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Newsom and city officials unveil $9 million plan and national push to avert JobsNow layoffs
Summary
Mayor Gavin Newsom and Human Services Director Trent Rohrer presented a contingency plan to redirect roughly $9 million in local funds to preserve about 1,700 subsidized positions if the federal JobsNow subsidy expires Sept. 30, and launched an advocacy campaign asking Congress to extend the program.
Mayor Gavin Newsom on Sept. 22 outlined a two‑track strategy to limit job losses if Congress does not extend the federal JobsNow wage subsidy by Sept. 30. The plan would reorient about $9 million in local resources to preserve roughly 1,700 placements and offer private employers a $2,500 flat subsidy to hire or retain program participants.
"We can hand out $450 a week not to work or $447 a week to work," Newsom said, arguing JobsNow provides dignity and economic stimulus by keeping people employed rather than on unemployment benefits. Human Services Director Trent Rohrer said the program has placed thousands nationally and thousands locally; San Francisco has used roughly $55 million in federal reimbursement for wages and currently supports about 3,800 placements.
Rohrer explained the proposed local plan would target public‑sector trainee slots, nonprofit transitional placements and a private‑sector subsidy: employers that keep JobsNow employees would be eligible for the $2,500 reimbursement for new hires and additional slots would be created for CalWORKs families.
Business leaders at the event — including Scott Haughey of Small Business California and Robert Miller of the Internet Archive — testified that the program helped their operations and urged senators to extend the federal funding. Miller said his organization hired 145 people through JobsNow and launched an online petition campaign aimed at persuading Senate Republicans in key states to support extension.
City staff and employers acknowledged the program's rapid scale‑up posed administrative challenges but pointed to internal surveys showing employers reporting increased sales, efficiencies and likelihood to retain participants absent the subsidy. Officials emphasized advocacy to the Senate while preparing transition supports for workers if federal funds lapse.
