A measure to extend unemployment benefits in states with high unemployment has been passed by the U.S. House of Representatives and awaits action by the Senate.

The U.S. House of Representatives Thursday, June 12, passed legislation to extend unemployment benefits by up to 13 weeks in all states and up to 26 weeks in states such as Michigan, with an unemployment rate of 6% or higher.

U.S. Congressman Bart Stupak said the legislation will benefit the 3.8 million Americans struggling to find work.

"With costs rising for food, gas, and health care," he said, "these individuals need our help while they look for work or retrain for a new career path."

The Emergency Extended Unemployment Compensation Act (H.R 5479), if adopted, would double the length of time that unemployed workers in Michigan would be eligible for benefits. Under current law, workers in every state are eligible for 26 weeks of benefits. Based on Michigan's unemployment rate of 7.2%, Michigan workers would be eligible for 52 weeks of benefits through March 2009.

According to Mr. Stupak, independent estimates have found that extending unemployment benefits is one of the most immediate and cost-effective ways to stimulate the economy, because the money is spent quickly. Every $1 spent on unemployment benefits, he said, generates $1.64 in new economic demand.

The bill was passed in the House by a vote of 274-137.