13 years since minimum wage was raised

[True Dough]

"Suck it, you poors!"

-Mitch McConnell et al.

Marking the 13-year anniversary of the last federal minimum wage increase in the U.S.—a meager boost from $5.15 to $7.25 in 2009—progressive campaigners on Sunday urged congressional Democrats to make another push to raise the national pay floor as inflation continues to diminish workers' purchasing power.

"Today is a sad anniversary in the United States," said Morris Pearl, chair of the Patriotic Millionaires, a group that advocates progressive economic policy. "For 13 years now, Congress has failed to act to raise the $7.25 hourly federal minimum wage. Lawmakers have turned their backs on America's tens of millions of low-wage workers and revealed themselves to be beholden to the short-sighted interests of some of their ultra-rich donors."

According to a recent analysis by the Economic Policy Institute (EPI), the real value of the federal minimum wage is currently at its lowest point in nearly seven decades amid record-high inflation, which spurred a decrease in real average hourly earnings between June 2021 and June 2022 as corporate profits soared.

https://www.commondreams.org/news/2022/07/24/13th-anniversary-last-minimum-wage-hike-dems-urged-raise-deplorable-725-floor

[True Dough]

1. Meanwhile, 16 countries have surpassed the U.S. on this front:

Australia - $14.54
Luxembourg - $13.67
New Zealand - $13.18
Monaco - $11.88
Ireland - $11.54
France - $11.46
United Kingdom $11.37
Netherlands - $11.21
Belgium - $11.06
Germany - $10.68
San Marino - $10.55
Canada - $10.33
South Korea - $8.99
Israel - $8.17
Japan - $7.52
Spain - $7.30

[True Dough]

2. Here's a "bare minimum" argument:

A lot of people like to recite: "If minimum wage had kept up with inflation/productivity," but let's flip that:

$7.25 in 2009 is worth $5.25 today.

That is a decrease in purchasing power of over 27%.

Put another way, I worked minimum wage in 2000. I made $5.15 an hour. That wage is worth $8.86 today, $1.61 more than the current minimum wage.

[Pisces]

3. I don't know who is paying minimum wage anymore. Teens are getting

Paid $15 for entry level retail. I know this for a fact. Lifeguards are making $17 to $20 an hour I know college kids who earned that this summer. Fast food is paying a minimum of $15 per hour

[former9thward]

4. The market has eliminated the minimum wage.

Entry level jobs go for $13 -$17 a hour. Who actually gets paid the minimum wage now?

[True Dough]

5. Probably hard to find at this time

with such a strong job market. But let's say there is a major recession and huge job losses. Then it would be necessary to have a better floor for worker compensation.

[Wounded Bear]

6. From the 40's through the 70's minimum age was raised often...

sometimes every year, but usually at least every 2-3 years.

It was the longest period of continued good economic times in history. Starting in the 80's the number of increases dropped precipitously, with it changing very few times and only a couple of times since the turn of the century. As a result non-union wages have stagnated and wealth transfer upward to the top quintile has accelerated post haste.

Recently, many states and cities have taken the mantle and raised min wage on their own which is good on a local level, but nationally things remain stagnant at the bottom.

[True Dough]

7. And you raised the bar with your post, Wounded Bear

Well stated.

[Wounded Bear]

8. Just the facts...