- Agency: Labor
- Spending: $89 billion
- Percentage Change from 2012: 35.7 percent decrease
- Discretionary Spending: $12 billion
Highlights: Most of the cuts at Labor would come from an expected decrease in spending on unemployment insurance programs as the overall unemployment rate declines and fewer people claim benefits.
But those projections also assume there will be no further spending on long-term unemployment benefits beyond Feb. 29. That's when a temporary extension of benefits that Congress enacted late last year will expire. House and Senate negotiators are working on a deal that would extend those benefits past the end of the month as part of broader discussions on extending the payroll tax cut. The deal is likely to reduce the maximum number of 99 weeks that unemployed people are allowed to seek benefits.
Like last year's plan, the budget would trim $450 million from Labor's share of a program that helps train older workers for jobs and community service programs. The program would be transferred to the U.S. Department of Health and Human Services.
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The agency also is expected to save about $245 million from a reduced work load in processing unemployment benefit claims.
The budget would increase spending on wage enforcement and workplace safety programs, including $10 million to crack down on companies that cheat workers out of minimum wage and overtime payments. It would also boost a program that identifies workers misclassified as independent contractors.
Another $15 million increase would go to programs that offer employment and training services to help the long-term unemployed return to the work force.
The department is requesting an additional $17 million to help reduce the backlog of mine safety cases.
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