California, like the other states in US, has been in recession since three years. The state has been making its best efforts to come out of it as soon as possible.
The governor of the state, Arnold Schwarzenegger released the revise budget plan proposing major cuts in the health and welfare programs. He laid out the option of removing CalWORKS which was the state’s welfare-to-work program.
The recession has resulted in the California unemployment rate rising to 12.6. With unemployment remaining high and tax revenue low, California will face a deficit of more than $20 billion in the fiscal year that begins July 1.
The governor has assured that there will not be any raise in taxes. But democrats feel that the state has already made too many cuts in its programs. They feel that this might hit the spirit of the federal health care program. They have been to Washington propagating the cause that no more cuts should be allowed for core health and social programs as it may effect single mothers, seniors and children.
Republicans believe that the revenue should come from taxes generated from the growth of the jobs and this is possible if the business taxes are lowered and the regulations are reduced.
But those vouch for health and welfare programs say that it might affect the families and might impact the economy of California negatively.
It is true that not all of them in the state are happy with the cuts in health care programs.
You can refer unemployment benefits in California for more details on unemployment benefits in the state.