Business Notes Unemployment

After two failed swings at trying to extend jobless benefits for nearly 3 million U.S. workers, Congress and President Bush finally agreed last week on a $5.3 billion compromise package that could give some of the unemployed new checks by Thanksgiving. The agreement would allow workers to collect up to 20 weeks of extra checks after they have used up their initial 26 weeks of benefits. The duration of the additional benefits will depend mostly on individual states' jobless rates, with recipients in the more severely affected regions getting payments longer. The measure will be financed largely by speeding up collection of estimated taxes from some wealthy taxpayers. That self-financing feature persuaded Bush to support the bill; he had vetoed two previous attempts because they did not maintain "budget discipline."

After the Senate passed the measure, it immediately approved a supplemental plan, estimated to cost an additional $400 million, to make benefits even better for workers in some states. The second bill, which Senate leaders believe will be enacted this week, is designed to satisfy Senators who feel their states were shortchanged in the other formula.