Biden’s minimum wage boost faces tough battle with GOP

President-elect Joe BidenJoe Biden Fear of internal attacks leads to additional FBI screening of National Guard troops: AP Iran condemns American businessman on espionage charge: DC report, capitals see few problems, heavy security amid protests MOREThe proposal to raise the minimum wage to $ 15 an hour is emerging as one of the first sources of party division in its broader relief plan for COVID-19.

Biden received applause from progressives for including a policy to raise the federal minimum wage for the first time in more than a decade in his $ 1.9 trillion aid package released on Thursday.

But some lawmakers across the corridor were quick to criticize this component of their plan, arguing that it would make recovery more difficult, rather than helping.

“Forcing a $ 15 minimum wage on a coronavirus relief bill would do nothing but shut down millions of small businesses that already lived and force those that survived to lay off employees,” said the senator. Tim ScottTimothy (Tim) Eugene ScottHarris will step down from the Senate seat on Monday McConnell says he is undecided on whether to vote to convict Trump McConnell will not repeat his role as Trump’s top advocate MORE (RS.C.).

Pennsylvania Sen. Pat ToomeyPatrick (Pat) Joseph ToomeyThe government used the Patriot Act to collect records of website visitors in 2019 The appeals court ruled that the mass collection of telephone data from the NSA is illegal. (R), who is not seeking re-election, said the relief from COVID-19 should focus on expanding vaccines, not raising the minimum wage.

“If the federal government requires a universal minimum wage of $ 15, many low-income Americans will lose their current jobs and find fewer job opportunities in the future,” he said.

Biden, who aims to approve the aid package with bipartisan support, seemed to anticipate part of the subsequent Republican reaction when he noted on Thursday that raising the minimum wage is popular, even in the red states.

“People tell me that this is going to be difficult to pass. Florida just approved, however divided that state is, they just approved, ”he said.

President TrumpDonald TrumpIran condemns American businessman on espionage charge: DC report, capitals see few problems, heavy security amid protest concerns Those seeking forgiveness paid Trump’s allies tens of thousands to lobby President: NYT MORE Florida won in the last two elections, and the state has a Republican governor and two Republican senators.

Still, voters in the State of the Sun approved an electoral initiative in November, raising the minimum wage to $ 15.

“The rest of the country is also ready to move,” said Biden.

Twenty states and several locations increased their own minimum wages on January 1.

Surveys across the country indicate broad support for a $ 15 minimum wage. A 2019 Pew survey found that 67% of Americans supported a $ 15 fee, while a more recent Ipsos survey in August showed that 72% of respondents supported raising the minimum wage by some amount, including 62% of Republicans.

But getting 10 Senate Republicans to support Biden’s COVID-19 proposal and avoid obstruction by the Republican Party is likely to be a challenge.

Moderated as Sens. Susan CollinsSusan Margaret Collins Impeachment trial tests Trump’s control over the Senate Republican Party ‘Almost heaven, West Virginia’ – Joe Manchin and a 50-50 Senate McConnell about to study Trump on political power for the last time MORE (R-Maine), Lisa MurkowskiLisa Ann Murkowski Democratic lawmaker says ‘murder party’ was hunted by Pelosi during the riot. Impeachment trial tests Trump’s control over the ‘Almost paradise, West Virginia’ Senate party – Joe Manchin and a 50-50 Senate MORE (R-Alaska) and Mitt RomneyWillard (Mitt) Mitt RomneyImpeachment trial tests Trump’s control over GOP Senate ‘Almost Heaven, West Virginia’ – Joe Manchin and a 50-50 Senate The Hill’s Morning Report – Biden asks Congress to expand the biggest bailout response in history from the USA MORE (R-Utah) did not respond to requests for comment from The Hill.

A bill passed by the House in 2019 that would have gradually raised the minimum wage to $ 15 in 2025 was never brought to the floor by the Senate majority leader Mitch McConnellAddison (Mitch) Mitchell McConnellGraham asks Schumer to withhold vote to reject impeachment article against Trump Rove: chances of conviction increase if Giuliani represents Trump in Senate impeachment trial Boebert’s director of communications resigns amid Capitol riots (R-Ky.).

Sen. Elizabeth WarrenElizabeth WarrenBiden to choose Rohit Chopra to lead CFPB, Gensler for SEC chairman: reports that tax increases in Biden face difficulties ahead Porter loses seat on the House panel that oversees the financial sector MORE (D-Mass.), A progressive who praised Biden’s proposal, said Democrats should use legislative solutions if enough Republicans do not board.

“Let’s be clear: if Republicans want to drag their feet while working families struggle, the Democratic majority must use all available legislative instruments to pass it.” she tweeted, an apparent reference to budget reconciliation, a tool that would allow Democrats to pass some legislation by a simple majority.

But policies that have no direct budgetary effects, or are only incidental to the budget, are prohibited in reconciliation legislation, which means that an increase in the minimum wage is likely to remain subject to Republican Party obstruction.

While Democrats can get much of Biden’s COVID-19 package through Congress without Republican support, they will have little choice but to secure Republican Party votes if they want to raise the minimum wage.

In the House, where Democrats can easily pass their favorite policies, even with a small majority, the Republican Party’s opposition is already clear.

Rep. Jason SmithJason Thomas SmithREAD: Republicans who voted to contest election results The House Republicans raise concerns about the top nominees for the Biden Cabinet, Jason Smith should serve as the main Republican on the House Budget Committee MORE (Mo.), the main Republican on the Budget Committee, called Biden’s proposal a liberal wish list and condemned the addition of more “rules, costs and charges for small businesses”.

“Using an economic crisis as an excuse to advance an unrelated agenda is the kind of policy that working Americans are tired of,” he said.

A report by the Congressional Budget Office (CBO) on the 2019 Democratic minimum wage bill said there were a number of possible employment outcomes, with job losses ranging from “about zero to 3.7 million”.

In the intermediate scenario, the economy would have 1.3 million fewer jobs, even if 1.3 million were lifted out of poverty. About 17 million people would see their income increase, estimated the CBO.

Conservative groups, such as the Job Creators Network, say that changes to the tax code are preferable to raising the minimum wage.

“A better approach to help start-up workers and small businesses is the Biden government’s proposal to expand Earned Income Tax Credit,” said the group’s president, Alfredo Ortiz.

This approach, which Biden included as part of his COVID-19 aid plan, places the government’s burden of increasing the incomes of low-income workers rather than companies.

Brian Gardner, chief policy strategist for Washington at Stifel Financial Corp., said he expects Biden’s proposal to be reduced through negotiations.

“We see yesterday’s launch as an initial offer,” he said, predicting that a final package would be priced at less than half what Biden proposed.

Getting a minimum wage deal will prove to be an initial test for Biden’s campaign assurances that he would be able to work in the corridor to promote Democratic priorities.

Sen. Chuck GrassleyImpeachment Trial Chuck Grassley tests Trump’s control over the GOP McConnell Senate about to teach Trump about political power for the last time. Night health care: Biden unveils COVID-19 relief plan | Post-holiday increase hits new deadline records | Senate report on failures in the ‘broken’ system to increase insulin prices MORE (R-Iowa), who until recently chaired the Senate Finance Committee, was skeptical of the package, saying “few line items in this proposal appear to undermine the bill’s own good intentions”, but it also sounded a note of optimism.

“I am open to further relief in the light of this crisis, but I will need to review the proposal more closely and perhaps even see changes before I can offer my full support,” he said.

.Source