AFL-CIO Jobs Proposal

In a preview of labor's contribution to the December jobs summit, AFL-CIO President Richard Trumka said money from the Troubled Asset Relief Program could be lent directly to small-and medium-sized businesses at commercial rates.

The head of the largest U.S. labor federation urged President Barack Obama to use the $700 billion Wall Street bailout fund to help cash-starved small businesses as a way to stem rising joblessness. TARP money could also help small community banks that were ignored during the financial rescue effort by having them manage the loans.

The proposal, unusual for a labor organization, is part of a five-point AFL-CIO plan to address rising unemployment that hit 10.2 percent in October, its highest rate in 26-1/2 years.