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U.S. Union Chief Says Cuts Won't Spur Growth

AFL-CIO president says politicians are too obsessed with trying to cut spending when they should be investing in stimulus projects that will create new jobs.

WASHINGTON (AP) -- The head of the largest U.S. labor federation says politicians are too obsessed with trying to cut spending when they should be investing in stimulus projects that will create new jobs.

AFL-CIO president Richard Trumka calls the rush to cut federal and state budgets a shortsighted approach that hurts middle class workers and does little to spur economic growth.

Trumka's remarks in a speech Wednesday at the National Press Club offered a subtle challenge to President Barack Obama, who has been working to mend ties with the business community.

Trumka is urging Obama and other leaders to spend trillions of dollars on high-speed mass transit, smart utilities and fixing roads and bridges.