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Raising the federal minimum wage to $15 could cost more than a million workers their jobs, according to a report released Monday by the Congressional Budget Office.

The House of Representatives will soon vote on the Raise the Wage Act, but the CBO report’s findings will likely further split Republicans and Democrats on the issue—because a $15 minimum wage could also lift more than a million people out of poverty.

The report found that raising minimum wage from $7.25 to $15 by 2025 could cost 1.3 million jobs, and lift $1.3 million people above the poverty line.

“For most low-wage workers, earnings and family income would increase, which would lift some families out of poverty,” the CBO report read. “But other low-wage workers would become jobless, and their family income would fall—in some cases, below the poverty level.”

As a result of that conclusion, each party was able to take its findings and use them to further their stance on the issue.

“Today’s Congressional Budget Office report reaffirms that a $15 minimum wage would kill American jobs and harm Americans struggling to make ends meet,” said House Minority Leader Kevin McCarthy (R-Calif.). “Today, Americans enjoy a booming economy, historically low unemployment, and notable wage growth. We must not jeopardize those gains through greater government control.”

“The Congressional Budget Office’s report comes to a clear conclusion: The benefits of the Raise the Wage Act for America’s workers far outweigh any potential costs,” said House Education and Labor Committee chairman Rep. Bobby Scott (D-Va.).

Rep. Steny Hoyer (D-Md.), the House Majority Leader, said the Raise the Wage Act will see a vote next week.

“Americans who work had deserve to afford a middle-class life and deserve opportunities to get ahead and help their children get ahead,” Hoyer said.

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5 Comments

5 Comments

  1. mike dar

    July 9, 2019 at 5:37 am

    30 million jobs actually have their wages depend on the Federal minimum wage guides. Those are the ‘Public Jobs’, which include all the GOVERNMENT JOBS. Hardly a single government job will be lost with a Min. Wage increase.. will it.
    All the government jobs are NOT paid for by commerce.. they are paid for by taxation revenues… where does the taxation come from when 30 million jobs get a mandated 7-8 dollar an hour raise?
    From every worker.
    2/3rds are private workers getting taxed, but not a min. wage 7-8 dollar raise.. PER HOUR! PER HOUR.. the private worker has to be taxed 2/3rd’s!’
    Government wage controls basterdize capitalism in favor of Socialist approaches to income levels.
    Private works are the majority and have to set income levels for government workers not the other way around.
    We cannot have a economy where every Private worker gets taxed an extra 2-3 dollars per hour in net nets so government workers can gross 7-8 dollars more in gross.
    This is the cart leading the horse, this creates a more poor America, this makes government employ much more attractive than private enterprise…… this is empowering a centralized government by bribing the huge voting block of government workers to take, from private workers.
    And very few Public workers have it bad in America today, they make some of the best wages already…….. all of this is defined by the participants to all the ‘Marches for Min. Wage’ where 90% of the marchers are not ‘burger flippers, they are government workers.
    Bernie is a huge liar like all Socialists and the truth he avoids at all costs… costs to be paid by the majority, so already well paid people get more, the majority gets less.

  2. BWH

    July 9, 2019 at 6:40 am

    The claim that 1.3 million will be “lifted out of poverty” is, I think, short-sighted. With higher wages will be higher prices for goods and services. Thus, the “poverty level” (the government’s artificial number) will move upward to reflect higher living costs. I say it will be less than 250,000 that will rise above poverty level because of this. And the 1.3 million jobs lost is probably a low estimate.

  3. Dr Pepper

    July 9, 2019 at 7:59 am

    Often people earning wages below the poverty level receive government assistance… One person I talk with at a McDonalds said she would need fewer work hours at the higher rate to maintain her government assistance for her and her four children by different fathers… Raising the wage affects everyone in different ways….Wages should be based on skills as well as performance not a feel good decision by government….

  4. Joe

    July 9, 2019 at 8:23 am

    Let them go to California

  5. LST

    July 9, 2019 at 7:09 pm

    Many of them aren’t even worth $3.50 an hour much less a ridiculous $15. Before my heart attack put me out of commisiion I drove trucks busting my balls making deliveries for $10. And I had no med insurance, no paid holidays, no paid sick days, nothing.

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