Congress has record low approval ratings, but that did not stop them from voting themselves yet another yearly pay raise. I would not exactly wait by the mailbox for a thank-you card for the $3,300 in extra cash we paid them. That brings the grand total to $168,500 annually, if you were wondering. I don't think Representative Matheson, a dem from Utah, made any friends when he suggested (oh, the horror!) that there should be an up-or-down vote to block the increase. That novel idea got shut down as fast as my fantasy final in the World Cup: Trinidad and Tobago vs. the good old USA. (I'll explain that one later.)
Let's hope we can be the gander to their goose and they show us as much financial compassion as they showed themselves. I was in college the last time the American worker got a raise and I think we more than deserve it. A new Pew Research Poll found that 83% of Americans agree with me and feel the minimum wage should be raised from its current $5.15 to $7.15 an hour, with half of the respondents saying they "strongly support" the idea. The poll showed the issue cut across party and economic lines, with all groups showing widespread support.
Republicans lawmakers read these polls and know that if it came up for a vote it would have to get bipartisan support or they might not be in Congress to collect their next raise. For the last several years, Democrats have been pushing to raise the minimum wage; Republicans have blocked it every time.
You'd think the Republicans, who so closely associate themselves with "family values" would support a hike in the minimum wage. This is a moral issue. And what could be more moral, more life-sustaining, than ensuring that a working family will be paid the wages that can keep its members functioning?
Arguments that an increase would hurt small businesses (a GOP favorite promoted by the Employment Policies Institute), or that a raise would increase unemployment, or that more teens than adults are affected by the minimum wage (seven of 10 minimum-wage workers are 20 or older, 35% of whom are their family's sole provider, and 61% of these workers are women) have been shown to be wrong.
This week the House Appropriations Committee voted to raise the U.S. minimum wage in increments to $7.25 an hour by January 1, 2009, with seven Republicans on the committee supporting the Democratic amendment.
The legislation faces many obstacles, but as the proverb goes, every long journey starts with a small step, so let's follow them all the way to its end. Take action and let your Representatives know that you think we deserve a raise.
If you are a Citizen Hunter in Arizona, California, Colorado, Missouri, Montana, Nevada, Oklahoma or Ohio, look to a ballot box near you as you will get to vote, and hopefully join 18 other states who got tired of waiting for D.C. to figure it out and raised the minimum wage above the federal level on their own.
UPDATE: GOV. RENDELL has been trying to get the Pennsylvania Legislature to increase the state minimum wage to $7.15 by 2007.
Legislators last year voted themselves a sneaky pay raise and then had an "Oops, my bad" makeup vote. The Senate is still stalling on voting us a raise. It passed with a 3-1 margin in the House, so the only tactic Republicans in the State Senate have is to make sure it does not come to a vote. This is shameful.
Rendell estimates that the minimum-wage increase, with a cost-of-living adjustment that kicks in next year, would affect 423,000 Pennsylvanians who make between $5.15 and $7.14 an hour.
In his letter to legislators, Rendell says a full-time minimum-wage worker, making $5.15 an hour, would make $206 a week, $10,712 a year: "Assuming that worker has one child, that family would still be $2,000 below the [federal] poverty level" of $12,830.
Two bills remain locked in the Senate - I support the more expansive Senate version. Legislators must vote on and approve this increase in the minimum wage. We will all benefit.
Pennsylvanians, take action and let your Senator know that we deserve a vote on this critical issue and we deserve a raise!
UPDATE 6/19: See an entertaining showdown between David Sirota and John Stossel on the minimum wage issue.
Marines will be receiving about a 2.7 % increase in pay this FY. Tuition has increased 40% in the last 2 years, and fuel has certainly increased more than 2.7%.
Meanwhile, Congress will enjoy a nice little bump.
Meanwhile, the formula to determine the miltary pay is not including a cost of living variable as they had in years past. They let that standard expire. Rather, the new formula is based on what the minimum amount is needed to keep retention at an acceptable level.
Priorities of a country: it's what they talk about and what they spend their money on.
What does this say about Congress' priorities?
Why do we keep sending them back?
