Organizing Unemployed Workers in the Great Recession

As the Great Recession grew the Philadelphia Unemployment Project organized unemployed workers who were being trampled by the crushing unemployment rates caused by the collapse of the housing and financial markets. Their actions made a difference.

PUP took on the sub prime foreclosure crisis which forced millions into foreclosure.  We fought for unemployment benefits and public jobs programs.  We later pressed for foreclosure protections for families with prime mortgages forced into default by long term unemployment.

As a result of our actions several programs to aid homeowners and the unemployed were but into place in Philadelphia, Pennsylvania and the nation.  PUP’s organized unemployed workers, staff and coalition partners made concrete gains for families victimized by the harsh economy by winning jobs and foreclosure protections.

Programs that were enacted due to PUP’s organizing efforts:

Philadelphia Mortgage Foreclosure Diversion program

PUP pressed for action to halt sheriff sales and demand affordable loan modifications due to the subprime crisis. Following a stay in Sheriff Sales the Mortgage Foreclosure Diversion Program was created. PUP was deeply involved in the implementation of the program that does not allow a foreclosure in the city of Philadelphia unless the bank and homeowner come together to negotiate a settlement to allow the family to remain in the home. This "Conciliation Conference" is held under supervision of the Courts and has become a national model and thousands of foreclosures have been prevented.

Pennsylvania Way to Work Subsidized Jobs Program

PUP led the demand that federal stimulus dollars, which were being unused, be put into a public jobs program in Pennsylvania. The result was the Way to Work program which provided jobs paying up to $13/hour for nearly 13,000 unemployed Pennsylvanians. Due to Pennsylvania’s late start in setting up the program jobs lasted under six months, but made a real difference for thousands as it provided work at the peak of the unemployment crisis. Many WtW workers were able to stay on with private employers beyond the end of the program.

Federal Emergency Homeowner Loan Program

PUP fought for creation of a program to offer foreclosure aid to the unemployed, as the administrations prime foreclosure program, Home Affordable Modification Program, HAMP, focused on sub prime mortgages, not families in default due to unemployment.  Programs for “hardest hit states” were created followed by the Emergency Homeowner Loan Program (EHLP).  These programs allow no interest loans to homeowners facing foreclosure due to unemployment.

Halted Sheriff’s Sales for months to allow families to receive EHLP

PUP went into court and organized actions that led to a 3 month stay of Sheriffs Sales at Christmas 2010 to allow homeowners to stay in their homes while HUD implemented the EHLP program in Pennsylvania.