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By JIM KUHNHENN, Associated Press Writer
WASHINGTON - The Senate voted overwhelmingly Thursday to boost the federal minimum wage by $2.10 to $7.25 an hour over two years, but packaged the increase with controversial tax cuts for small businesses and higher taxes for many $1 million-plus executives.
The increase in the minimum, the first in a decade, was approved by a 94-3 vote, capping a nine-day debate over how to balance the wage hike with the needs of businesses that employ low-wage workers.
A top priority of Democrats, the wage hike has both real and symbolic consequences. It would be one of the first major legislative successes of the new Democratic-controlled Congress.
"Passing this wage hike represents a small but necessary step to help lift America's working poor out of the ditches of poverty and onto the road toward economic prosperity," said Sen. Edward Kennedy, D-Mass.

Bush urged the House to support the measure, including the tax help for small business. He said, "The Senate has taken a step toward helping maintain a strong and dynamic labor market and promoting continued economic growth."

2007-02-01 10:30:42 · 11 answers · asked by jl_jack09 6 in Politics & Government Politics

It was the Democrats who passed this, not Republicans. They had 5 years to pass it. They have openly opposed it. The only reason they supported it now was the bribes paid in tax cuts.
They also need the votes to keep their job. This is a simple political ploy for 2008.

2007-02-01 10:48:40 · update #1

29 States have higher than $5.15 Federal. They are not out of bussiness are they? I never read Republican propaganda books.

2007-02-01 10:51:06 · update #2

11 answers

I'm ok with it-- But it seemed to be largely bi-partisan. Of course, tax break had to sneak in and so did tax increases.

2007-02-01 10:49:34 · answer #1 · answered by dapixelator 6 · 0 0

Many supporters assert that the minimum wage is a matter of social justice that helps reduce exploitation and ensures workers can afford basic necessities . Supporters deny that the minimum wage adversely impacts employment, or argue that such an effect is modest and outweighed by the social benefit derived from higher wages. Detractors and most American Economic Association members contend that a minimum wage increases unemployment among low-wage workers and harms rather than helps the poorest workers. Many also argue that it slows economic growth.Many economists on both the left and right believe that the earned income tax credit is a more efficient way of delivering benefits to the working poor than a minimum wage because the EITC doesn't increase unemployment and it only delivers benefits to poor workers, not all low wage workers.

Many progressive politicians in the United States advocate linking the minimum wage to the Consumer Price Index, thereby producing small annual increases rather than the larger hikes that tend to be adopted when legislation to do so is passed. So far, Ohio, Oregon, Missouri, and Washington have linked their minimum wages to the consumer price index

Minimum wage jobs rarely include health insurance coverage, although that is changing in some parts of the United States where the cost of living is high, such as California.

Kansas is the only state to have a minimum wage lower then the federal standard, at $2.65/hour. However, workers that qualify under the Fair Labor Standards Act are required to be paid the federal minimum wage. Most workers earning less than the federal minimum wage are minors and certain classes of farm workers.

While it may increase the average living standard, most economists agree that it will decrease the number of new jobs and cause employers to reduce their workforce, thus causing more unemployment. It was not the republicans who passed this. It was a democrat generated bill that is a compromise by republicans to get the ball rolling towards reconciliation between the two parties, Most will agree that the republican party has decided to "pick their battles" as opposed to the Democratic party which fought tooth and nail against anything the Republican party put up during their tenure as the majority.

Bottom line, get educated so this will not apply to you.

2007-02-01 10:41:34 · answer #2 · answered by Anonymous · 1 2

Why stop at $7.25?? Why not raise it to $10? It would be much easier to calculate your pay each week !! The concept our system is based upon dictates that the amount of pay earned for doing whatever a particular job, is calculated by the amount of skill/talent/training the job requires & what the going rate is in a given geographic area based upon availability of labor & their willingness to do the job in question. Explained more simply, if you don't feel it's worth it to do a job for the pay being offered.....don't take the job!! Why not have the government stipulate how much things should cost? Maybe they would reduce the ridiculous tuition charged by most of the colleges & universities in this country (which have increased dramatically for no apparent reason the last few years), & folks wouldn't have to work so much to afford school. Then they could decide how much the maximum pay should be for each job, & people would no longer spend years training to be doctors, scientists, etc, because it wouldn't be worth the time & effort. That system has been tried it's called communism, or socialsim depending on exactly how the government interferes... Our capitalist system WORKS.....& it works great. If I don't want to do a job for the pay offered I find a different job. If a hamburger costs too much at a certain restaurant, I'll eat somewhere else!!! It's not really an issue of Democrats or Republicans (by the way I am a lifelong Dem!) Our system operates best with the least interference. That is why it;s called the Free Market. I'm happy you are earning more though.....cuz now you'll be paying more taxes as well, & maybe mine will stop going up so fast!! ( Yeah right!)

2016-05-24 03:14:44 · answer #3 · answered by Anonymous · 0 0

I'm really shocked... what happened to "IT WILL RUIN THE ECONOMY" chicken little approach to it...

the truth is... the tax cut will probably help a lot more than the minimum wage would have ever hurt the companies... so it's a sweet deal that will probably actually produce more jobs, since the tax cuts will more than make up for the very small percent of the population on minimum wage... (a number so small, it's overall effect would be VERY MINIMAL, it's basically like dropping a bucket of sand in the Atlantic ocean off Florida's coast and calling France to tell them to watch out for flooding on their coasts... the numbers just don't support the "potential damage" that conservatives cry about)

2007-02-01 10:52:18 · answer #4 · answered by Anonymous · 0 0

94-3, I would call that a landslide with Neocons on board. They had no choice with the Pelosi squeeze coming on over the Scooter Libby trial. Don't forget the Neocons are guilty as sin.....America wants retribution, and fast!!!

2007-02-01 10:55:18 · answer #5 · answered by Anonymous · 0 0

Higher minimum wage hurts poor workers more than you think. Read Myths, lies, and downrigth stupidity by John Stossel. Our country was based on business and capitalism, higher minimum wage hurts them and their workers.

2007-02-01 10:37:22 · answer #6 · answered by Anonymous · 4 2

Well, let's see, my favorite food at Bob Evans went up in price, everything else inflated - no I'm not happy.

2007-02-01 10:44:08 · answer #7 · answered by duckkillerdan 3 · 2 1

Do you mean, are Republicans happy? Guess so since we supported the bill.

2007-02-01 10:34:11 · answer #8 · answered by ? 4 · 4 1

whats wrong with republicans looking out for american jobs
its about time

2007-02-01 10:53:39 · answer #9 · answered by impeachbushnoww 1 · 0 0

Hey, did you forget that the Dems are the majority party? Wake up!

2007-02-01 10:35:31 · answer #10 · answered by Anonymous · 2 3

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