Stephen Mnuchin, the Treasury Secretary of the United States, recently stated that unemployment is “probably going to get worse before [it gets] better." As NPR explains, he was responding to the latest jobs report from the U.S. Labor Department. America currently has the highest unemployment rate since the Great Depression.
“You’re going to have a very, very bad second quarter,” he explained, revising an earlier, more hopeful estimate.
With this news in mind, Democrats in Congress are trying to pass another stimulus bill, arguing that the CARES Act - which provided a single $1,200 payment to most Americans and loans intended to keep small businesses afloat during the pandemic - wasn’t enough.
The situation looks even more grim for certain populations in particular.
“[Y]oung people, women, and black and Latino Americans are disproportionately suffering from the current economic crisis,'' argues Andrew Stettner of The Century Foundation, as reported in USA Today. "It's what always happens during disasters such as this. Those with the least power and resources are hit first and hardest.''
The unemployment rate for Black Americans is almost 20% higher than that of whites. More relief could be on the way, but it has to clear these major hurdles first.
Fox Business recently laid out different proposals making their way through Congress. Some include continuous payments, and others would cancel rent and mortgage payments for a year, echoing petitions and activism by organizations like PushBlack.
A major bill supported by House Speaker Nancy Pelosi, called the HEROES Act, includes another round of $1,200 payments, housing assistance, an extension of increased unemployment support, and more.
The first hurdle then is convincing President Trump and Republican senate leaders who don’t want to pass any more stimulus spending to concede.
McConnell expressed that he “hasn’t felt the urgency” to pass another stimulus bill, reports the Independent. This has upset many. “83,000 people are dead … 30 million workers have filed for unemployment,” tweeted Cory Booker, a Democratic senator of New Jersey. “How much more suffering could you possibly need to see to be convinced that more help is urgently needed?”
Meanwhile, Marketplace reports that nearly half of all Americans are afraid they won’t be able to afford food without additional support. Forbes reports that 64% of Americans will completely run out of money within three months without additional help - and that 84% of Americans feel that another round of stimulus is necessary.
Even the chairman of the Federal Reserve believes more stimulus is necessary, according to the New York Times. Only time will tell if Democrats can convince Republicans to agree.