For Immediate Release
March 13, 2003

Jobs and Economic Growth Fact of the Day

$3,000

The amount of money that 1.2 million Americans could receive

in the form of a Personal Reemployment Account under

the Presidents jobs and economic growth plan.

Today's Action

• Secretary of Labor Elaine Chao testified to the House Ways & Means Committee about the Personal Reemployment Accounts included in the Presidents jobs and economic growth plan. The Presidents plan is designed to help the unemployed workers on two fronts, providing both short-term benefits and long-term opportunity to millions of Americans.

• The Presidents jobs and economic growth plan proposes new, more flexible Personal Reemployment Accounts to help unemployed workers find work in the long-term. The new accounts would help people find a job by giving them up to $3,000 -- which could be used for job training, child care, transportation, or even to cover the costs of relocating to another city for a new career. If the job is obtained within 13 weeks, the worker would be able to keep any funds remaining in the account.

• Because recipients can keep the balance of their accounts when they become reemployed and stay employed, the accounts create an incentive to get back to work quickly. The more quickly a job is obtained, the larger the reemployment bonus will be.

Personal Reemployment Accounts are a flexible new approach to giving the unemployed more control over their access to training and services and help them make a quick return to work. States will have considerable flexibility in designing their account program. Under the Presidents plan, these accounts would be available to at least 1.2 million Americans.