January 10th, 2009
09:45 AM ET
9 years ago

Obama: stimulus plan could create, save up to 4 million jobs

WASHINGTON (CNN) - Barack Obama now says his plan to pump up the ailing economy could create or save three to four million jobs, more than the 2.6 million jobs the government says were lost last year.

In his weekly radio and YouTube address, the President-elect gave details on a report released by his transition team. The report details the types of jobs that would be created or saved by Obama's stimulus proposals, officially known as the "American Recovery and Reinvestment Plan."

"The report confirms that our plan will likely save or create three to four million jobs. Ninety percent of these jobs will be created in the private sector – the remaining 10 percent are mainly public sector jobs we save, like the teachers, police officers, firefighters and others who provide vital services in our communities," says the President-elect.

The report, however, acknowledges that all of the estimates "are subject to significant margins of error" since it is unclear what the final economic package will look like once it emerges from Congress.

In his address, the president-elect once again warned that the road to economic recovery will be long and hard. "Given the magnitude of the challenges we face, none of this will come easy," he said. "Recovery won't happen overnight, and it's likely that things will get worse before they get better. But we have come through moments like this before."

Obama's economic team is negotiating with congressional leaders over the details of the plan. Senate Democrats will meet tomorrow with Obama's advisors in a rare Sunday event on Capitol Hill.

Filed under: Congress • President-elect Obama • stimulus plan
soundoff (308 Responses)
  1. John

    Just a comment to Andy. What Democrats do is create 3 years of surplus budgets (1997-2000) the last years of Clinton Administration.)
    Fuller employment, less crime, less welfare,less abortions all come from a better Economy. Give it all the the wealthy and the real Joe the plumbers give up working their collective hind ends off to make the fat cats wealthy. By the way unnecessary wars have a way of biting you in the hiney as well. Thank God change is coming!

    January 10, 2009 12:01 pm at 12:01 pm |
  2. FreeMan

    Obama need to FIX Free Trade Act law which have distroyed this countries manufacturing and other sectors job. Also, need to fix immegration laws, People comming here with H1 visas with all lies on their resumes, with same type of qualification US citizen cannot get job because they are being ethical. Should stop those H1 visas

    January 10, 2009 12:02 pm at 12:02 pm |
  3. justin

    Hey I have a better Idea for all you people whining before anything has even happened with these "jobs". Would you rather fund their Unemployment Benefits, or would you rather pay them 13 tax dollars an hour to bust their rumps fixing these roads, bridges, and schools that are falling apart? Would you want what happened in Minneapolis to happen on a bridge YOU are driving on? I doubt it. This country has sat on their hands for the last 15 to 20 years while the roads were "Patched" and bridges were "inspected".

    I think I would want my tax dollar going to someone WORKING for it rather than sitting on their hind ends, claiming to be looking for a job.

    Also how is it, so many of our "Private Sector" jobs end up over seas? Because the private sector failed the country as a whole. Rather than building up their companies here in the U.S. and making them stronger, they ship them overseas to pay people 3 dollars a day to pretty much do slave labor. People wonder why the electrical grids are failing... Hmmm maybe if there was an energy policy created over 40 years ago we wouldn't be in half of this mess.

    January 10, 2009 12:03 pm at 12:03 pm |
  4. Siris

    A big concern that President Obama should contemplate is that the type of construction jobs he proposes to stimulate are mostly populated by illegal immigrants. How will he ensure that American citizens who used to work in factories are retained and employed by the construction companies? If he fails to do so, then the stimulus money will simply flow to Mexico and Latin American...

    January 10, 2009 12:03 pm at 12:03 pm |
  5. Titanv8man

    Let me see if I have this straight... if I retired, I'd create a job opening. If I paid off my car, I'd give the auto industry and the banks more funding for future growth. If I paid off my home, I'd give the banks funds for future loans and I would be able to buy things for my home... creating production jobs. Hmmm.... if only I could find a Government wanting to fix the economy, willing to restrict corporate fleeing aboard, willing to have faith in its citizens, and willing to invest a "bailout" in its citizens. We the People of these United States could effectively solve our own delema! Now.... is Obama saying the same thing as I am? Or is his administration going to do what has always been done? Tax my job, purchases, home, food, water, etc. etc. etc. Same ole same ole!

    January 10, 2009 12:04 pm at 12:04 pm |
  6. chillwill

    bryce the only thing Bush saved was his own @$$ buddy

    January 10, 2009 12:04 pm at 12:04 pm |
  7. Meka




    January 10, 2009 12:04 pm at 12:04 pm |
  8. CAW in MD


    If private industry could create twice as many jobs with half the money, do you not think that would already be happening? If that was true in this moment in time, why did we as a country lose over 2 million jobs this year?

