The Bush Administration's proposed repeal of the Birth and Adoption Unemployment Compensation Rule prohibits states from deciding to allow workers who must leave their jobs to care for a newborn or recently adopted child to collect unemployment benefits.

This proposal, which reflects profound mistrust of states to make wise choices in administering their UI programs, in inconsistent with the view espoused earlier this year by the Administration, when it sought to erode the federal government's traditional UI role by proposing to shift UI administrative financing to the states. Coupled with employer UI tax cuts the Administration has also proposed, today's announcement signals an intent to limit even more the benefits that will flow to workers.

Even worse, the proposed repeal shows no regard for families that struggle to be there when their children need them, while coping with work commitments. Repeal would move away from previous reforms to bring the UI program in line with today's working families.

Two weeks ago, the Administration did nothing as Republican leaders in the House of Representatives refused to extend emergency unemployment benefits to the nation's jobless. As a result, more than 800,000 workers will lose all federal unemployment benefits three days after Christmas.

Faced with two opportunities to stand on the side of American families when it comes to the nation's UI program -the Administration has failed on both. There is no principled justification for such disregard and indifference.

For Information Contact: Kathy Roeder (202) 637-5018