Congresswoman Susan Davis Fights for Minimum Wage Increase

Congresswoman Susan Davis Fights for Minimum Wage Increase
Legislation Would Raise Minimum Wage from $5.15 to $7.25 an Hour

Washington, DC — The minimum wage has remained stagnant since 1997 when it was increased to $5.15 an hour. As a long time advocate for increasing the minimum wage, Congresswoman Susan Davis cast a vote in favor of raising the minimum wage to $7.25.

The proposal was rejected by the House of Representatives on a party line vote, 223-191.

"The American people deserve a raise," said Rep. Davis, who serves on the House Education and Workforce Committee. "It has been seven years since minimum wage workers enjoyed an increase in their base pay. Meanwhile, the cost of living has continued to rise. As the cost of housing, gas, food, and heath care has gone up; it is simply unfair to turn down working families for a wage increase."

Under the legislation, the minimum wage would have increased in three increments - to $5.85 60 days after enactment, $6.55 a year later, and $7.25 two years after enactment.

A full-time, year-round minimum wage worker in 2004 earned only $10,712 - not enough to lift a family of three (a single parent and two children) out of poverty. The current minimum wage is unable to lift a family of two (a single parent and one child) out of poverty.

Despite arguments that a minimum wage increase hurts the economy, history has shown there has not been a negative impact on jobs, employment or inflation. In the four years after the last minimum wage increase, the economy experienced its strongest growth in over three decades. Nearly 11 million new jobs were added, at a pace of 232,000 per month. There were ten million new service industry jobs, including more than one and a half million retail jobs.

In 1996, the Congress enacted a bill that raised the minimum wage in two steps - from $4.25 to $4.75 in 1996 and from $4.75 to $5.15 in 1997.

http://www.house.gov/susandavis/press/pr071305minimumwage.html