They aren't just blocking it in Congress. Here in Pennsylvania, there's a strong Raise the Minimum Wage Coalition. We've held five rallies in Harrisburg so far, with increasing numbers each time. We've convinced the House to pass an increase and we've convinced a strong majority of the Senate to pass an increase.
But the triad of Jubelirer-Brightbill-Scarnati have refused to permit a vote. Scarnati won't let it out of committee and the other two won't give it a vote if he does.
First Jubelirer and Brightbill wouldn't do it because they thought it would make them look two liberal during their primaries. Then they lost their primaries and their seats, so now they don't want to do it so that they can earn a fat paycheck when they go to work as lobbyists for the business community.
The irony is that it would be good for business. In fact, another Pew Poll showed 46% of small business owners supporting raising the minimum wage.
Fortunately, there is some hope. All the Southeast Pennsylvania Republicans support $7.15 and want to move the vote right now.
Why is it so hard for the GOP to realize that raising the minimum wage benefits all Americans and does wonders for the economy. They keep chanting the same old mantra: "raising the minimum wage hurts the economy and hurts job creation." We been hearing that since before the Reagan administration.
The Reagan people were also fond of another saying: "A rising tide lifts all boats." They would frequently use this to justify tax cuts -- believing that more money in the pockets of average Americans meant a more prosperous economy. Well, duh, if you raise the minimum wage, that means more money in the pockets of the average American.
Posted by: Steve at June 16, 2006 02:58 PM$7.15 is still hard to live on, but $5.15 is just criminal. I hope folks are making these calls. You clearly spend a lot of time making it easy for us. Thank you. A few minutes of my time is not asking for much. I will get on it ASAP.
Posted by: julie at June 16, 2006 03:06 PMAlthough I loathe the idea of Congressional fat cats beefing up their salaries and generous health care plans on the taxpayers' dime, I'm conflicted on minimum wage. As a manager of a small company I count every penny of our payroll runs and have always been sympathetic to the basic idea that setting a floor nets out to less overall jobs in the economy, as company resources and personnel budgets are limited. But you've made some interesting points re the teenager part time job argument which I always accepted on its face, and I think the issue is worth further investigation.
Posted by: JSM at June 16, 2006 03:38 PM
The Senate Labor and Industry Committee is currently slated to meet Monday to discuss a Minimum Wage vehicle bill. In the ways of Harrisburg, this meeting could be pulled at a moment's notice, but it probably won't be. I will be there. Others should come to or call Senate offices on Monday.
The Raise the Minimum Wage Coalition will probably have to get whatever L&I produces amended to something more supportable, but we should be able to do it.
If you want to know more surprising facts about the Minimum Wage, go here: http://www.keystoneresearch.org/presspdf/KRC_minwage_fact_sheet.pdf
Short version - few of these workers are teenagers and small business benefits. It's common sense. Poor people spend all their money, ergo, more money in the economy = more growth.
Here are a couple of politicians you can be proud of though:
http://www.murphy06.com/press053106.html
Lets hope we get more people like Patrick Murphy and Lois Murphy (no relation) to run for office.
Posted by: DJ at June 17, 2006 03:02 PMI would hazard a guess that tuition has increased precisely because the government has increased the amount of financial aide.
Posted by: Geoff at June 18, 2006 12:27 AMThe (Patrick) Murphy blog has some great photos and commentary about the press conference he held with Lois Murphy a few weeks ago about raising the minimum wage.
http://murphy06.net/blog/2006/05/leading-charge-on-raising-minimum-wage.html
http://murphy06.net/blog/2006/06/murphys-law.html
I'm proud of their stand, and I wish more politicians and political hopefuls felt the same way!
Posted by: Steph at June 18, 2006 01:55 PMI'll be the 1% who will say about the minimum wage raise that I will support it only if I get a 2.00 raise in my wage in the same time frame also. If not then I won't support it, why should I support a wage raise that will bring what I make closer to the minimum wage? I can only agree to the wage raise if it is across the board, the raise would trivialize what I make per hour. mike b
Posted by: Mike at June 18, 2006 04:50 PMOften watch your commentary on MSNBC. Impressed with how you maintain your point with grace and tempered strength, in the face of multiple shouting combatants. I admire your ability to fight in the trenches of the here and now.
