Although the labor market remains severely distressed, today’s report on the employment situation is consistent with the pattern of stabilization and gradual labor market healing we have been seeing in recent months. 

The unemployment rate remained constant at 9.7 percent.  Many had expected that some of January’s 0.3 percentage point decline would prove to be a transitory drop.  That it was maintained for a second month makes it more likely that it was a genuine decline, not statistical noise.  The number of workers unemployed for more than 26 weeks fell by 180,000, the first decline in over a year.

Payroll employment declined by 36,000, slightly more than last month.  However, as many analysts have discussed in recent weeks, the large snowstorms in the Mid-Atlantic region in mid-February likely had a substantial negative impact on this number.  Someone who has a job but missed the entire pay period that included the 12th of the month because of the weather, and so did not receive a paycheck, is not counted as being on the payroll.  The Council of Economic Advisers estimates  that the impact of bad weather on the February employment number was likely substantially negative.  Importantly, negative weather effects this month would be expected to be counteracted next month, as workers who temporarily disappeared from payrolls because of the snow are once again counted.  In addition, according to the Bureau of Labor Statistics, temporary Census employment was an unusual factor adding about 15,000 to the payroll employment total in February.  Census employment is expected to rise substantially over the next few months, before declining again over the summer as the Census is completed.
 
Of course, an unemployment rate of 9.7 percent is unacceptably high and we need to achieve robust employment growth in order to recover from the terrible job losses that began over two years ago.  That is why it is essential that Congress pass additional responsible measures to promote job creation.  It is also vital that we continue to support those struggling with unemployment.

As always, it is important not to read too much into any individual data release, positive or negative.  Because of the disruptions from the weather, this is especially true of today’s employment data.  Although the overall trajectory of the economy has improved dramatically over the past year and appears to be continuing to improve, there will surely continue to be bumps in the road ahead.

Christina Romer is Chair of the Council of Economic Advisers

How many of you remember your high school commencement speaker? This year, public high schools across the country have an opportunity to invite one speaker their graduates will never forget. All you have to do is tell us how your school – more than any other – is preparing students for college and careers.

Education is one of the President’s top priorities. President Obama set a goal that America have the highest proportion of college graduates in the world by 2020, and we want to know what your school is doing to engage and motivate students, offer challenging academic opportunities, and provide the excellent education that you need to succeed in college and a job.

Today is a big day for the President’s Race to the Top program which is encouraging schools reach this goal. The Obama Administration has just announced the finalists for the first round of that competition. This year, the White House and the U.S. Department of Education have also teamed up to hold the first annual Race to the Top High School Commencement Challenge, a separate competition with a different, but still very special prize for one great public high school.

The rules are easy: if you are a high school student, fill out the online application by March 15th, answer four questions about your school’s success, and provide some information that demonstrates that success. Your high school principal will submit your application on your school’s behalf – you can even submit a creative video to help make your case.

Schools from across the country are competing to welcome President Obama as their graduation speaker this spring. It’s not too late to participate. Join the Race to the Top Commencement Challenge today.

Heather Higginbottom is a Deputy Assistant to the President and Deputy Director of the White House Domestic Policy Council

The urgency of health reform couldn’t be more clear.

Across the country, working families have been saddled with huge rate increase in their health insurance premiums. In California, consumers were informed of rate hikes as high as 39 percent, and in Michigan, insurers sought a 56 percent increase and this is happening across the country.

This is unacceptable, particularly at a time when families are struggling to make ends meet and the largest insurers took in more than $12 billion in profits last year alone. The American people want to understand why their premiums are skyrocketing while some companies are doing well. And they deserve a clear and accurate explanation.

I just got out of a meeting where I asked leaders from big insurance companies for answers. I hosted a discussion with the CEOs of UnitedHealth Group Inc., WellPoint Inc., Aetna Inc., Health Care Service Corporation and CIGNA HealthCare Inc., along with leaders from the National Association of Insurance Commissioners. I asked them to explain why these crushing burdens are being placed on middle-class families and what we can do to lower costs.

