On Thursday, President Obama delivered his much-anticipated speech on job creation, urging Congress to pass the American Jobs Act, (pdf) a $447 billion plan to jump-start the economy. According to the President, “there should be nothing controversial about this legislation,” as all of the proposals set forth in the bill have allegedly been supported by both parties in the past. Beginning his remarks, Obama stated:

The purpose of the American Jobs Act is simple: to put more people back to work and more money in the pockets of those who are working. It will create more jobs for construction workers, more jobs for teachers, more jobs for veterans, and more jobs for the long-term unemployed. It will provide a tax break for companies who hire new workers, and it will cut payroll taxes in half for every working American and every small business. It will provide a jolt to an economy that has stalled, and give companies confidence that if they invest and hire, there will be customers for their products and services. You should pass this jobs plan right away.

Among other proposals, the bill would give most employers a 50% payroll tax cut for the first $5 million in wages; temporarily eliminate employer payroll taxes for businesses that create jobs or give raises above the prior year (this benefit would be capped at the first $50 million in payroll increases); allow businesses to immediately expense 100% of their investments in machinery and equipment; provide tax credits of up to $4,000 for businesses that hire individuals who have been unemployed for at least 6 months; provide tax credits of up to $9,600 for employers that hire veterans; and extend unemployment insurance for another year. In addition, the bill would prohibit discrimination against the unemployed. According to a fact sheet on the proposal, (pdf) the measure would also provide unemployment insurance benefits to individuals whose employers implement work sharing programs in lieu of layoffs.

Many of these suggestions have been set forth in previously-introduced bills. Moreover, the day of the President’s address, lawmakers introduced the Small Business Expansion and Hiring Act of 2011 (H.R. 2873) and the Unemployed Workers Hiring Act of 2011 (H.R. 2868), bills that would provide employers with a tax credit for hiring and retaining new workers and grant employers a payroll tax cut for hiring the unemployed, respectively.

In addition, the President is proposing the creation of an independent fund for infrastructure projects that would attract private firms. In order to pay for the bill, Obama stated that a week from Monday he will introduce a more ambitious deficit plan that will contain additional spending cuts. The President claimed that his plan would include higher taxes for large corporations, a revision of the corporate tax code, and changes to Medicare and Medicaid to make it more sustainable.

Obama acknowledged that many Republican members of Congress have favored a greater reduction in spending and eliminating more burdensome regulations to encourage economic growth. While agreeing that that onerous regulations should be rescinded, Obama claimed that he would not use the current economic crisis “as an excuse to wipe out basic protections.” He also rejected the idea that collective bargaining rights should be “striped away” to make the country more competitive.

The President is expected to formally unveil the complete bill the week of September 12.