Success for minimum wage

Despite the massive republican sweeping on election day, on November 4, 2014, measures to increase the minimum wage have increased in four countries with comfortable margins of victory:

Arkansas – The profit will grow from 6.25 to 8.50 dollars an hour by 2017 (66% of votes)

Nebraska – From $ 7.25 to $ 9 per hour (59% of votes)

Alaska – Alaska will make an increase to $ 9.75 per hour in 2016 (69% of votes)

South Dakota – From $ 7.25 to $ 8.50 per hour (55% of votes)

Also, Illinois has adopted a non-binding referendum on increasing the minimum wage to $ 10 per hour. Every measure before the voters was passed. About 420,000 workers in these countries will see an increase in salaries, thanks to this vote.

In his speech in January 2014, President Barack Obama called on Congress to increase the federal minimum wage from $ 7.25 to $ 10.10 an hour. However, Republicans from the Senate later blocked the legislation. The fans had 54 votes, but 60 needed to improve that law. Shortly thereafter, the president signed an executive order increasing the salary to $ 10.10 for individuals working on new federal service contracts.

Ironically, voters have approved an increase in the minimum wage in the same countries that the Republicans have entered into office. The GOP generally opposes such an increase, looking at this action as a killer of work. "When you increase the cost of something, you will get less of it," said John Boehner, President of the House earlier this year. "We know from an increase in the minimum wage in the past that hundreds of thousands of low income Americans lost their jobs."

There are prominent Republicans who disagree with this position, including former presidential candidate Mitt Romney, former senator from Pennsylvania Rick Santorum, and former governor of Minnesota Tim Paulenti. Senator Susan Collins from Maine has even tried to intervene in a compromise for a slight increase in the minimum wage earlier this year.

According to the Congressional Budget Office, increasing the minimum wage would have two main effects on low-wage workers. Most of them would receive a higher salary that would increase the income of their family, and some of these families would rise above the federal poverty threshold. But some jobs for low-wage workers are likely to be eliminated. The income of most workers who became unemployed would be significantly reduced, and the share of employees who were employed with low wages would probably be slightly reduced.

The current federal minimum wage of $ 7.25 per hour is part of the Fair Work Standards Act (FLSA). However, FLSA does not replace any national or local laws that are more favorable to employees. If the state has a salary that is higher than the federal minimum, employers subject to the law on state salaries are obliged to pay their employees a higher rate. In total, around 13 countries increased salaries this year and, according to the Economic Council's Advisory Council, about 7 million workers will benefit from these increases until 2017.