Economy Minimum wage debate: States make their own increases (Post #340)

Should there be a federal minimum wage hike?


  • Total voters
    197
Mocking the hypocrisy of the press. Trump had plenty of experts working for him, too.

Yellen herself is one of the top names in the field, and the matter being discussed is one that is legitimately controversial among experts. Takes a real special mind to miss those key distinctions and think it's "hypocrisy" that would cause one to distinguish between Yellen and Trump.
 
Funny how those "top minds" flip-flop overnight. Funny how nobody in the corporate media seems to care to investigate or scrutinize that. Nothing but pom-poms.
 
Funny how those "top minds" flip-flop overnight. Funny how nobody in the corporate media seems to care to investigate or scrutinize that. Nothing but pom-poms.

The way it works among people who aren't nutters is that as evidence comes in, you revise your views.

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The biggest part of that shift was Card and Krueger's 1994 study (and then a general move toward empiricism in the field). The idea that it's good to never change your position regardless of the evidence or that in any controversy both sides have equally valid views is unfortunately common on the right and is responsible for the intellectual death of the movement. And FWIW, I don't personally support a national $15/hr MW.
 
Capitalists shouldn't be told how much they have to pay. If they're not paying, and someone is qualified for better then go get it.

If people think covid mandates are killing small businesses, what do you think will happen if they're forced to pay more?
 
Chuck Schumer Eyes a Second Shot at Raising the Minimum Wage through Reconciliation
The Intercept
SENATE MAJORITY LEADER Chuck Schumer is considering putting a $15 minimum wage into the next reconciliation package, which will be focused on infrastructure, multiple sources familiar with the New York senator’s thinking told The Intercept.

Senate Democrats attempted to include the wage hike in President Joe Biden’s Covid-19 relief package, but the Senate parliamentarian ruled it was out of order, and Senate Democrats allowed that ruling to stand. An effort to overturn the ruling, which required 60 votes, garnered just 42.

Schumer has suggested to progressive groups that there is a glimmer of hope that the parliamentarian would rule differently this time: The new legislation is focused on infrastructure, and setting wages is directly related to the budget impact of any infrastructure spending. If there’s even a small chance of it working, he reasoned, it’s worth the fight.

Schumer, though, is encountering resistance from some backers of increasing the minimum wage, who argue that attempting to include it is doomed to fail just as it did last time, and in the process it will trigger another wave of indignation from the public at the failure. Debate over the $1.9 trillion relief package was consumed in its final days by anger over the lack of inclusion of the wage hike, with pressure on progressives to vote it down.

I mean, I don't think there's a penalty to continually ask the parliamentarian about different things. Maybe a time cost if there a formal procedure to the whole thing.
 
Romney, Sinema teaming up on proposal to raise minimum wage
The Hill

Sens. Mitt Romney (R-Utah) and Kyrsten Sinema (D-Ariz.) are teaming up on a bill to increase the minimum wage.

Romney declined to provide details on the proposal, though he suggested that he and Sinema had largely reached an agreement.

“We’re negotiating a minimum wage proposal which we would ultimately take to our group of 20 and see how they react to it and then go from there,” Romney said, referring to a bipartisan group 20 centrist-minded senators.

Romney also wouldn’t disclose the phase-in timeline or what the minimum wage would be raised to.

Sen. Joe Manchin (D-W.Va.) told The Huffington Post, which first reported on the Romney-Sinema proposal, that he believed the bipartisan measure would raise the minimum wage to $11 per hour.

I think a bill is guaranteed to eventually pass here. It's just funny how we have to have a bunch of different ones when the measure is simple enough that there shouldn't be much credit for whoever pulls it off compared to just who votes yes on it.
 
This was rumored/ somewhat expected but it's done.

Biden Orders $15 Minimum Wage for Federal Contractors

The New York Times
President Biden signed an executive order on Tuesday raising the minimum wage paid by federal contractors to $15 an hour, the latest in a set of ambitious pro-labor moves by his administration.