I also asked the CEOs to post the actuarial justification for these stunning rate increases online in an easy-to-understand manner, so that consumers can see why premiums are skyrocketing to the point that some people in the individual market can no longer afford coverage. I hope they will act quickly and make this information available to all of us. If insurance companies are going to raise rates, the least they can do is tell us why.

President Barack Obama reads a letter he received from Natoma Canfield of Medina, Ohio, during a meeting with insurance company executives hosted by HHS Secretary Kathleen Sebelius in the Roosevelt Room of the White House

But families deserve more. They need to know how we can prevent these increases from happening in the future. Families want to be responsible and buy health insurance.  They’re willing to pay a fair price.  They understand that health care is not cheap.

But they don’t want to be afraid every time they open a letter from their insurer that their premiums are going up $7,000 a year.  Or that their application has been rejected because they take a medicine for high blood pressure. Or that their insurance is being cancelled because of a mistake on their paperwork.

The point of health insurance is to give people peace of mind, and they’re not getting it.  The system we have is failing them.

President Obama has offered a health insurance reform proposal to help working families and small business owners.  It will hold insurance companies accountable by laying out common-sense rules of the road to keep premiums down, prevent insurance industry abuses and outlaw discrimination against Americans with pre-existing conditions.

Reform also includes key provisions that will protect consumers from unjustified premium increases. Building upon existing state practices, the President’s plan includes a new Federal authority to force insurers to justify their rate increases, provide additional support for states that already do rate reviews, and help those states that don’t currently review increases on their own.

Right now, in 21 states, insurance companies can raise rates without any oversight, no questions asked, and consumers suffer. Reform will change the rules and help stop exorbitant increases.

And the President’s plan will help reduce costs and require insurance companies to dedicate more of the premiums dollars they collect to actual care instead of profits, CEO salaries and advertising.  If they don’t spend enough on actual care, they’ll be required to send rebate checks to consumers.
 
Comprehensive reform is a necessary step to fix our broken health insurance market. Holding the insurance industry accountable is one step in that direction.

Kathleen Sebelius is Secretary of Health and Human Services

The White House Photo Office compiled a few never been seen photos and some old favorites of the Obama family dog. Take a look at our newest photo gallery, Bo!

Click here to see the photo gallery.

In his remarks yesterday the President brought the focus squarely back to what reform means for Americans and their families:

This is about what reform would mean for all those men and women I’ve met over the last few years who’ve been brave enough to share their stories.  When we started our push for reform last year, I talked to a young mother in Wisconsin named Laura Klitzka.  She has two young children.  She thought she had beaten her breast cancer but then later discovered it had spread to her bones.  She and her husband were working and had insurance, but their medical bills still landed them in debt.  And now she spends time worrying about that debt when all she wants to do is spend time with her children and focus on getting well. 

This should not happen in the United States of America.  And it doesn’t have to.

Back in September we had the opportunity to speak to Laura at her home in Green Bay – here’s the rest of her story in her own words:

Click here to see the video.

The First Lady traveled to Jackson, Mississippi today to spend time with students, officials and experts discussing a deeply important issue, not just as a First Lady, but as a mother. And that’s childhood obesity.

Alongside Governor Barbour and Mississippi’s First Lady, Mrs. Obama toured Pecan Park Elementary school’s walking trail — just one example of the creative work happening across the state to make sure kids stay healthy and active. Watch a video with Governor Barbour talking about the First Lady’s Let’s Move! campaign and programs all across the state:

Click here to see the video.

