The Michigan Daily-Tuesday, May 12, 1981-Page 5
Conservative
Senate favors
Reagan tax cut
Daily Photo by JACKIE BELL
STUDENTS SEARCH A listing of summer job openings outside the Univer-
sity's Temporary Student Employment Office yesterday. Unsuccessful
student job-hunters have called the city's job market "desperate."
Students find city
,job market bleak
(Continued fromPage 1)
can give them," said Stephanie Hall,
dining room manager for Cottage Inn.
"I just got laid off from the store
where I worked," said Anne
Harrington, who graduated this month.
She and a friend are looking for
housecleaning work, but "it doesn't
look so good," she said.
VARIOUS AREA businesses such as
Great Lakes Federal Savings and the
Real Seafood Co., say they get
anywhere from five to 15 people coming
in every day to ask about jobs. When
they place an advertisement for an
available position, that figure more
than doubles. A manager at the Whif-
fletree Restaurant said approximately
100 people in three days answered their
ad for kitchen help.
A new company in Ann Arbor, J & R
Systems Advertising, placed a
newspaper ad last week to fill 16
telephone sales positions. Roughly 200
people, primarily students, applied for
the temporary, three-month positions,
according to manager Ron Bunce.
For students, the number of available
summer jobs has increased only in the
work/study program. However,
Longmate said the University's em-
ployment office has very little federal
money left over from the fall and winter
terms for funding summer work/study
positions. One hundred and ninety-eight
students have been hired so far, and
perhaps 50 more will be, according to
Longmate, compared to 479 students
who were hired through work/study at
this time last year.
LONGMATE ATTRIBUTED the in-
crease to the economic belt-tightening
Michigan businesses are facing.
Work/study students are a cheaper
temporary employment cost for
businesses because 80 percent of their
pay is currently funded by the federal
government. For businesses, Longmate
said, "with budget cuts, the first thing
to go is regular temporary employment
positions. Everybody's hurting."
Martinson said some of the places she
has applied to are looking for
work/study students only. "They say if
I was work/study, then I could have a
job," she said, "but I can't get
work/study."
Labor market analyst Michael
Williams of the Michigan Employment
Security Commission, said Ann Arbor
unemployment for March was at 5.5
percent, up 0.8 percent from the same
period last year.
WILLIAMS AND Longmate had
some advice for student job hunters.
"Have a good resume and look neat"
when applying, said Williams. "Keep
looking, don't give up the first week or
two. Don't feel as though if there's
nothing here, then there's no jobs
available," advised Longmate.
Job availability for students remains
somewhat bleak throughout the school
year. Longmate said her office just
finished a survey that shows student
temporary employment was down 10.6
percent in the 1980-81 year.
"It's just real discouraging,
especially when you know you have
some skills," said Martinson. "I have a
bachelor's degree and two years' ex-
perience."
Use Daily
Class ifieds
WASHINGTON (UPI) -- The Senate,
in an unswerving march toward ap-
proval of President Reagan's budget,
crushed a Democratic-led attempt
yesterday to limit a proposed tax cut to
less than half of the president's request.
The Senate voted 74-14 against an
amendment by Sen. Ernest Hollings
(D-S.C.) to limit the tax cut to $21.4
billion, compared to the $54 billion
reduction proposed by the ad-
ministration.
HOLLINGS, RANKING Democrat on
the Budget Committee, said a smaller
tax cut aimed more specifically than
Reagan's toward productivity would
keep down the federal deficit while still
stimulating economic growth.
Reagan's tax plan, commonly known
as the Kemp-Roth proposal, for Jack
Kemp (R-N.Y.) and Sen. William Roth
Jr. (R-Del.), would reduce personal tax
rates by 10 percenta year for three con-
secutive years.
However, Rep. Kent Hance (D-
Texas), who has been drafting alter-
nate tax bills for the House conser-
vatives, said a plan that cuts tax rates 5
percent in the first year and 10 percent
in each of the next two years "is the
maximum our people will consider."
REAGAN's proposal would reduce
taxes by $54 billion in 1982, leave a $45
billion budget deficit for 1982, and post-
pone a balanced budget until 1984.
The Senate is debating a $699 billion
budget resolution that includes revenue
targets as well as spending ceilings for
fiscal 1982. The size of the tax cut would
determine to a large extent the amount
of revenue the government collects.
A final vote on the measure, which
contains $37 billion in already-approved
spending cuts in every area but defen-
se, is set for today.
DEMOCRATS PROPOSED amen-
dments they said would plug holes in
Reagan's "safety net" of social
programs, but their efforts were unsuc-
cessful in the, Republican-controlled
Senate.
With political momentum on his side,
Reagan meanwhile has approved a
plan to save the Social Security
program by making it less profitable
for workers to retire early and
providing incentives for them to stay on
the job past the age of 65, sources said
yesterday.
The major points of the plan had been
worked on for months by an ad-
ministration task force. The president
then briefed congressional leaders.
EXPERTS AGREE THE Social
Security program will go broke late
next year unless something is done,
although actuarial tables say it will
return to balance by the last part of the
decade.
Administration experts predict a $40
billion deficit by 1986 unless something
is done, but the Congressional Budget
Office estimates the anticipated shor-
tfall at $63 billion by then.
The Senate wants to cut the cost-of-
living raises, while the House Social
Security subcommittee wants to raise
the retirement age gradually from 65 to
68.
Several commissions and some
liberal lawmakers have proposed tap-
ping income tax revenues for Social
Security, but conservatives oppose that
because they say it would make it
almost impossible to balance the
budget.
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