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We Need an Increase in the Federal Minimum Wage

Americans Deserve a Raise

The current $7.25 minimum wage rate is totally inadequate for most working people. In fact, the rate, in real terms, has not gone up for decades. While the wealthiest in our society have seen their wealth skyrocket, workers in America have seen no increase since the 1960s.That is a travesty. And it's being done by design.

Raising the Rate Makes Sense

  • Many economists agree that raising the minimum wage is a good idea.
  • Former Republican Presidential candidates, Mitt Romney and Rick Santorum, support an increase.
  • 63% of millionaires support an increase.
  • "A federal minimum wage increase would likely benefit the U.S. economy, a new Chicago Fed Letter suggests."
    • "The authors found that raising the wage by $1.75 would increase household spending by about $48 billion the following year, which amounts to .3 percent of GDP. If the possibility of job losses is taken into consideration, the authors calculate that spending would still go up by $28 billion, or .2 percent of GDP. However, most studies suggest minimum wage hikes do not result in job losses for various reasons." (source)

Democrats in Washington Don't Really Want an Increase

They would rather use issue during election time to attack Republicans. If there is an increase then the popular issue goes away. That's what Clinton did. And now Obama is doing the same thing.

Raising the Minimum Wage is good for Business and the Economy

  • Small business owners don't think the mw issue is a problem.
  • A higher rate would reduce worker turnover while increasing productivity.
  • A "10 percent minimum wage increase reduces poverty by about 2 percent."

Major Companies are Already Raising the Rate...on their own

  • The Gap, Shake Shack, and Boloco pay workers significantly more than the current rate of $7.25.

Myths Surrounding the Minimum Wage

  1. Most people on the minimum wage are teenagers
    • 90% of mw workers are older than 20 years of age.
    • "Nationwide, these workers provide almost exactly half of their families’ income."
    • "Even among those making the rock-bottom wage of $7.25 an hour, teens" are a "minority." (source)
      • "Men, meanwhile, now make up 45 percent of low-wage workers, up from one-third in 1979."
      • Teens make up a "minority of those toiling at the baseline wage, at about 24 percent"
      • "About half of minimum-wage employees are over 25 years old, and a quarter are between 35 to 64 years old."
    • "Their average age is 35, and 88 percent are at least 20 years old. Half are older than 30, and about a third are at least 40." (source)
      • " In 1979, 27 percent of low-wage workers (those making $10.10 per hour or less in today’s dollars) were teenagers, compared with 12 percent in 2013,"
  2. MW rate increases lead to an increase in the unemployment rate.
    • There is no evidence for that. In fact, the ur remains essentially unchanged.
  3. Would lead to a rise in inflation.
    • A study showed that if Walmart raised their mw to $12/hour it would only cost their customers $.46 more per store visit. That amount would be far outweighed by benefits to workers by a significant increase in their wages. Many of those employees would then become customers, which would benefit Walmart.

The American people support and Increase in the Federal Minimum Wage

  • 80 percent of Americans, including 62 percent of Republicans support an increase.