Democratic Lawmakers Urge Increase in Minimum Wage

State House Democratic Whip Mike Veon, Caucus Chairman Mark Cohen and Labor Relations Committee Chairman Bob Belfanti today called for an increase in Pennsylvania's minimum wage from the current $5.15 per hour to $7.15 per hour by 2007.

"When you adjust for inflation, Pennsylvania's minimum wage earners are bringing home fewer real dollars than at any time since 1949," Veon said. "Someone who works 40 hours per week, 52 weeks per year at minimum wage still comes up $5m000 short of the poverty line for a family of three; even a single parent with one child comes up nearly $2,000 short.

"Someone who works hard for 40 hours per week should at least be able to say theya re above the poverty level."

The lawmakers, joined by church, community and labor leaders, discussed the proposed legislation at a Capitol news conference.  The proposal would bring the Commonwealth's minimum wage to a level equal with New York and other states that have raised their minimum wage above the federal floor of $5.15 per hour.  It would help thousands of full-time workers whose full-time incomes remain well below federal poverty guidelines.

"This proposal would help bring Pennsylvania into line with competing and neighboring states," said Cohen, a long-time advocate of increasing Pennsylvania's minimum wage. "New York's minimum wage will be $7.15 per hour by 2007, and New Jersey is currently considering a similiar bill.  Overall, there are 14 states - plus Washington D.C. - with higher minimum wages than Pennsylvania, and many more states are considering legislation like ours.  

"A wage hike in the Keystone State is long overdue.  The time is now. Our working people cannot wait any longer," Cohen said.

The legislation would require that Pennsylvania workers covered under the act receive:

- $6.00 per hour effective 60 days after the bill is signed into law;

- $6.75 per hour effective Jan. 1, 2006;

- $7.15 per hour effective Jan. 1, 2007;

- Modest cost-of-living minimum wage increases based on the regional Consumer Price Index effective each Jan. 1 thereafter.

"There are some misguided opponents to this proposal who claim a higher minimum wage would result in lost jobs and bankrupt business, " Belfanti said. "But study after study shows that a minimum wage hike has little impact on employment.

"Most minimum-wage jobs are in service industries that generally don't relocate, and less than 2 percent of our manufacturing workers earn less than $6.15 per hour, " he said. "Raising the minimum wage will help all workers, even well-paid union workers, since the rising tide will lift all boats."

"A higher minimum wage would mean more dollars that workers can spend on goods and services in their communities, " Veon said. "Even President Bush said 'When people make more money they spend more, and when they spend more it helps the economy, which is good for all of us."'