Later at Brinkley Middle School, the First Lady discussed state and nationwide efforts to meet these challenges, emphasizing an important goal of the Let’s Move! initiative:

We are trying to end the epidemic of childhood obesity in a generation. That’s a big goal — because we want kids born today to grow up healthy and at a good weight when they reach adulthood. So that’s the goal. And reaching this goal, it’s an ambitious goal to talk about doing anything in a generation. It’s a hard thing. But that’s why we started Let’s Move!, because this initiative is asking everyone in the country to do their part to reach this goal. Everyone has got to do their part.

So, do your part and Let’s Move towards a healthier future. Watch a video of the Let’s Move! rally here, learn more at LetsMove.gov and stay connected on Facebook.

President Obama’s United We Serve initiative is about to go on tour alongside Bon Jovi on the band’s “The Circle World Tour.” In collaboration with the Corporation for National and Community Service, rocker Jon Bon Jovi will be the first person to engage mass audiences in the President’s call to service at concert venues. The United We Serve initiative encourages Americans to get involved in community service to help the nation move forward.

Watch Bon Jovi explain the importance of civic engagement, and find out what you can do to get involved and make a difference at Serve.gov.

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The President has now laid out a path forward for health reform that  puts families and businesses in control of their own health care, reduces costs and the deficit, and incorporates new Republican ideas while still instituting fundamental protections again insurance company abuses.  He opened his remarks saying, "I want to especially recognize two people who have been working tirelessly on that — on this effort, my Secretary of Health and Human Services, Kathleen Sebelius — as well as our quarterback for health reform out of the White House, Nancy-Ann DeParle."  We’re happy to have both of them in a live video chat at 3:40PM EST to take your questions on the President’s proposal.  Secretary Sebelius will also be meeting with insurance company leaders in the morning to get answers on the alarming premium hikes being ushered in on families across the country and will be able to discuss what she heard from them.

Watch the discussion at WhiteHouse.gov/live
Watch and join the chat through Facebook

UPDATE: This event has now concluded.

You may know that I started professional life as a teacher. So last week it was a pleasure to spend an afternoon back in the classroom as part of Teach For America Week .

And the kids in Ms. Voskuil’s 7th grade reading class at Hart Middle School were great. They were enthusiastic about their work, and they asked a lot of interesting questions. A lot.

Ms. Voskuil’s advice had been to "get them rolling," and they sure did get rolling. These kids are thinking about a lot of things, way more than we give them credit for. They are interested in President Obama. They are interested in their government.

You can see they’ve got that curiosity just smoldering inside, and they just need a good spark, like Ms. Voskuil. You can tell they want to learn.

I talked with the class about the safety mission of our DOT. But my fundamental message was simple: learn to read and do basic math as well as you can. Because when I was a 7th grader I’m pretty sure I never imagined I’d be Secretary of Transportation. Most kids don’t know where they’ll end up or what jobs they’ll be doing. Mastering basic skills allows them to be prepared to seize any opportunity that comes their way.

Look, we need to position our kids for success. America cannot afford to deny any of its kids educational opportunities. We’ve all heard the expression that "a chain is only as strong as its weakest link." Well, a world-class education is the way we strengthen young Americans and prepare them to achieve.

And I can assure you that Ms. Voskuil’s class is on its way to achievement.

Teaching is a great occupation for those who want to make a positive difference in kids’ lives, who want to turn on the light bulbs in young minds. And Teach For America is helping put motivated teachers in classrooms across America that sorely need their dedication and energy.

You see, there are tens of thousands of schools in our own country that cannot adequately staff their classrooms with qualified teachers. So, whatever you think about whose fault that is, I urge you to think about how the price for that inequity is paid by hundreds of thousands of American children every year. And, in the end, by all of us.

Because those same children become adults who are unable to hold jobs because they lack basic skills, unable to participate in our democracy because they can’t decipher a ballot. Let’s face it; our educational inequities guarantee a national chain that is weaker than it ought to be. I think that’s unacceptable.

But since 1990, Teach For America has been helping these underserved schools, having reached over 3 million students. This year alone, 7,300 TFA teachers will bring their enthusiasm and preparation to over 450,000 students. And I saw with my own eyes that they are making a difference.

