Congressional Republicans caved in and voted for a three-month extension to the Federal Debt Limit. Up until Jan.23, the Republicans in the House of Representatives had refused to raise the debt limit, raising the specter that the U.S. government would have to choose between delaying Social Security payments, Medicare payments, payments to military, and/or interest on the national debt.
San José, CA – On Jan. 4, the U.S. Department of Labor released its report on the labor market for December 2012. The overall official unemployment rate stayed the same as in November, at 7.8%, and 155,000 new jobs were added. But the unemployment rate for adult women (20 years and older), increased from 7.0% in November to 7.3% in December, rising above the unemployment rate for adult men, which stayed the same at 7.2%.
On January 1, the U.S. House of Representatives voted 257-167 to pass the Senate compromise tax bill to stop the so-called “fiscal cliff” of tax increases and spending cuts. While Democratic politicians are portraying this deal as a victory as “98% of Americans will not see their taxes increase,” the reality is that 77% of Americans, including about two-thirds of the working class, will see tax increases.
San José, CA – Early New Year’s Day, the U.S. Senate voted 89-8 to pass a compromise bill to put off the so-called ‘fiscal cliff.’ The bill now goes to the House of Representatives, where Republicans are likely to try to get even more tax breaks for the rich.
Newark, NJ – Hurricane Sandy struck the New York/New Jersey/Connecticut area with full fury on Oct. 30. The region is the country’s largest and densest concentration of population. Sandy was the worst storm to hit it in recorded history.
Millones de personas se encuentran sin trabajo. Aquellos que dieron de baja están siendo evacuados de sus hogares porque sus hipotecas están siendo ejecutadas, perdieron seguros de salud y luchan cada vez mas duro para sobrevivir. El desempleo entre la juventud esta muy alto. Incluso los graduados universitarios se ven forzados a vivir en la casa de sus padres. Muchos no pueden hacer mensualidades a los préstamos universitarios. Millones de inmigrantes, ambos documentados e indocumentados, son dados de baja y sin poder trabajar, se ven obligados a abandonar el país después de haber trabajado años en los EU.
Right wing hypes fear of a ‘fiscal cliff’ to extend tax cuts for the rich
The federal government is on course for large spending cuts and tax increases starting January of 2013. This comes from a combination of three things: the end of some of the Obama administration stimulus that began in 2009; the end of large tax cuts, especially for the wealthy, done under the Bush administration; and automatic spending cuts designed to reduce the federal budget deficit. While some of the tax increases would not fully take effect until April 2014, and others could be reversed, the right wing is using fears of a ‘fiscal cliff’ to try to extend tax cuts for the rich and block planned cutbacks in military spending.
Millions of people are out of work. Those who are laid off are being foreclosed out of their homes, losing health care, and finding it harder and harder to make ends meet. Youth unemployment is particularly high. Even recent college graduates are forced to live in their parents’ homes. Many are unable to make payments on their college loan debt. Being laid off and unable to find work, millions of immigrants, both documented and undocumented, are forced to leave after years of working in the U.S.