I propose three new amendments to our Constitution, to move our nation and communities past the party, ideology, region, religion, race, gender, and sexuality divides that seem to be moving us towards a level of conflict characteristic of a pre-civil war footing.
The amendments use acronyms, often with much poetic license, to make their ideas more specifically memorable. Their intent is to facilitate a re-United States and American community, in which all are more ethicly: fairly, justly, caringly, represented, in which all have a decent life. The MAPSEAM takes private funding out of elections completely so that legislators can focus on all their constituents needs. It empowers public defenders and unclogs the judicial branch to allow all speedy restoration of violated rights, the components of a decent life, no matter who is in office.
Common sense, cost-effective implementation of maintaining a decent life for all in the U.S., of maintaining common sense domestic policy consistently from election to election, of re-organizing a system of international relations that provides a more comprehensive and cooperative, effective and efficient role for the U.S. in maintaining security and humanity across the continents. I do not expect my ideas to take root in law, but just hope to plant a few seeds that may spawn a few useful ideas at some point.
I believe the current two party domination and conflict has lead the nation to a place of greed, abuse of power, and gross division. I think the party system needs to be dismantled like an old, top-heavy roof and rebuilt before it collapses on us all. That is why I am proposing the amendments of the MAPSEAM.
Good luck promoting common sense thinking and humanitarian, ethical government, a decent life for all.
$5.15-$7.15: Are you kidding me? A two dollar increase in the minimum wage. Come on, Flav.
Raising the minimum wage is a terrible idea. Anyone who has a rudimentary understanding of economics knows that when the minimum wage increases the number of jobs decrease. It is common sense: supply and demand. Raising the minimum wage would do the exact opposite of what you intend. Yes, some people will recieve a higher wage, but others will be laid off and fewer will be hired. On top of that more people will enter the work force. In the long run, an increase in mimimum wage will lower many people's standard of living and decrease American economic prowess and productivity. That, I hope, is not something you want.
Minimum Wage and The Military Family
At first glance, the military family is better off than many Americans trying to make it in today's current job market. Whereas a non-military family lives paycheck to paycheck trying to provide the basic necessities in an increasingly hostile economy, the military family is provided free medical care, low co-pays, "free" housing, and educational benefits not available to their civilian counterparts. They certainly earn every penny for the sacrfices they make for their country.
But what if the military member and his/her family decide to leave the military and the safety net it provides after a tour or two of honorable service? Even senior enlisteds have trouble finding jobs that match up to the benefits and pay they earned as service-members. A young PFC with a young wife and child, a car payment, and little more than a highschool education can't afford to make the transition. So they stay in the military, not by choice, but by necessity.
The military likes to claim that enlistment numbers are down because the economy is good and wages are high. If that were an accurate reading of the economic realities of the inner cities and small rural towns where the majority of the enlisted recruits come from, then one could reason that it is an attractive alternative to being a "lifer". This is just not the case.
Don't misread me. The military life is an excellent way to give back to this country that provides so much, but the impact of increasing the minimum wage would result in a higher quality recruit, as those who are only in the service to make ends meet would have an alternative, and those who do join, would do so not out of necessity, but by choice, and this would create a force of individuals motivated by more than economic survival.
As it stands, the minimum wage is not a living wage and creates an "Economic Draft" where those that are left behind by our economy are funneled into service. These well meaning young families deserve a real choice and alternative to poverty. If they choose service in an economy with real opportunities, our Armed Forces will be better for it. But lets give them a choice and a chance, not the Economic Draft. They deserve that chance. They've earned it.
I believe that the concept of the minimum wage is a bit outdated. There was a time when businesses would exploit workers by paying them as little as possible and setting a minimum wage was necessary to protect the workers. Times have changed, workers are (or should be) in charge of their own futures.
The setting of a wage floor (aka minimum wage) artifically inflates the wages of unskilled or low-skilled workers by forcing businesses to pay more than the market value for this type of labor. In a competitive and open wage market, businesses will pay the wages necessary to attract the workers they need. Workers would not be willing to be paid low wages for the "undesirable" jobs, thus decreasing the supply of the available labor pool. The demand for these jobs would likely stay the same, thus increasing the wages paid.
