Washington, DC—Today, U.S. Representative Jim Renacci (OH-16) testified before the U.S. House of Representatives Committee on Ways and Means Subcommittee on Human Resources about the benefits of the EMPLOY Act. A link to a video of the entire panel – including U.S. Senator Ron Wyden (D-OR) and U.S. Representative Hansen Clarke (MI-13) – and a copy of Rep. Renacci’s remarks can be found below.

Click on the image to view the video.

Transcript of Rep. Renacci’s Remarks
Good morning Mr. Chairman, Mr. Doggett, and members of the subcommittee. I’d like to thank you for hosting today’s hearing on moving from unemployment checks to paychecks and for inviting me to testify.

It is my hope that today’s hearing will provide the subcommittee with actionable information for getting our nation’s unemployed back to work. The dire unemployment situation currently gripping the United States has been an inescapable reality for several years.

Unemployment data for the month of August showed zero jobs added and a sustained unemployment rate of over nine percent. The next report on job creation, or unfortunately the lack thereof, is due on October 7, but there is little reason for optimism.

However, the tools we need to overcome the economic downturn are already at our disposal. The most valuable of which is unemployment insurance. Significant employment opportunities can be created by allowing the states to leverage unemployment insurance into job creation.

There is no silver bullet to returning America back to work. But creating an incentive for both employers and job seekers through unemployment insurance is an important first step.

I’ve introduced a bill with bipartisan support entitled EMPLOY Act, H.R. 2137, that would create this dual incentive. The EMPLOY Act will allow states to develop an optional program for providing a percentage of the unemployment benefit to a business willing to hire an individual at a rate higher than the normal benefit amount.  

The purpose of this program is simple. Provide businesses with an incentive to hire through reduced risk. Provide individuals with an incentive to work through increased pay. And reduce cost to the government by paying only a percentage of the unemployment benefits to the eligible businesses.

As stated, the EMPLOY Act is not a panacea for the joblessness crisis the United States is currently facing, but it is a crucial step in the right direction.

I again thank the subcommittee for inviting me to testify here today and I look forward to answering any questions you may have. I also look forward to hearing the ideas presented by my colleagues here today.


A summary of the EMPLOY Act is also attached.

Rep. Renacci is serving his first term in the U.S. House of Representatives, where he is a member of the Financial Services Committee. Prior to his election he worked as a Certified Public Accountant in the health care industry, and owned and operated over 60 other businesses in the automotive and sports management fields.

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