Economy

New claims for unemployment benefits rose above expectations last week, with seasonal layoffs affecting the increase. 

Claims increased by 37,000 to a seasonally adjusted 464,000, as the job market remained weak and the economy makes a slow recovery, the Labor Department said Thursday.

During the past couple of weeks, claims had hit their lowest level since September 2008 as factories remained open during the summer months. 

General Motors and other manufacturers had reported fewer temporary layoffs in recent weeks but the increase in numbers reflected a partial change in that policy.

Senate Majority Leader Harry Reid (D-Nev.) on Thursday said his chamber would return to debating the small-business jobs bill in the afternoon, setting up a debate over a contentious measure that creates a $30 billion lending pool controlled by the Treasury.

House Ways and Means Chairman Sandy Levin (D-Mich.) said his chamber will vote on jobs legislation next week before adjourning for the August recess. 

The House is set to take up the $34 billion unemployment benefits extension first thing Thursday.

The House will delay until Thursday a vote on a $34 billion unemployment benefits extension bill that is expected to pass the Senate momentarily. 

The House is expected to take up the bill first thing Thursday, according to senior Democratic aides. 

The Senate’s late completion on the bill would likely push passage of the measure beyond midnight, House aides said. The House Rules Committee would need to provide an hour’s notice to Republicans to meet. The House would then have to debate the rule, vote on the rule, then debate the bill and take a final vote, probably amounting to at least four or five hours of time, aides said. 

—This story is developing. 

Sen. George LeMieux (R-Fla.) on Wednesday told reporters that his support for the small-business jobs bill could hinge on Democratic leaders tweaking the legislation to his liking. 

Lawmakers and government watchdog groups are questioning the effectiveness of the Obama Administration’s Troubled Asset Relief Program (TARP) to prevent foreclosures.

They say that the Treasury department’s refusal to identify benchmarks, goals and expectations for the mortgage modification program indicates a lack of transparency and accountability. 

“Treasury still has not established proper goals or benchmarks for the program, meaning that there is no effective way for us to know if the $50 billion invested in the program is accomplishing what it set out to do,” said Sen. Chuck Grassley (R-Iowa), ranking member of the Senate Finance Committee. “That’s not accountability, that’s not transparency; it’s more taxpayer money flying out the window.”

The House Ways and Means Committee could move legislation combating currency manipulation when lawmakers return to Washington after the August break. 

Senate Small Business Chairwoman Mary Landrieu (D-La.) on Wednesday said her chamber will pass legislation by the end of the week that creates a $30 billion lending pool for small businesses and provides approximately $12 billion in tax relief for these organizations.