For example, Ms. Voskuil has helped these kids jump two grade levels in their reading already.

And that’s why, as happy as I was to help honor Teach For America Week at Washington, DC’s Hart Middle School, I’m already working on my lesson plan for next year.

My own interest in politics was sparked when I was a young teacher in Peoria’s Holy Family School, instructing kids about our Constitution and about government. So–who knows?–maybe I made an impression on one or more of those 7th graders here in Washington, DC.

Because Donald, Mary, Naree, Ikea, Napoleon, Emani, their classmates, Ms. Voskuil, Hart Middle School, and Teach for America certainly made an impression on me.

Ray LaHood is Secretary of Transportation

Ed. Note: At 3:40PM EST, HHS Secretary Kathleen Sebelius and Health Reform Director Nancy-Ann DeParle will take your questions about the President’s proposal and remarks in a live video discussion. Watch here at WhiteHouse.gov/live, or join the discussion through Facebook.

Click here to see the video.

Today the President made it exceedingly clear that he intends to move forward on reform to put Americans in control of their health care, and explained once again why:

Democrats and Republicans agree that this is a serious problem for America.  And we agree that if we do nothing -– if we throw up our hands and walk away -– it’s a problem that will only grow worse.  Nobody disputes that.  More Americans will lose their family’s health insurance if they switch jobs or lose their job.  More small businesses will be forced to choose between health care and hiring.  More insurance companies will deny people coverage who have preexisting conditions, or they’ll drop people’s coverage when they get sick and need it most.  And the rising cost of Medicare and Medicaid will sink our government deeper and deeper and deeper into debt.  On all of this we agree. 

So the question is, what do we do about it? 

The answer to that question, of course, has been at least a year in the making – countless hearings, meetings, and conversations have brought the best ideas from both sides to the surface, and the President’s proposal includes a broad array of Republican suggestions in addition to Democratic ones.

President Barack Obama speaks about health care reform in the East Room of the White House,

However, the President also confronted the fact that there is a fundamental disagreement on how to deal with some core elements of the problem. Explaining that just as he has rejected one extreme of the spectrum that calls for an actual government takeover of health care, so too does he disagree with the other side:

On the other end of the spectrum, there are those, and this includes most Republicans in Congress, who believe the answer is to loosen regulations on the insurance industry — whether it’s state consumer protections or minimum standards for the kind of insurance they can sell.  The argument is, is that that will somehow lower costs.  I disagree with that approach.  I’m concerned that this would only give the insurance industry even freer rein to raise premiums and deny care.

So I don’t believe we should give government bureaucrats or insurance company bureaucrats more control over health care in America.  I believe it’s time to give the American people more control over their health care and their health insurance.  I don’t believe we can afford to leave life-and-death decisions about health care to the discretion of insurance company executives alone.  I believe that doctors and nurses and physician assistants like the ones in this room should be free to decide what’s best for their patients.  (Applause.)

The President spoke at length about the merits of his proposal, from ending insurance company abuses, to the fact that it is paid for will reduce the deficit (concepts largely abandoned in recent years), to the fact that 30 million people will be covered and millions of middle class families will be able to afford the peace of mind of quality insurance for the first time.

He also called for an up or down vote in the next few weeks just as has been given to many health care bills before and to the Bush tax cuts, pledging that “from now until then, I will do everything in my power to make the case for reform.”

He closed with an explanation of what is motivating him:

So at stake right now is not just our ability to solve this problem, but our ability to solve any problem. The American people want to know if it’s still possible for Washington to look out for their interests and their future. They are waiting for us to act. They are waiting for us to lead. And as long as I hold this office, I intend to provide that leadership. I do not know how this plays politically, but I know it’s right. (Applause.) And so I ask Congress to finish its work, and I look forward to signing this reform into law.