WASHINGTON, DC -- In an effort to boost the economy and provide relief to people who are out of work and actively looking for a job, U.S. Senator Jack Reed today voted to extend Unemployment Insurance (UI) for Rhode Islanders and Americans across the country who have exhausted their regular UI benefits. The legislation was approved by the U.S. Senate as part of a domestic spending bill.

There are currently nearly 35,000 Rhode Islanders who are looking for work. Over 6,500 Rhode Islanders have exhausted their unemployment insurance already this year, a 24 percent increase from January to April 2007. Rhode Island's unemployment rate in April and March was 6.1 percent, the highest recorded since August 1995.

"The bill we passed today will boost our economy and extend unemployment insurance for thousand of Rhode Islanders, providing a measure of relief to families hit hardest by the economic downturn. Economists from across the political spectrum believe that unemployment insurance is also one of the most effective ways to stimulate the economy because people who have exhausted their benefits are likely to spend the money right away," said Reed, who advocated for the inclusion of UI in this bill and the economic stimulus package that passed without the provision earlier this year. "At a time when wages are stagnant and the price of food and energy are skyrocketing, this extension will ensure that folks who need help have the resources to stay afloat and provide for their families while they look for new work."

A recent study found that for every $1 the federal government invests in UI, it adds $1.64 to the national GDP.

The Senate passed version of the bill will provide 13 additional weeks of UI to Rhode Islanders who have exhausted their regular UI benefits of up to 26 weeks. If Rhode Island still qualifies as a ‘high unemployment' state when the measure is signed into law then these individuals could receive another 13 weeks or up to 26 additional weeks in total from the extension.

The spending package was approved in the U.S. Senate by a vote of 75-22 and will now be conferenced with the U.S. House of Representatives. The final bill must then be approved by both chambers before it can be sent to the President to be signed into law.