    Private industry is a wonderful thing, but today's circumstances are proving that private industry is not up to this particular challenge. That's why government intervention is necessary. How the government intervenes is important, hence all the tension over this bill.

    January 10, 2009 12:04 pm at 12:04 pm |
  9. Siris

    A big concern that President Obama should contemplate is that the type of construction jobs he proposes to stimulate are mostly populated by illegal immigrants. How will he ensure that American citizens who used to work in factories are retrained and employed by the construction companies? If he fails to do so, then the stimulus money will simply flow to Mexico and Latin American...

    January 10, 2009 12:04 pm at 12:04 pm |
  10. don britton

    I think O'bama has the best intentions. But in business throwing good money after bad doesn't work and its unfortunate that this won't either. The solution is to get lazy Americans off their butts and take any job they can get picking fruit or whatever. This is what all of our ancestors did and made this country great. Paying people for not working didn't work for the Native Americans and it won't work for anyone else. Lets wake up now so we can save time because this will be the case for sure eventually.

    January 10, 2009 12:05 pm at 12:05 pm |
  11. Crystal

    I'm very happy to be apart of history in the making,. For once we have a president that's not full of B.S. If McCain would have won I might have to gone to rehab! Seriously, It's not going to happen over night for change to happen, we all have to remember that Bush been in office for 8 long years. There's alot of things that have to be address, and it going to take one day at a time just to get it right. I'm just so happy to know that America the Beautiful is not so divided after all. Now like Michelle, I'm so happy to be an American!

    January 10, 2009 12:06 pm at 12:06 pm |
  12. Jack Shaw

    Economic recovery will not happen for years, 2011 at the very earliest. Official unemployment will probably be close to 10%, although the actual underlying unemployment rate is already above that, and the U.S. deficit will grow by billions.

    Whoever happened to be in office, Obama or someone else, there would be very little that any of them could do to get the economy back on track any time soon; it's so far gone that we just need to wait until we hit the buffers, and then try and recover. Stopping a runaway train just isn't going to happen, and that's what they're trying to do.

    Aside from that, don't be so sure that the U.S. economy is ever going to recover to the strength that it has been before. Both China and India can produce goods that we want far cheaper than other countries, and technologically they are closing in quickly. Why would anyone want to buy American goods when the same goods can/will be produced far more cheaply, and as well as (if not better) than the U.S. can.

    January 10, 2009 12:06 pm at 12:06 pm |
  13. Mike the Steelworker

    I am 2 months away from loosing my house, this well needed help cannot come soon enough. My wife lost her job (banking industry)and I am on 40 hours/week for the first time in 16 years. Five little mouths to feed/shelter and our budget has lost $3000.00 of income/month – Bring it on Mr. President Elect !!! My family needs help.

    January 10, 2009 12:07 pm at 12:07 pm |
  14. Greg

    Folks – let's face it. We've been on a consumer orgy (homes, goods, energy) and the world ramped up production to meet our many wants (not needs!). Well, after years of spending more than we actually make, the party is over and there is too much existing production capacity worldwide. The job losses are painful and are going to continue to be so, but we can no longer afford the be the world's insatiable consumer. I think energy independence is key to our eventual recovery – econmically and politically we are over a barrell; think of all we could do if we exported energy technolgoies (wind, solar, geothermal) instead of dollars.

    January 10, 2009 12:09 pm at 12:09 pm |
  15. fred figueroa

    with the craziness in the economy why not take some of the bailout
    money and help the people who are footing the bills us as in usa
    every thing coming from bush and congress and now Obama comes out of our pockets put some$$ back we can budget our cash better than the banks-ins-cc-the big three- and now madoff- the american people are getting the shaft if we hold back the taxes things might be better..

    January 10, 2009 12:09 pm at 12:09 pm |
  16. J Stuart

    Yesterday I listened to CNN as republicans opposed Obama's plan while professing that small government and tax cuts are a proven way to get the economy going. I listened in bewilderment wondering if they had just returned to earth. Keep doing what got us here? Small government is synonymous with Deregulation a key factor that has led the country down this horrific road. Let's also look back and remember how a republican administration and congress squandered a trillion dollar surplus through smaller government and tax cuts.

    As Obama tries to repair the damage created over the past 8 years, his plan will create jobs and set America on a responsible course into the future.

    January 10, 2009 12:10 pm at 12:10 pm |
  17. Susan in Sarasota

    Where do I apply????

