PRESIDENT BARACK OBAMA: Thank you. Please,
everybody, have 
a seat. Well, happy New Year, everybody.
AUDIENCE MEMBERS: Happy New Year.
PRESIDENT OBAMA: I hope you're keeping warm.
You know, a few weeks ago I said that 2014
could be a breakthrough year for America.
Think about it. Five years ago this month,
our economy was shedding 800,000 jobs, just
in one month. But as Americans buckled down
and worked hard and sacrificed, we began to
come back. And our businesses have created
more than 8 million new jobs since we hit
the bottom. Our auto industry's gone from
bust to boom. Manufacturing's rebounding.
The housing market's rebounding. Stock markets
are restoring retirement accounts. The promise
of energy independence is actually in sight.
Health care costs eat up less of our economy.
Over the past four years, costs have grown
at the slowest rate on record. And since I've
took office, we've cut our deficits by more
than half.
So America's getting stronger and we've made
progress and the economy is growing. And we've
got to do more to make sure that all Americans
share in that growth. We've got to help our
businesses create more jobs. We've got to
make sure those jobs offer the wages and benefits
that let families rebuild a little security.
In other words, we got to make sure that this
recovery leaves nobody behind. And we've got
a lot of work to do on that front.
The good news is I'm optimistic we can do
it if we do it together. Now, before the holidays
both parties compromised on a budget that
lifts some of the drag that's been on the
economy from these indiscriminate cuts we
call sequester. And as a consequence, this
year we may see more stability when it comes
to economic growth. And I think I'm not alone
in saying that we are all grateful in the
new year that we won't have another partisan
shutdown, hopefully, going forward. (Applause.)
So -- so that was a good sign. And we should
build on that progress with what I said should
be the first order of business in 2014, and
that is extending insurance for the unemployed.
(Applause.) The good news is this morning
the Senate took a very important step in that
direction. For the Americans who join me at
the White House today and millions like them
who were laid off in the recession through
no fault of their own, unemployment insurance
has been a vital economic lifeline.
For a lot of people it's the only source of
income they've got to support their families
while they look for a new job. These aren't
folks who are just sitting back, waiting for
things to happen. They're out there actively
looking for work. They desperately want work.
But although the economy has been growing,
and we've been adding new jobs, the truth
of the matter is, is that the financial crisis
was so devastating that there's still a lot
of people who are struggling, and in fact
if we don't provide unemployment insurance,
it makes it harder for them to find a job.
You heard Katherine's story. She's far more
eloquent than I could ever be. She wrote me
last month to say, please let those who think
I'm sitting at home enjoying being unemployed
know that I'd much rather be working. And
I had a chance to talk to Katherine (sp),
and I think it's pretty clear that that's
the case.
Katherine went on to say, I've applied to
everything for which I'm possibly qualified,
to no avail. I've worked hard all my life,
paid taxes, voted, engaged in political discussion
and made the ultimate sacrifice: My two sons
serve in the U.S. military. Job loss is devastating,
and if I could fix it myself, I would. I challenge
any lawmaker to live without an income. (Laughter.)
That's what Katherine said. It's hard. (Applause.)
So when we've got the mom of two of our troops
who is working hard out there but is having
to wear a coat inside the house, we've got
a problem, and it's one that can be fixed.
And Katherine's not alone. Develyn Smith (sp),
who's watching today from her home in California
wrote me about her hunt for a new job. Since
she was laid off 13 months ago, she's sent
out hundreds of resumes, she's volunteered,
she's done seasonal work, she doesn't want
to just be sitting around the house. She's
been taking online courses to learn new skills.
Without unemployment insurance, though, she
won't be able to pay for her car or her cell
phone, which makes the job hunt that much
harder.
And Develyn (sp) wrote to me and said, "I've
wanted nothing more than to find a new full-time
job, and I've dedicated every day to that
mission. I'm asking you to advocate for me
and the millions like me who need our extended
unemployment benefits to make ends meet."
So I -- I just want everybody to understand
this is not an abstraction, these are not
statistics. These are your neighbors, your
friends, your family members, it could at
some point be any of us. That's why we set
up a system of unemployment insurance. The
notion was everybody is making a contribution
because you don't know when the business cycle
or an economic crisis might make any of us
vulnerable, and this insurance helps keep
food on the table while Dad is sending out
resumes.
It helps Mom pay the rent while she's learning
new skills to earn that new job. It provides
that extra bit of security so that losing
your job doesn't that you have to lose your
house or everything you've worked so hard
to build for years.
We make this promise to our fellow Americans
who are working hard to get back on their
feet because when times get tough, we are
not a people who say you're on your own, we're
people who believe that we're all in it together.
And we know, there but the grace of God go
I. (Applause.) So that's the values case for
this. That's the moral case for this. But
there's an economic case for it as well. Independent
economists have shown that extending emergency
unemployment insurance actually helps the
economy, actually creates new jobs. When folks
like Katherine have a little more to spend
to turn up the heat in her house or buy a
few extra groceries, that means more spending
with businesses in her local community, which
in turn may inspire that business to hire
one more person, maybe Kathy (sp).
