House passes minimum wage increase

Free4Life11

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House votes to increase minimum wage

WASHINGTON - The Democratic-controlled House voted Wednesday to increase the federal minimum wage to $7.25 an hour, bringing America's lowest-paid workers a crucial step closer to their first raise in a decade.

The vote was 315-116, with more than 80 Republicans joining Democrats to pass it.

"You should not be relegated to poverty if you work hard and play by the rules," said House Majority Leader Steny Hoyer, D-Md.

The bill was the second measure passed since Democrats took control of the House, ending more than a decade of Republican rule.

White House opposes measure
The measure, which now goes to the Senate, would raise the federal wage floor by $2.10 from its current $5.15 an hour in three steps over 26 months.

The last increase was in 1997, when President Clinton successfully prodded the GOP-controlled Congress to enact the increase. Republicans declined to approve another raise for the six years in which they held majorities in the House and Senate and President Bush was in the White House.

Organized labor and other supporters pitched the bill as badly needed assistance for the working poor.

Business groups and other critics said it could lead to higher prices for goods and services, force small companies to pink-slip existing workers or hire fewer new ones, and crimp profits.

The White House issued a statement saying it opposed the bill because it "fails to provide relief to small businesses."

Changes possible, options open
Senate Democratic leaders have already signaled they will accept changes designed to shield small businesses from adverse consequences of higher labor costs.

"This bill increases costs for mom-and-pop businesses," said Steve Chabot, R-Ohio, contending the legislation doesn't do anything to help offset that burden.

Many businesses want the pot sweetened, perhaps by faster depreciation or other tax breaks or letting small businesses band together to buy health insurance for their workers.

The bill would raise the wage floor in three steps. It would go to $5.85 an hour 60 days after signed into law by the president, to $6.55 a year later and to $7.25 a year after that.

I am glad they did this and that it is a gradual increase. How long until the Senate takes this up?

I know many people argue this would lead to higher priced goods, so I would be interested to know if the cost of goods is higher in states with higher minimum wages. I suppose you could just compare the state minimum wage and the CPI of that state?
 
I am glad they did this and that it is a gradual increase. How long until the Senate takes this up?

I know many people argue this would lead to higher priced goods, so I would be interested to know if the cost of goods is higher in states with higher minimum wages. I suppose you could just compare the state minimum wage and the CPI of that state?

The Federal Mimimum Wage is the starting point for most union negotiations. Union members can go back to the table now and argue that they need to made substantially more than the minimum wage and that is where the pressure on business comes from. Many states have minimum wages higher than the proposed minimum wage. Ct's is higher; $7.54 or 7.64, not sure. Ct however has not kept up in the recovering, along with the other New England states. I think that has more to do with HIGH TAXES. Hawaii has a minimum wage but from what I saw when I was there, there is such a low unemployment rate that McDonald's is offering $10 per hour.
 
. Here is the statement from Speaker Pelosi. http://www.speaker.gov/newsroom/pressreleases?id=0026
Washington, D.C. – Speaker Nancy Pelosi released the following statement today on H.R. 2, the Fair Minimum Wage Act of 2007, which passed on the floor with bipartisan support:

“After nearly a decade, 15 million hard-working families will finally receive the pay raise they have deserved for so long. The Fair Minimum Wage Act of 2007 will increase the federal minimum wage from $5.15 to $7.25 an hour over the next two years, providing families with additional funds to cover the increasing costs of health insurance, gasoline and home heating, and attending college. With the passage of this crucial legislation, we will reward work, paying America’s workers a decent wage so they may join in our nation’s prosperity.

“From economic security to national security, the American people have resoundingly called for a New Direction. In the first 100 legislative hours of this Congress, House Democrats will continue to work to increase prosperity, opportunity, and security for all Americans, not just the privileged few
 
I've already posted this in another thread. For the sake of time, and because I'm lazy, I've copied and pasted it here...



Yes this is good news. Here is the statement from Speaker Pelosi. http://www.speaker.gov/newsroom/pressreleases?id=0026

“After nearly a decade, 15 million hard-working families will finally receive the pay raise they have deserved for so long. The Fair Minimum Wage Act of 2007 will increase the federal minimum wage from $5.15 to $7.25 an hour over the next two years, providing families with additional funds to cover the increasing costs of health insurance, gasoline and home heating, and attending college. With the passage of this crucial legislation, we will reward work, paying America’s workers a decent wage so they may join in our nation’s prosperity.

Minimum wage jobs are designed for people who are just entering the work force, not to support families. If the criteria for compensation is whether or not someone can support a family, why not raise minimum wage to $25/hr. How can someone pay for their kids college with only $7.25/hr?

“From economic security to national security, the American people have resoundingly called for a New Direction. In the first 100 legislative hours of this Congress, House Democrats will continue to work to increase prosperity, opportunity, and security for all Americans, not just the privileged few.”

Again, just pandering to the voters. The so-called rich, are not hard workers or high achievers, they are the "privileged few". There are plenty of opportunities under the current system to "increase prosperity", some people just choose not to take advantage of it.
 

The Federal Mimimum Wage is the starting point for most union negotiations. Union members can go back to the table now and argue that they need to made substantially more than the minimum wage and that is where the pressure on business comes from. Many states have minimum wages higher than the proposed minimum wage. Ct's is higher; $7.54 or 7.64, not sure. Ct however has not kept up in the recovering, along with the other New England states. I think that has more to do with HIGH TAXES. Hawaii has a minimum wage but from what I saw when I was there, there is such a low unemployment rate that McDonald's is offering $10 per hour.

If this is true, ABC news (national) didn't mention it.
 
I believe $7.25 is already the min. wage here in NY.
 


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