American Jobs Act

National Policy

On September 8, 2011 President Obama called on Congress to pass the American Jobs Act. The plan’s goal is to help get people back to work and help those in work become more financially stable. The American Jobs Act includes the following five aspects:

Tax cuts to help businesses grow and hire new employees
Getting people back to work by focusing on rebuilding and modernizing the country
Making new pathways for Americans looking for jobs to get back to work
Tax relief for all American workers
Will be fully paid for as part of long term deficit reduction plan

Jobs Act (Full Text)
Joint Committee Fact Sheet
White House Fact Sheet

Massachusetts Policy

According to, the following details how the American Jobs Act will impact Massachusetts in four specific ways:

1. Tax Cuts

  • 140,000 employer firms will receive a payroll tax cut

2. Employing Workers to Rebuild America

  • Immediate investments of at least $850,700,000 in Massachusetts’ highway and transit projects could support a minimum of approximately 11,100 local jobs
  • Massachusetts could receive $591,800,000 to support up to 6,300 educator and first responder jobs Massachusetts could receive $378,600,000 in funding to support as many as 4,900 school improvement jobs
  • Massachusetts could receive $40,400,000 to revitalize and refurbish local communities.
  • Massachusetts could receive $68,800,000 in funding in the next fiscal year to support its community colleges

3. Pathways Back to Work for Americans Seeking Employment

  • Help for the 123,000 long-term unemployed workers in Massachusetts
  • Extending unemployment insurance and preventing 49,300 people looking for work in Massachusetts from losing their benefits in just the first 6 weeks.
  • Pathways Back to Work Fund to could place 2,500 low-income adults and 9,200 low-income youths in jobs in Massachusetts

4. Tax Relief

  • Payroll tax cuts; A typical household in Massachusetts, with a median income of around $59,000, will receive a tax cut of around $1,830

Find out how the Jobs Act will affect other states: A State by State Look at the American Jobs Act