The new minimum is expected to take effect next year and is likely to increase the pay of hundreds of thousands of workers, according to a White House document. The current minimum is $10.95 under an order that President Barack Obama signed in 2014. Like that order, the new one requires that the minimum wage rise with inflation.

“I believe no one should work full-time and still live in poverty,” Mr. Biden said in a Twitter post announcing the move.

White House economists believe that the increase will not lead to significant job losses — a finding in line with recent research on the minimum wage — and that it is unlikely to cost taxpayers more money, two administration officials said in a call with reporters. They argued that the higher wage would lead to greater productivity and lower turnover.
 
Every robotoics engineer should be behind this. This is the end of human harvesting. These robots have been around but have been to expensive but now...

looks like a bitch to fix
 
Target is raising its minimum wage to as much as $24 an hour
March 1, 2022

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Target says it will raise its minimum wage as high as $24 per hour this year, depending on the local market. Companies have been raising pay and benefits in an effort to keep and attract workers.

The retail giant currently pays a $15 per hour starting wage but said Monday that it would begin paying workers wages ranging from $15 to $24. The starting rate will depend on the job, the market and local wage data, among other factors.

The wage increase is a part of a $300 million investment in pay and benefits. The company also said it would expand employee access to health care. Hourly employees who work an average of at least 25 hours a week will become eligible for a Target medical plan.

Initially, these benefits were only available to employees who work an average of at least 30 hours per week. With the new benchmark, about 20% of Target workers will become eligible.

The company is also bolstering most health plans to include virtual physical therapy and acupuncture at no cost, along with more fertility benefits. Employees will also be able to access 401(k) plans earlier, the company said.

Last year, the company announced a partnership with Guild Education — the same company that partnered with Dollywood's parent company — to provide employees with free education programs, including degrees, certificates and boot camps.

Target workers unite, an independent group made up of rank and file company employees, said the "pay rate is probably exclusive for warehouse workers" and that the pay range could mean lower wages in the South.

Walmart raised its minimum wage to $12 last year and Costco raised its minimum to $17. The federal minimum wage is $7.25 per hour.

More than two dozen states, along with the District of Columbia, Guam and the Virgin Islands, have minimum wages that exceed the federal minimum.

www.npr.org/2022/03/01/1083720431/target-minimum-wage
 
The way it works among people who aren't nutters is that as evidence comes in, you revise your views.

https%3A%2F%2Fbucketeer-e05bbc84-baa3-437e-9518-adb32be77984.s3.amazonaws.com%2Fpublic%2Fimages%2F1d4f3dd0-464a-4c17-9bc3-d538d10835b2_1742x1318.jpeg


The biggest part of that shift was Card and Krueger's 1994 study (and then a general move toward empiricism in the field). The idea that it's good to never change your position regardless of the evidence or that in any controversy both sides have equally valid views is unfortunately common on the right and is responsible for the intellectual death of the movement. And FWIW, I don't personally support a national $15/hr MW.

I think it's fairly well established at this point that minimum wage hikes don't affect long or medium term employment rates (although it's a little hard to deny that it causes some short term cuts in hours and hiring as small businesses, especially, readjust).

I wonder, though, what you think about the theory that minimum wage hikes have two basic counter effectual results:

1. They help low wage earners get out ahead of the inflationary curve by giving them the first bump.

2. They hurt small businesses, especially the ones on the brink, that simply can't absorb the labour costs and help large corporations gobble up an increasing share of the market.

This would explain the reason that minimum wage hikes don't lead to the sorts of job losses that one might expect. But it is also a possible explanation for the reason real wages continue to stagnate in nations that see minimum wages as a remedy for the existence of the working poor (in contrast to fairly clear evidence that fostering an environment of strong labour unions is many times more effective to that end).

I was once a small business owner, and this take rings true to me.
 
I think it's fairly well established at this point that minimum wage hikes don't affect long or medium term employment rates (although it's a little hard to deny that it causes some short term cuts in hours and hiring as small businesses, especially, readjust).

