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Labor Secretary Elaine Chao On Katrina's Impact On Labor

Thursday, September 08, 2005

PAUL KANGAS: Getting evacuees working again in Houston and around the country is job one for the Labor Department. Ten thousand new unemployment claims were filed last week in the Gulf states that Katrina hit. Stephanie Dhue talked with Labor Secretary Elaine Chao today, and began by asking how many job losses are expected in coming weeks.

ELAINE CHAO, LABOR SECRETARY: It`s really going to be hard to tell, because these numbers will take some time to gel and given the current breakdown in infrastructure, it`s very hard for us to collect unemployment numbers, also initial claims filed. So we`ll have to see.

STEPHANIE DHUE, NIGHTLY BUSINESS REPORT CORRESPONDENT: How many people work in the hurricane region and what kind of job loss are you expecting?

CHAO: In the whole Gulf area, there were approximately 960,000 workers, jobs. So we`re looking at obviously significant regional devastation. But as for whether that is going to translate into a national impact, I think that is a little too early to tell as well.

DHUE: We actually saw a reduced number of people filing first time unemployment claims because they couldn`t get there to file. How are you going to help people file their claims?

CHAO: The reduced number of claims for this past week is also due to the fact that the states were unable to file their reports with us. So it will take several weeks, a couple of weeks for us to get more definite numbers. We`re obviously very concerned about providing assistance, immediate income assistance to people who are now out of work. There are many people who cannot work because their place of employment is under water or completely devastated. So for them we have unemployment insurance. And we have a nationwide network of 3500 what`s called one-stop career centers. And for people who are away from the devastated areas and the majority of people are, they do not have to return to their home community to file for these claims. Second, we also have programs available, income assistance programs available for people who are usually not eligible for unemployment insurance like the newly employed or the self employed. And so for them, we have set up a different kind of program. It`s called disaster unemployment assistance. So one way or the other, we`re going to make sure that dislocated workers have some income support so that they can make decisions for themselves as to what they want to do next. And then lastly, I have just signed off within the last six days $191 million in national emergency grants that will create about 47,500 temporary jobs to help this devastated area. These jobs will be involved in clean up and recovery and they`re also going to put a paycheck in workers` hands.

DHUE: How do people get the help they need? Do they call FEMA or do they have to go to each different agency?

CHAO: We are very focused on the practicalities of accessing aid for these dislocated workers and for other people in the area. So, for example, we have teams of people canvassing neighborhood by neighborhood as the waters recede. We go to churches, relief centers, evacuee centers armed with laptops and we sign people up. We also have a toll free number and we say to people, if you have access to a telephone, please call the toll free number. It`s operational throughout the country. It`s 1-866-4usadol. And once they call that number, there will be caring and compassionate professionals who are working 24/7 who are able to advise them on which program best fits their needs.

DHUE: You`re going to be traveling to the Gulf region. Tell us about what you will be doing there.

CHAO: I`m going to be visiting the evacuee centers and places where dislocated workers can be found. We have a mobile unit right outside of the Astrodome in Houston, Texas. I will be visiting there. We also have a job fair in Dallas, Texas right today and a job fair in Houston next week, so I want to go and see how these job fairs are coming along. Employers have been so forthcoming and participating in these job fairs and I want them to continue to participate.

DHUE: Labor Secretary Elaine Chao, thank you.

CHAO: Thank you.