So, I'm on the Republicans' side on this one. Leave the minimum wage alone. Instead, focus on attracting more businesses and the jobs that come with them.
Posted by: antitrust at June 20, 2006 04:34 PMSome cold, hard numbers to ponder.
4.3 million: Number of Americans who have fallen into poverty since President Bush took office
$5.15: Federal minimum wage
26%: How much the inflation-adjusted value of the minimum wage has eroded since 1979
0: Number of times minimum wage has increased since 1997
7: Number of times Congress has increased its own pay since 1997
$0: How much more a year people earning minimum wage earn today compared to 1997
$28,500: How much more a year members of Congress make today compared to 1997
$10,700: Amount a person making minimum wage will earn in a year
$5,000: Amount below the poverty level working 40 hours a week, 52 weeks a year at minimum wage will leave a family of three
7,300,000: Number of workers who would benefit from an increase in the minimum wage
72%: Percentage of adult workers who would benefit from an increase in the minimum wage
1,800,000: Number of parents with kids under the age of 18 who would benefit from an increase in the minimum wage
11 million: Number of jobs added to the economy in the four years after the last minimum wage hike
$8.70: Amount minimum wage would have to be today to have the same purchasing power it had in 1968
2.5 years: Amount of health care for two children which could be bought by raising the minimum wage from $5.15 to $7.25
86%: Percentage of Americans who support raising the federal minimum wage
http://thinkprogress.org
Posted by: BW at June 20, 2006 08:24 PM
Sorry to miss out on this discussion for a few days. My rudimentary understanding of economics and I were pounding pavement in Harrisburg for the last two days as we closed in on a minimum wage increase.
There's probably going to be a vote today. If you live in Pennsylvania, call your Senator. Tell them to vote for Sen. Tartaglione's amendment to SB 1090 and to vote it down if her amendment fails. The current version of SB 1090 would effectively give no increase in wages to workers in 86% of Pennsylvania businesses. Probably more.
To the fellow who said that a Minimum Wage increase would trivialize his hourly pay... the fact is that Minimum Wage increases tend to lead to wider increases in the wages of people who make something close to the Minimum Wage. You'll get a raise too if you make between $1 or $2 of $7.15. If you're further off then why worry about it?
To the fellow who said that anyone with a rudimentary understanding of economics knows that Minimum Wage increases lead to job loss: please check the record. I know the economic theory on it. If you want to go toe-to-toe on Microeconomic theory, we can go all day, but the fact of the matter is that the states that have stuck with the Federal Minimum Wage have had stagnant employment numbers and the states that have gone ahead and given the worst paid employees a boost have increased employment across the board.
Fact. Fact. Fact.
You want common sense? Try this one: the working poor spend *all* their money. If they make an extra $60 a week (which is pretty much what we are talking about here), they will spend all that, too. And they will spend it at grocery stores, restaurants, gas stations, hardware stores and clothiers that make all our nice little local economies. More money getting spent means more workers.
Thank you for your introduction of the MAPSEAM, the Messiah Amendment Party-Solutions for Earth and AMerica. Like MMIS COPS: Make Median Income of State the Ceiling On all Politician's Salaries, you may find useful ideas and acronyms throughout its three amendments to clarify thinking on many domestic and foreign policy issues. The concepts of these amendments should ensure that we take a more ethical, a more fair, just, and caring direction on the map this nation follows, that will stitch the seams of our divisions together again, rather than tear them further apart.
Thank you for being a source of citizen voice and hope.
Well they did it! The Senate passed an increase! It's going to be a year till we get everyone up to $7.15, but that's better than what we had. They have a carveout in there for employers with less than 10 employees, but I don't think that's as bad as it sounds.
Frabjous day! Callooh! Callay! I'm chortling in my joy here! Well, the decision about whether or not this is a good deal is still pending... but the very fact that we got the Senate to deal with it is a huge win.
Go team labor, community & religious groups!
Brady
Posted by: Brady Russell at June 23, 2006 10:46 AMto mr.russell, congradulations of course small business is going for the minimum pay raise, that way when they raise their prices because of the minimum raise they can put in a little extra for themselves with the excuse "well you see because of the raise in the minimum we had to raise our prices...." don't expect to get a burger for a dollar off the menu at Mcd's, in the future it will be called the 2 dollar menu and if the employee at Mcd's forgets to give you dressing with your salad what do you expect they are only making $7.15 an hour. Ahhhh capitalism (disguised as democracy) isn't it wunderbar. TWO DOLLARS YIKES HOLD THE FRIES!!!!!!