I wonder, though, what you think about the theory that minimum wage hikes have two basic counter effectual results:

1. They help low wage earners get out ahead of the inflationary curve by giving them the first bump.

2. They hurt small businesses, especially the ones on the brink, that simply can't absorb the labour costs and help large corporations gobble up an increasing share of the market.

This would explain the reason that minimum wage hikes don't lead to the sorts of job losses that one might expect. But it is also a possible explanation for the reason real wages continue to stagnate in nations that see minimum wages as a remedy for the existence of the working poor (in contrast to fairly clear evidence that fostering an environment of strong labour unions is many times more effective to that end).

I was once a small business owner, and this take rings true to me.

Not sure about the parenthetical in that first sentence. Anyway, I don't think 1 makes any sense. 2 might be true, though I don't think it's something we should care about. I think the tendency to prioritize the interests of small businesses over those of workers is destructive and irrational. I'm not aware that nations that have MWs (not really sure exactly what you're referring to) see less growth in real wages than ones that don't, and it seems implausible to me that if they did, MWs would be the reason. I don't think we have to choose between MW and encouraging unions.
 
Raise it to $20. We will struggle for a few years while things adjust, lose a few businesses and in 5 years there will bottom or the barrel folks will be no better off then they are today.
 
I am disgusted by the amount of votes against 15+ you greedy POS corporate cunts need to have your companies go bankrupt. I hope all your employees quit. It seems to be the case already. So many times we went to getfast food but the chains were closed due to under staffed.
 
It is time that they have wage hikes. We have one of the lower minimum wages among westernized nations and very poor social policies.
 
Yes! America is on the correct path, to socialist utopia! Even if some people will lose their jobs eventually because of this, it is the best thing for the public good, because the state can look after these people anyway so long as they do as they are told.
 
@Lead how do you feel about federal jobs minimum wage at $15, and separately $15 an hour for all jobs?
 
@Lead how do you feel about federal jobs minimum wage at $15, and separately $15 an hour for all jobs?

I don’t have an opinion on the federal distinction. I don’t agree with $15. It doesn’t make sense to me that the federal government should raise it past all state minimum wage laws. Because of the different cost of living you can get by state/ region, federal minimum should serve as a backstop.

With that said, $15 will eventually make sense on a long enough time scale, especially if inflation were to continue. I think I’d be okay with $10 or a measure to continually update it so we don’t have to approach the debate every decade or so.
 
I don’t have an opinion on the federal distinction. I don’t agree with $15. It doesn’t make sense to me that the federal government should raise it past all state minimum wage laws. Because of the different cost of living you can get by state/ region, federal minimum should serve as a backstop.

With that said, $15 will eventually make sense on a long enough time scale, especially if inflation were to continue. I think I’d be okay with $10 or a measure to continually update it so we don’t have to approach the debate every decade or so.

I think we mostly agree. I think the only thing I'd add that you didn't mention was potentially a federal "raise" of sort yearly, similar to what you get at work. Like the minimum wage rises a certain amount or certain percentage on a federal level each year keeping pace with growth. Then states themselves can set the marks higher or if cost of living is really low adhere to the federal marker.
 
I think we mostly agree. I think the only thing I'd add that you didn't mention was potentially a federal "raise" of sort yearly, similar to what you get at work. Like the minimum wage rises a certain amount or certain percentage on a federal level each year keeping pace with growth. Then states themselves can set the marks higher or if cost of living is really low adhere to the federal marker.

Yea, that’s what the “measure to continually update it so we don’t have to approach the debate every decade or so.” meant. I just didn’t want to necessarily say tie it to inflation but that’s the initial calculation most people would use.
 
The Minimum Wage Just Went Up in These States. Is Yours One of Them?
By Dan Avery | July 12, 2022

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On July 1, the first day of fiscal year 2023, numerous states, cities and counties increased the local minimum wage. Areas with the highest base pay include Hawaii, which raised its minimum wage from $15.20 to $16.10 an hour, and West Hollywood, where companies with more than 50 employees must pay them at least $16.50 an hour.