That's why in the past both parties have repeatedly
put partisanship and ideology aside to offer
some security for job-seekers with no strings
attached. It's been done regardless of whether
Democrats or Republicans were in the White
House. It's been done regardless of whether
Democrats or Republicans controlled Congress.
And by the way, it's done -- it's been done
multiple times when the unemployment rate
was significantly lower than it is today.
And what's important to keep in mind also
is that the recovery in a big country like
the United States is going to be somewhat
uneven. So there are some states that have
a 2.5 (percent) unemployment rate and then
there's some places that may still have a
7 (percent), 8 (percent), 9 percent unemployment
rate. The people living in those respective
states may be working equally hard to find
a job, but it's going to be harder in some
places than others.
Now, two weeks ago Congress went home for
the holidays and let this lifeline expire
for 1.3 million Americans. If this doesn't
get fixed, it will hurt about 14 million Americans
over the course of this year -- 5 million
workers along with 9 million of their family
members, their spouses, their kids.
Now, I've heard the argument that says extending
unemployment insurance will somehow hurt the
unemployed because it saps their motivation
to get a new job. I -- I really want to -- I
want to go at this for a second. (Audience
murmurs.) I -- you know, I -- (applause) -- that
really sells the American people short. I
meet a lot of people as president of the United
States and as a candidate for president of
the United States and as a U.S. senator and
as a state senator. I -- I meet a lot of people.
And I can't -- I can't name a time where I
met an American who would rather have an unemployment
check than the pride of having a job. (Applause.)
The long-term unemployed are not lazy. They're
not lacking in motivation. They're coping
with the aftermath of the worst economic crisis
in generations. In some cases, they may have
a skills mismatch, right? They may have been
doing a certain job for 20 years. Suddenly
they lose that job.
They may be an older worker, may have to get
retrained. It's hard. Sometimes employers
will discriminate if you've been out of work
for a while. They decide, well, we're not
sure we want to hire you; we'd rather hire
somebody who's still working right now.
So it's hard out there. There are a lot of
our friends, a lot of our neighbors who've
lost their jobs, and they are working their
tails off every single day trying to find
a new job. Now, as the job market keeps getting
better, more and more of these folks will
find work. But in the meantime, the insurance
keeps them from falling off a cliff. It makes
sure they can pay their car note to go to
that interview. It makes sure they can pay
their cellphone bill so that if somebody calls
back for an interview, they can answer it.
And -- and Katherine explained this. Katherine,
in the letter that she wrote to me, said,
do folks really think that cutting this benefit
will make someone hire me? I mean, that's
not how employers are thinking.
So letting unemployment insurance expire for
millions of Americans is wrong. Congress should
make things right. I am very appreciative
that they're on their way to doing just that
thanks to the bipartisan work of two senators.
You had a Democrat from Rhode Island, Senator
Reed, and you had a conservative Republican
from Nevada, Senator Heller. And despite their
political differences, they worked together
on a plan to extend unemployment insurance
at least for three months temporarily while
we figure out a longer-term solution.
And this morning a bipartisan majority of
senators agreed to allow this common-sense
provision to at least move forward in the
process.
The Senate's a complicated place, so just
because they agreed -- (laughter) -- on -- on
this vote -- all they've agreed to so far
is that we're actually going to be able to
have a vote on it. They haven't actually passed
it. So we've got to get this across the finish
line without obstruction or delay. And we
need the House of Representatives to be able
to vote for it as well. And it's -- that's
the bottom line. (Applause.)
Voting for unemployment insurance helps people
and creates jobs. And voting against it does
not. Congress should pass this bipartisan
plan right away and I will sign it right away.
And more than 1 million Americans across the
country will feel a little hope right away.
And hope is contagious.
You know, when -- when -- (applause) -- you
know, when -- when Katherine has a little
bit more confidence about her situation, when
she finds a job she's going to be able to
help somebody down the line, maybe who's also
down on their luck. You know, when Congress
passes a bipartisan effort starting here,
right at the beginning of the new year, who
knows, we might actually get some things done
this year. (Laughter.)
You know, so after all the hard work and sacrifice
of the past five years to recover and rebuild
from the crisis, what I think the American
people are really looking for 2014 is just
a little bit of stability. Let's just do the
commonsense thing. Let's do what's right.
We're going to have to -- we're going to have
to see action, though, on the part of Congress
-- and I'll -- I'll be willing to work with
them every step of the way -- action to help
our businesses to create more of the good
jobs that our growing middle class requires,
action to restore economic mobility and reduce
inequality, action to open more doors of opportunity
for everybody who's willing to work hard and
walk through those doors.
You know, when I was listening to Katherine,
I was just so struck by her strength and dignity,
and I think people, when they bump into some
tough times like Katherine, they're not looking
for pity; they just want a shot. And they
just want to feel as if -- (applause) -- they
just want to feel as if, you know, as a part
of this country -- as a part of their communities
that if misfortune strikes, all the things
that they've done in the past -- all the hard
work they've done raising children and paying
taxes and working hard -- you know, that that
counts for something, and that folks aren't
suddenly just going to dismiss their concerns,
but are going to rally behind them.
That's not too much to ask. That's who we
are as Americans. That's what built this country.
That's what I want to promote. (Applause.)
So thank you very much, everybody, and let's
get to work and let's get this done. I appreciate
it. (Applause.)