Posted by: mike b. at June 24, 2006 10:47 AMYes!! I want to know where the hell MY raise is! Congress has once again defeated a proposition to give TRUE AND REAL, hardworking Americans a raise in minimum wage but yet they of course approved a raise of their own which now ups the tab to just slightly over $168,000.00 per year. Man, if I sat on my ass all day and was RARELY in Washington, I would be in hog-heaven! Instead of raising wages and considering benefits, Congress has instead outsourced middle-class jobs, exploited labor through illegal immigration and continues to thoroughly deny Social Security and health insurance benefits.
Arizona is proposing a state minimum wage increase to $6.50 per hour, in which the voters will decide on. Perhaps Congress needs to follow this lead. When Henry Ford ran and operated the Ford autmobile plants, he gave EACH AND EVERY employee a raise and benefits that was well beyond the expected increase of the economy during that time. This notion of leadership expounded loyalty to his employees, and thus, a happier, more efficient workforce. Even so, raise in benefits and wages to supplement income and reward hard working people is not just sensible, IT'S GOOD BUSINESS!
Once again, great post! I commend you, as always. Have a good one!!
-Steve T.
Posted by: Steve T. at June 27, 2006 03:09 PMRE: Pay Increase for Congressmen----I strongly appose the pay increase when they can't increase the mininum wage. They can't supply our military with adequate supplies and they decrease Food Stamps for our own poor citizens. Sure they vote for themselves, let someone other than themselves decide if they should get a pay increase, don't you think!
Posted by: Connie P. at June 29, 2006 06:47 AMI was reminded of a discussion with two of my students who told me their future career plans were to become dealers because you make more money than working for minimum wage. How can I compete with that? I guess I'll tell them to sell flags, since we can burn them without penalty. Demand should be up. Thank God for our leaders in washington!
Posted by: Mike McAlexander at June 29, 2006 10:36 PMthis minimum pay raise is a political ploy. for those who are making above minimum when it is raised, if you think you will get a raise too think again it won't happen to all. so now for example instead of making $9.00 an hour which would have been $3.85 above minimum as it is now, with the minimum raised to $7.15 you will be only $1.85 between you and the guy who takes out the trash at your office. Not much seperation or distinction between what you had to go thru in training for your job and his. the cost of living will be raised so what you make won't feel like $9.00 an hour. the minimum wage was never meant to be a living wage, it was only put there as a floor, now what you are making is closer to the floor. Years from now all those making $7.15 an hour will be screaming "its' not enough" mabey they will want it to be raised to $9.00 did you get a raise too? NO!!! guess what you are making minimum wage, can't live on that can you? where will it end. many moons ago in the year 1988, I got a job working as a security guard for a nuclear power plant making $8.98 an hour and the minimum was $3.15, I went thru many hours of specialized training, if that was happening now with the wage raise back then you know I would be up in arms, wouldn't you? do you think it is fair for someone to have a job to make around two dollars less than someone who is a security guard in a power plant for example? generally in many individuals shoes that could become the case.
Posted by: mike at July 1, 2006 10:17 AMThis site has kept me pounding the relationship between congressional pay raises and minimum wage stagnation in my brain. I think I finally have it right: ethically, practically.
MMIS COPS: Make Median Income of State the
Ceiling On all Politicians' Salaries
They are their states' people's employees and should not seek to profit more than the average person. In addition they often have supplemental income quite substantial. They should work to ensure all an average level of reasonable remuneration:
BRIM WAMI: BRIng Minimum WAge to Median Income
If minimum wage were $10/hour today, yes ten dollars an hour, a forty hour a week full time employee, fifty weeks a year, would earn $20,000. I think if one works full-time fifty weeks a year, they at least should make such a liveable income.
Our ethical and practical balance of wages for elected officials and the working constituents they represent, is grossly off balance. It is time to take steps to restore it.
