Obama weighing executive action on minimum wage?
Source: Washington Post - Plum Line
Heres some welcome news. At his meeting with Democratic Senators last night, President Obama indicated that he is giving serious consideration to executive action designed to raise the minimum wage for employees of federal contractors, according to one Senator who was present.
Proponents want to see this executive action happen on the merits they believe it could impact as many as two million employees of federal contractors, and would help the economy. But they also believe such action could give a boost of momentum to the push for a minimum wage hike for all American workers, which obviously would require Congressional approval, but is currently facing Republican opposition.
Senator Bernie Sanders told me in an interview that the president took the idea very seriously when asked about it last night.
I am very pleased that the president and members of his administration indicated theyre giving very serious consideration to this proposal, Sanders said. The president is weighing the pros and cons in terms of the impact on the overall debate.
-snip-
Read more: http://www.washingtonpost.com/blogs/plum-line/wp/2014/01/16/obama-weighing-executive-action-on-minimum-wage/
Sanders wouldn't specify what "cons" might have been brought up in that meeting, but Sargent speculates that some Democrats "could be worried that raising the minimum wage for employees of federal contractors could be counter-productive, sapping momentum in the broader debate."
Sanders disagrees with that and thinks that an executive order raising the minimum wage for federal workers "will have a very significant positive impact on the debate to raise the minimum wage for all American workers."
Sargent points out that the GOP will "scream about Obama tyranny" -- Boehner is already issuing silly warnings -- but "the minimum wage is popular, and Congressional Republicans arent."
1StrongBlackMan
(31,849 posts)This IS within President Obama's constitutional authority and pits conservatives' love for out-sourcing/private contracting against their hatred of living wages.
Someone (with more time than I have right now) should research how many federal contract employees are being paid at the current minimum wage ... this will put a number to how many people will be immediately affected.
RC
(25,592 posts)Two million people with more money will spend it on Main Street, giving a boost to the economy, helping the 'recovery'.
For way too many congress critters, that seems to be a problem. Why? Because their campaign funds might dry up if they can't stop the needed repairs? They maybe won't get the needed insider information on their stock portfolio? They might not have that cushy job waiting for them, in private industry, when they 'retire'? What is the real problem here with raising the minimum wage?
Rozlee
(2,529 posts)...talking about Obama power grabs. I can hear their cries of despair in my sleep.
awoke_in_2003
(34,582 posts)help people have a little more money to live on. Seriously, I cannot understand the psychosis of my fellow citizens.
B2G
(9,766 posts)Seems to be a bit of a fuzzy area to me.
NYC Liberal
(20,135 posts)That would be within the scope of the executive branch.
B2G
(9,766 posts)Igel
(35,300 posts)I'm not sure what the contract law is as to whether the contract could stipulate wages for employees not involved with the contract.
"All employees working on fulfilment of this contract must have a minimum wage of ________" would be fine--and increase the cost of the contract.
"All employees working for the contractor in any capacity must have a a minimum wage of __________" might not be.
Kingofalldems
(38,451 posts)Ash_F
(5,861 posts)Meandyou
(22 posts)People can't make it on the table scraps that are being paid right now.
1StrongBlackMan
(31,849 posts)The Government/Public sector has always served as a market pressure for the private sector, since the two, generally, compete for the same labor. The private sector was the more attractive option for many ... with their higher pay, bonuses, and overall more stimulating workplace(s). The only advantage the Government/Public sector held was stability, workplace protections and more comprehensive benefit packages, including defined benefit retirements.
But the 1990s changed the calculus, as private industry froze wages, killed bonuses and dumped benefits (at every level below the C-suite).
Now the Government/Public sector looks much more attractive to workers, even with their lower salaries. But should the government raise wages, it will put even more pressure on the private sector to increase their bottom-end wages, to compete with the government.
warrant46
(2,205 posts)Do they get health insurance too ? It seems he could order that tomorrow ?