U.S. House lawmakers make progress on trade bill talks: aide

The progress, according to a congressional source familiar with the talks, involves a new way to pay for a program important to Democrats, which helps workers who lose their jobs as a result of trade deals.

The source, who asked not to be identified, said lawmakers would pay for the Trade Adjustment Assistance program by cracking down on some illegal tax activities instead of through cuts to the Medicaid health insurance program for the poor.

The deal could help clear the way for a vote this week or next on fast-track trade negotiating authority for U.S. President Barack Obama, which he needs to complete a Pacific Rim trade deal.

(Reporting by Richard Cowan; Editing by Susan Heavey and Doina Chiacu)