(The MAP-SEAM: The Messiah Amendment Party-Solutions for Earth and AMerica. Amendment III: The MORALL, The Maximization Of Representation for ALL, in America Amendment, Part Two, Section Four, 2006).
Posted by: david walden levin at July 2, 2006 03:10 PMWe did it! We got $7.15 an hour enacted by 7/15/06. Governor Rendell will soon sign the bill that has passed both the House and Senate.
From initiating the effort to raise the wage to $7.15 last year, to taking responsibility for persuading others that accepting the Senate compromise offer--which takes longer than we would have like to be fully effective--was the right thing to do and then leading the debate for it on the House floor, I have been deeply involved in this session's minimum wage efforts--as I have been in past sessions since I got the legislature to raise the minimum wage over the federal level for the first time in 1988.
As proud as I am over the 39% increase enacted by the House and Senate, it is still not enough to get a wage earner with two dependents out of poverty. And it is safe to predict that more inflation will lower its value in the future.
I am now beginning to organize a campaign to further raise the minimum wage in Pennsylvania to $8 an hour in 2008, with a cost of living increase every year thereafter.
I would welcome the help of any interested Citizen Hunter commenters or readers. It is an attainable goal which would put Pennsylvania in league with other states now clearly moving in that direction: California, Massachusetts, Washington State, Oregon, and Vermont. I am sure that many more states will soon be joining the $8 club as well.
Thanks to all who helped persuade the public and the legislature for $7.15 an hour. I look forward to continuing our efforts together.
Posted by: RepMarkBCohen at July 3, 2006 04:22 AMThe minimum wage issue is still nothing more than a democratic feel good issue that the party uses to make poor people think they give a darn (When I say this, I mean the politicians, who I am absolutely positive don't care, vs Joe and Jane democrat who I believe really care).
I've done a little research on this issue and raising the minimum wage is more harmful than good. And, rather than depend on politicians playing on emotion, I tend to listen to what the economists say. Let's look at a few facts.
Workers earning the minimum wage or less tend to be young, single and 16-25, only about 2 percent of workers over 25 years of age earn minimum wage.
Barely over 5 percent of MW earners are from households below the official poverty line, and 82 percent of MW earners do not have dependents.
The US Dept. of Labor reports that the proportion of hourly paid workers earning the prevailing Federal minimum wage or less has trended downward since 1979. That's a good thing I think.
If higher minimum wages could cure poverty, we could easily end worldwide poverty simply by telling poor nations to legislate higher minimum wages.
Why are poor people poor? Likely because of low productivity, and in America, wages are often connected to productivity, or are supposed to be anyway.
Most importantly, and where fact not emotion is clearly where the answers are, in surveys of economists in 1979 and 1992 by the American Economic Review, 80 to 90 percent of the experts agreed that raising the MW causes unemployment among youth and low skilled workers.
Friends, good discussion about minimum wage, Congressional pay hikes, and the paltry 2.7% military pay raise.
Lest we forget, yoy inflation is about 3.7% now, and going up. Yesterday, the price of Aug 2006 oil contracts was $76.00, and that is the lowest price going out to August of 2008! In other words, the 2.7% military pay raise is actually a real loss of 1% in terms of purchasing power. Would you stay in a job where you lost money?
You must also remember, the Republican Congress and Republican President lowered taxes. This tax decrease is inversely graduated, benefitting most the richest Americans, benefitting least the poorest. If you earn a million dollars a year in 2006, you can expect your tax bill to be lowered by $43000, a resounding 4.3% reduction in your annual tax burden. This actually gives you a small increase in real purchasing power.
Any body else ready for a change in Washington?
Posted by: Mike at July 6, 2006 08:08 AM
Majority Whip Roy Blunt (R-MO) said the House leadership will soon hold the first vote in a decade on increasing the minimum wage. Predicting the bill will pass, Blunt said, “I'm not sure that it's a ‘must-pass,’ but it will probably be a ‘will-pass.’"
Posted by: Flavia at July 27, 2006 10:23 AMUpdate: R's are willing to allow a minimum wage increase if it is tied to a cut in inheritance tax as well.
http://www.cnn.com/2006/POLITICS/07/28/minimumwage.ap/index.html
Posted by: flavia at July 28, 2006 03:53 PM