Despite soaring inflation, the federal minimum wage has remained stagnant at $7.25 since July 2009. Those in favor of raising it argue the current rate puts a family with one breadwinner below the poverty line. But critics say raising it to the proposed $15 an hour would force smaller companies out of business, hurt part-time and student workers, and reduce employment amid an already shaky economy.

Here's where the minimum wage has increased, as well as the case for and against raising it on the federal level.

For more ways states are trying to put money in residents' pockets, read about gas-tax rebates, fuel tax holidays and state stimulus checks.

Where has the minimum wage been raised?

Twenty states, cities and municipalities have boosted the minimum wage rate for hourly workers this year.

California

The statewide minimum wage increased to $15 an hour on Jan. 1, 2022, though companies with 25 employees or fewer can pay $14 an hour. As a result of ongoing inflation, Gov. Gavin Newsom announced the minimum wage statewide will increase to $15.50 an hour on Jan. 1, 2023.

Separately, several cities and counties increased their baseline wages starting July 1, 2022.
  • Alameda: $15.75 per hour
  • Berkeley: $16.99
  • Emeryville: $17.48
  • Fremont: $16.00
  • Long Beach: $16.73 an hour for hotel workers; $16.55 for food-service workers at the convention center and airport
  • Los Angeles city: $16.04
  • Los Angeles County: $15.96
  • Malibu: $15.96
  • Milpitas: $16.40
  • Pasadena: $16.11
  • San Francisco County and city: $16.99
  • Santa Monica: $15.96
  • West Hollywood: $16.50 an hour for employers with more than 50 employees, or $16 an hour for employers with fewer than 50 employees. Hotel workers will earn $18.35 an hour.
Connecticut
On July 1, the minimum wage in Connecticut increased from $13 to $14, as part of a progressive increase begun in 2019. The base pay will eventually reach $15 on June 1, 2023.

Hawaii
On June 23, Gov. David Ige signed legislation raising Hawaii's minimum wage to $18 by 2028, currently the highest in the country. It's a gradual increase, from the current $10.10 per hour to $12 per hour, effective Oct. 1, 2022. From then it will increase to:
  • $14 per hour, effective Jan. 1, 2024
  • $16 per hour, effective Jan. 1, 2026
  • $18 per hour, effective Jan. 1, 2028
Hawaii has no annual inflation adjustments, so the state legislature would have to act to raise it further.

Illinois
In some circumstances, state, county and city officials set different wage rates and workers are paid whichever is highest. In January, the Illinois minimum wage went up to $12 an hour, with a $7.20 minimum for tipped workers and a $9.25 minimum for workers under the age of 18.

Cook County -- which includes Chicago and Evanston -- went further on July 1, increasing its minimum wage to $13.35 and the minimum for tipped workers to $7.40 an hour. (Illinois' base pay is slated to hit $13 on Jan. 1, 2022, then $14 in 2024 and $15 in 2025.)

In Chicago, the minimum wage for businesses with four to 20 workers has risen from $14 to $14.50, while the base rate for companies with 21 or more workers has been bumped up from $15 an hour to $15.40.

Maryland
Montgomery County, a bedroom community for Washington, DC, has upped its minimum wage on July 1.
  • Companies with 10 or fewer workers now must pay $14 an hour, up from $13.50.
  • Those with 11 to 50 workers must pay $14.50, up from $14 an hour.
  • Employers with more than 50 workers must pay $15.65 an hour, up from $15.
Minnesota
On Jan. 1, 2022, Minnesota's minimum wage was increased to $10.33 an hour for companies with revenue over $500,000, and $8.42 an hour for those under that threshold.

On July 1, Minneapolis increased its minimum wage for businesses with more than 100 workers from $14.25 to $15 an hour. Businesses with 100 or workers or less must increase their minimum wage from $12.50 to $13.50 an hour.

