Jobs 'jolt'

US President Barack Obama on Thursday unveiled a crucial $447-billion (321 billion euros) jobs plan which he said would "jolt" the stalled US economy.

Obama told Congress that the United States was facing a "national crisis" and called for urgent action to revive the economy and avert another recession.

The plan would extend unemployment insurance coverage and includes tax breaks for companies who hire new employees who have been out of work more than six months. The proposals would see payroll taxes cut in half for working Americans and small business.

Obama's plan also includes $50 billion for immediate spending on highway, rail and aviation projects, and additional money to modernize public school buildings.

"There should be nothing controversial about this piece of legislation. Everything in here is the kind of proposal that's been supported by both Democrats and Republicans, including many who sit here tonight. And everything in this bill will be paid for, everything," the president said.

'Stop the political circus'

Taking aim at Republicans who have consistently opposed his initiatives, Obama said it was time to "stop the political circus and actually do something to help the economy."

Obama said the jobs plan would put more construction workers and teachers back in employment through infrastructure projects. Around 9.1 percent of Americans of working age are unemployed.

John Boehner, the Republican speaker of the House of Representatives, said the jobs proposals "merit consideration" and expressed hope both parties could work together.

"We hope he gives serious consideration to our ideas as well," Boehner, the top congressional Republican, said in a statement released late Thursday.

"It's my hope that we can work together to end the uncertainty facing families and small businesses and create a better environment for long-term economic growth and private-sector job creation," Boehner said.

Obama wants Congress to pass his "American Jobs Act" by the end of this year and offset the cost with deficit cuts.

Author: Darren Mara (Reuters, AFP)
Editor: Martin Kuebler