Recovery plan could widen jobless benefits

CHICAGO, Jan. 3 (UPI) -- U.S. President-elect Barack Obama may propose expanded unemployment compensation and government-backed healthcare in his economic recovery plan, officials said.

Obama and Democrats in Congress are considering proposals that would provide jobless benefits for part-time workers and help employers cover the cost of temporarily extending healthcare coverage for retirees and laid-off workers, The New York Times reported Saturday.

One proposal under consideration would allow workers who are laid off from jobs that did not provide health insurance to be eligible to apply for Medicaid coverage, the newspaper said.

The proposals represent the kind of long-term change Obama plans to pursue as part of what he has called the American Recovery and Reinvestment Plan, the Times said.

The president-elect and congressional leaders will also consider spending for roads and other infrastructure projects intended to promote job creation as part of a stimulus package that could come up for a vote in the House before Obama is inaugurated Jan. 20. Advisers to the president-elect have suggested the plan could come with a price tag of $800 billion.

In his weekly radio and Internet address Saturday, Obama urged Congress to pass a stimulus bill swiftly.

"However we got here, the problems we face today are not Democratic problems or Republican problems," he said.