New min wg proposal out today…$12 in 2020, then indexed

April 30th, 2015 at 7:24 am

Over at PostEverything, with links to an important meta-analysis of the min wg literature as we know it.

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7 comments in reply to "New min wg proposal out today…$12 in 2020, then indexed"

  1. Jill SH says:

    My initial gut response is: Too little too late. I’m with the “75 percent of Americans, including 53 percent of Republicans, support an increase that’s even larger than the new proposal.”

    Really wish we could get the min wage to a living wage level (about $15) sooner than five years out. Also wish Dems could start at a negotiating point that was not giving away so much ground to start with.

    I understand “too much too soon” would be a shock to the economic system (and more likely to produce some of the negative effects warned about) and going up $1 per year makes sense. But how about $1 first year, $1.25 2nd year, $1.50 3rd year, etc.? Let’s push the issue harder. And yes, definitely indexed.

    • Jill SH says:

      But let’s also be sure we’re at a living wage before we index. Once indexing is baked in, raising the min wage to living wage — if it isn’t at the level at that point — will be politically impossible.

    • jeanne wright says:

      I agree with Jill except that the Federal min. wage needs to pop to $9 in 2015, then go up per year by next $1 (2016), then $1.25 (2017) and then next year out $1.50 (2018). Seems like everybody who is against more has incomes based on indexed for inflation in some form for years now…leaving behind the low income workers. But I also do think…if they work, they shouldn’t be needing to qualify for income based, tax supported programs. These low paid jobs USED to be entry level for the young ones…not so now in data. So we’re supporting workers on EITC, food stamps for them and their children, housing (young ones lived at home and ate off family tables)…so things have to change. Taxpayers can’t support more while we give business and franchise owners more and more write offs. Sorry. I work, I pay in, and I barely make it, seriously. No dependents, an adult on my own and work hard, 3 W-2s last year, and 4 in 2013.

  2. Smith says:

    This is intuitive and I don’t have data, but I don’t see it anywhere. Raising the minimum raises those previously making the minimum. After a year or two you get a raise. Guess what, it’s above the minimum. And so on and so forth. There is a ripple effect. Business knows this and that’s another reason why they fight it. It’s similar to when unions made up 30% of the workforce, and that critical mass threshold meant there wage agreements wound up indirectly covering everyone, from non-union workers in the same wage scale to the white collar workers in the same industry. Businesses needed to pay workers in a manner comparable to union wages and benefits or everyone would join a union.
    Today businesses are able to make well paid union workers like auto workers and teachers an object of scorn instead of envy, higher wages are seen as killing jobs as factories move south and overseas, teachers are seen as privileged over compensated causes of higher taxes. That narrative and the causes of such needs to change for workers to regain lost power and respect.

  3. Jack says:

    One of the libertarian commentators on my facebook cites the BLS information about minimum wage. Why does the graphic presented seem to disagree with the BLS information?

    • Jack says:

      I actually looked at the BLS table numbers and they seem to back the infographic where I could find numbers that line up.

  4. Nick Batzdorf says:

    Way too low.