St. Paul has instituted incremental increases. As of July 1:
  • Employers with five or fewer workers are required to pay $10.75 an hour, up from $10. Companies with six to 100 workers must pay $12 an hour, up from $11.
  • Employers with between 101 to 10,000 workers must pay $13.50 an hour, up from $12.50.
  • Companies with more than 10,000 employees are now required to pay $15 an hour, up from $12.50 an hour.
Nevada
The minimum wage for workers with health insurance has increased from $8.75 an hour to $9.50 an hour. Employees without health benefits have seen their base pay bump up from $9.75 to $10.50 an hour.

The minimum wage in Nevada will continue to increase in 75-cent increments until 2024, by which time the minimum wage will be $12, or $11 for employees with health care benefits.

Oregon
The state's minimum wage went up on July 1, but by how much depends on where you work.

  • In the Portland metro area, the $14 minimum wage went up to $14.75 an hour. This also affects what the area calls the urban growth boundary, including parts of Clackamas, Multnomah and Washington counties.
  • The standard wage increased from $12.75 to $13.50 an hour in regions outside the urban growth boundary, including Benton, Clatsop, Columbia, Deschutes, Hood River, Jackson, Josephine, Lane, Lincoln, Linn, Marion, Polk, Tillamook, Wasco, Yamhill, and parts of Clackamas, Multnomah and Washington counties.
  • The wage increased from $12 to $12.50 an hour in non-urban counties including Baker, Coos, Crook, Curry, Douglas, Gilliam, Grant, Harney, Jefferson, Klamath, Lake, Malheur, Morrow, Sherman, Umatilla, Union, Wallowa and Wheeler.
These rates are in effect through June 30, 2023. After that, the state's baseline wage will be adjusted annually based on the Consumer Price Index.

Washington, DC

Thanks to the 2016 Fair Shot Minimum Wage Amendment Act, the nation's capital bumped up its minimum wage on July 1 from $15.20 to $16.10 an hour.

In addition, tipped workers' minimum wage has risen to $5.35 an hour.

DC's minimum wage is linked to the 12-month percentage change in the Consumer Price Index for All Urban Consumers for the DC area.

How many US workers earn minimum wage?

In 2019, 1.6 million Americans, or about 1% of the US workforce, were paid the federal minimum wage or less, according to the Bureau of Labor Statistics.

More than half worked part-time, many were between the ages of 16 and 25, and more than 60% worked in the food service or hospitality industries, where tips often compensate for lower wages.

What is the case for raising the federal minimum wage?

Until 1968, the minimum wage kept pace with inflation and increased in step with productivity growth. If that was still the case, according to the Center for Economic and Policy Research, the minimum wage would be almost $21.50 an hour -- equal to an annual salary of roughly $44,000.

Currently, a minimum-wage earner takes home $15,080 a year, not far above the federal poverty limit of $12,800. While 30 states and the District of Columbia have minimum wages above the federal baseline, 20 states -- mostly in the South and Midwest -- still adhere to the $7.25 standard.

In 2021, President Joe Biden issued an executive order instituting a $15 minimum wage for federal contractors, and this spring he called on Congress to raise the rate for all workers, but efforts in Congress to raise the base pay across the US have proved unsuccessful.

According to a March 2021 Monmouth University poll, 53% of Americans support increasing the minimum wage to $15 an hour and 45% oppose it, with 2% undecided.

What are the arguments against raising the federal minimum wage?

In February 2021, the U.S. Chamber of Commerce testified before Congress that entry-level jobs are needed "to start a worker's ascent up the career ladder."

"If they cannot get on the ladder because the minimum wage cuts off the first rung, they may be prevented from climbing their way up the ladder to bigger and better jobs," the chamber said.

The organization also argued that while $15 an hour "may seem low from the perspective of New York City or Washington, DC or San Francisco," it was out of line with entry-level earnings in the many other parts of the country that have lower costs of living.

A 2021 report by the Congressional Budget Office estimated that incrementally raising the federal minimum wage to $15 an hour by 2025 would benefit 17 million workers, but it would reduce employment by 1.4 million and increase the federal deficit by $54 billion over the next 10 years.

https://www.cnet.com/personal-finance/the-minimum-wage-just-went-up-in-these-8-states/
 
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