Obama jobs council goes out of business

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Posted: Friday, February 1, 2013 12:00 am

WASHINGTON (AP) — President Barack Obama is letting his jobs council expire, cutting off one source of input from business leaders while unemployment remains stubbornly high.

Obama formed the Council on Jobs and Competitiveness in January 2011, when unemployment was about 9 percent. It's now 7.8 percent, though more than 12 million people are out of work.

Obama's executive order establishing the council said it would go out of business Jan. 31, 2013. The White House said Thursday that Obama had no plans to renew its charter.

“The work of the jobs council was very valuable,” White House spokesman Jay Carney said. “While the president didn't agree with all of its recommendations, he agreed with many of them and acted on a number of them.”

White House officials said Obama intended for the council to fulfill its mission and then wind down, and that he would seek input about the economy from business leaders in other ways. Among the steps Obama plans to pursue are expedited permits for public works projects, plus programs to boost entrepreneurship and workforce development.

Even before Obama's decision was clear, Republicans seized on the council's likely expiration as evidence the president hadn't spent enough time on trying to create jobs, which is a priority for Americans. The Republican National Committee called it part of “the failed Obama record,” while the House Republicans' campaign committee, in an online petition, accused Obama of laying off his own jobs council.

The jobs council was a successor to an economic advisory board Obama created at the onset of his presidency. The panel was chaired by General Electric CEO Jeff Immelt and included prominent business leaders and economists. Immelt said Thursday that progress has been made on putting in place 90 percent of the council's recommendations.

Obama met with the council only a few times. During the last meeting, in February 2012, the president and the council highlighted an engineering education initiative alongside school deans.

“The president treated his jobs council as more of a nuisance than a vehicle to spur job creation,” said Brendan Buck, a spokesman for House Speaker John Boehner, R-Ohio.

The council's main product was a report, “Roadmap to Renewal,” that was released in January 2012. The council also organized a series of meetings across the country last year with business owners, elected officials and academics; Obama didn't attend those election-year sessions.

Critics have argued that the council's primary purpose was to create the appearance of action at a time when the nation was pining for something to rein in soaring joblessness. The administration acted on many of the council's recommendations, including suggestions to streamline permitting and small business loans, increase tourist visas and boost energy efficiency.

But the White House was at odds with several council members on tax policies, particularly a proposal to exclude overseas corporate earnings from U.S. taxes. That idea divided even the jobs council, whose membership included labor and Obama's political allies.

© 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


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