    January 10, 2009 12:10 pm at 12:10 pm |
  18. rep the ICT

    I do not feel that America will ever have a stable economy until we eliminate "plastic money". Too many people are willing to go into debt with credit companies and then find themselves unable to pay it back. All this money is "borrowed plastic money" that the credit companies have already dispersed but will never be seen paid back. This creates an imbalance. Sure, the money circulates but it creates a crator in the economy because it will never be paid back in full. Though this is just ONE of the issues, and i do not feel that the economy will ever be stable until we find a better alternative.

    January 10, 2009 12:10 pm at 12:10 pm |
  19. Dawn

    What's he going to do about all the jobs that have been sent overseas to China, India, etc.... How's he going to bring these jobs back when CEO's don't want to pay an American wage anymore? My husband works for Hewlett Packard, which was once a giant employer in America and it has sent production lines overseas and eliminated 75% or more of it's American workforce. How's Obama going to bring change when all these corporations are free to do this?

    January 10, 2009 12:10 pm at 12:10 pm |
  20. Jeff in Minneapolis

    Let us not be too quick to judge Obama's plan/Act. We didn't get into the fiscal mess we're in now over-night and it will take time, careful planning (ie. fiscal stimulus and restraint) and will require patience on every American's part. One should pour over the details of this new Act before drawing any conclusions or making any preliminary judgements. The worst thing we can do is to point fingers and blame one party vs. another. We have to believe in our elected officials and direct your thoughts to the congressman (woman) on what we think is best for our economy (short and long-term). We certainly don't want our legacy to be one of debt-spending and yet we are in some unfamiliar territory here and doing nothing is not a solution/option.

    January 10, 2009 12:11 pm at 12:11 pm |
  21. katie

    I have faith in President Elect Obama. People say "oh his plan wont work" How can you be so sure? you may have reasons you base that statement on, but you will never know if you try. In the condition this country is in, i think any idea is worth trying. Obama has the most difficult job in America right now, to criticsize him before he is even in office is plain ignorance. In order to get ourselves out of these current problems, we have to work together. Whether you are a liberal or conservative, we all want what is best for America.

    January 10, 2009 12:11 pm at 12:11 pm |
  22. Tina

    Gale: I just wanted to say that I was born here in the country and just wanted to comment on what you said about the kicking out all of the illegal immigrants that have taken jobs that we Americans can take. The thing is, these immigrants are taking the jobs that we Americans DO NOT WANT TO DO. Maybe you can suggest, help them become knowledgeable about our country and have them become U.S citizens. America is such a wondeful country with endless opportunities. We welcome each and everyone to the country. We are the United states and in our countrys title UNITED we need to Unite each and every race, color, nationality whatever it maybe to become apart of our strong nation. So not kick the immigrants out but to help them become knowladble about our country and have them become apart of this beautiful land called UNITED States of America.

    January 10, 2009 12:11 pm at 12:11 pm |
  23. Chipster

    Do you know what else Democrats do? They balance the budget, unlike the last 8 years of red ink. What else do Democrats do? They use our taxes for job training so people who needed a hand up will qualify for a job, instead of living on the street in growing numbers that we've witnessed for the last 8 years. The last Democratic president reduced the deficit and left Mr. Bush with a surplus. Republicans talk, talk, talk about fiscal responsibility, then borrow and spend us into oblivion. Republicans talk, talk, talk about reducing the size of government. Clinton reduced the size government. Bush added a new government employees to keep the job numbers from being even worse and the size of government exploded.

    Talk is cheap. Unemployment is the highest its been in 16 years – gee, wasn't that when the last Bush attempted to make VooDoo, Trickle Down, Supply Side economics work? Tax and spend is how government works. Borrow and spend is how Republicans dig us into a hole that Democrats have to pull us out of.

    January 10, 2009 12:11 pm at 12:11 pm |
  24. Eric

    What type of jobs? Build and repair bridge, rail road and street? Who want to do these kinds of jobs (Black, White, Asian)? And for how long? GUY! Mexican loves Obama... Obama has big month and demagogue.

    January 10, 2009 12:11 pm at 12:11 pm |
  25. Garth

    Long ago this country was taken away from England,France,Mexico,Spain and Canada.Lets just give it back to whoever owned each area. Or just put whats left of the Indians back in charge.
    This way they can care for our sorry selves.
    Sandy & Daniel Chump,you must be hung over (again) to think the way you do.
    Obama must be wondering just what he's gotten into.I didn't vote for the guy. I really do wish him well . Our elected people should all take a 30% cut in pay for the great job they have done.
    But , thats just my way of thinking.

    January 10, 2009 12:12 pm at 12:12 pm |
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