With nationwide unemployment where it is today—and many young people across the country especially struggling with the challenge of finding work—President Obama believes that inaction is not an option. That's why he's put out a plan to create jobs starting right now, and why he's committed to fighting for Congress to act on it.
What the American Jobs Act Will Do
- Help young workers keep more of what they earn: By extending the payroll tax cut next year, the President's plan will help increase the paychecks of 45.5 million young people in the workforce, providing them with more money to support their families and spend in their communities.
- Expand employment opportunities for young people:
- The Pathways Back to Work Fund will provide states with $1.5 billion to help develop summer job programs for low-income youth, including the 17.7 percent of youth ages 16—24 who are unemployed, and will build on that success by supporting year-round employment for economically disadvantaged young adults.
- The fund will also provide $1.5 billion to local governments through a competitive grant process to support work-based strategies and training opportunities for low-income youth and adults, including apprenticeship programs, sector-based training, and career academies.
- Combining an extension in unemployment insurance with expanded educational and training programs will help young workers get back on their feet and move on to sustainable future employment.
- Revitalize neighborhoods, schools, and infrastructure—including in our hardest-hit communities:
- By investing $25 billion in school infrastructure, the President's plan will modernize at least 35,000 public schools and modernize classrooms for the 21st century.
- The President's plan also gives $5 billion to community colleges, bolstering their infrastructure and ensuring their ability to serve future communities and generations of students.
- Create tax cuts to help youth-owned small businesses grow: The President's plan includes administrative, regulatory, and legislative measures to change the way the government does business with small firms, helping youth-owned small businesses access the capital they need to expand and hire more employees.
Like all of the measures in the American Jobs Act, these initiatives will be fully paid for as part of the President's long-term deficit reduction plan. The President's detailed deficit reduction plan will pay for every penny of the American Jobs Act.