On June 12, 2008, by a margin of 274-137, House Democrats passed the Emergency Unemployment Compensation Act of 2008 (H.R. 5749) on June 12, 2008 with the support of 49 Republicans, but the vote fell short of a two-thirds veto-proof margin. The legislation provides jobless workers who have exhausted their benefits with 13 additional weeks of benefits. Further, the bill provides for additional 13-week extensions to workers in states with the highest rates of unemployment, including Michigan and California.

House Democratic leadership expedited the bill under a motion to suspend the rules (requiring a two-thirds majority) on June 11, following the release of the May unemployment numbers by the U.S. Department of Labor. The bill fell three votes short of supermajority passage, failing 277-144, but Democrats were able to bring up the bill for a second vote on June 12 under normal majority rules.

The Bush Administration has indicated it will veto the legislation, citing its cost and nationwide coverage, including states with low unemployment rates. Republicans have also objected to a provision of the bill removing the requirement that employees work 20 weeks to qualify for benefits, claiming the removal of the requirement opens the door for fraud.

The bill now advances to the Senate for consideration. House leaders have acknowledged that final passage remains unlikely in light of the veto threat and indications by Senate Democrats that they might not bring the bill to the floor if faced with intense Republican opposition. Rather, Senate Democratic leadership intends to include the extension of unemployment benefits in Iraq and Afghanistan war supplemental spending bills.

Both prospective presidential nominees, Sen. John McCain (R-NV) and Sen. Barack Obama (D-IL), have indicated support for unemployment benefit extensions.