US News

Obama says ‘we still have a big hole to fill’ on the economy

WASHINGTON – President Barack Obama said Friday the US still has a “big hole to fill” on the economy following the release of jobs data that showed the nation’s unemployment ticked higher to 9.2 percent in June, up from 9.1 percent the previous month.

In remarks in the Rose Garden at the White House, Obama said the report from the Labor Department “confirms what most Americans already know — we still have a long way to go and a lot of work to do to give people the security and opportunity that they deserve.”

The data showed that the US economy added jobs at an even slower pace in June than in May, suggesting that the slowdown in the economy might be longer-lasting and more severe than feared.

The 9.2 percent unemployment rate marked the highest level since December 2010 and economists surveyed by MarketWatch broadly expected the unemployment rate to remain steady.

Nonfarm payrolls rose by only 18,000 in June, well below the 125,000 gain expected by economists surveyed by MarketWatch.

The president added that improving the economy was a top priority and said he is committed to working with Republicans to reach an agreement on the debt and deficit in order to restore economic confidence.

“The American people sent us here to do the right thing not for party, but for country,” Obama said, adding that “we will keep you updated on the progress we’re making on these debt limit talks over the next several days.”

Obama also called for Congress to pass pending legislation on infrastructure, a streamlined patent process, and trade agreements to accelerate job creation.

Republicans used the jobs report as an opportunity to criticize the president’s economic policies.

“Today’s report is more evidence that the misguided ‘stimulus’ spending binge, excessive regulations, and an overwhelming national debt continue to hold back private sector job creation in our country,” House Speaker John Boehner (R-Ohio) said.

House Majority Leader Eric Cantor (R-Va.) reiterated his position that he will not agree to any deal on a new budget that increases taxes.

“Now it just does not make sense for Americans to suffer under higher taxes in an economy like this,” Cantor said. “There is no way that the House of Representatives will support a tax increase.”

Senate Majority Leader Harry Reid (D-Nev.), on the other hand, called for a “balanced approach” to deficit reduction that would require greater contributions from “millionaires and billionaires.” Reid said the current level of job creation in the country was “unacceptable.”

White House spokesman Jay Carney said the disappointing job numbers were “a call to action” for Republicans and Democrats “to come together in a bipartisan way.”

Congressional leaders and Obama have said they will work through the weekend to try to reach an agreement on deficit reduction and an increase in the US debt ceiling, with a meeting at the White House planned for Sunday to see what progress has been made.