Senate decision says Democrats can’t put $ 15 minimum wage on Covid’s relief bill

WASHINGTON – A Senate decision on Thursday dealt a severe blow to Democrats’ hopes of raising the minimum wage in the Covid-19 aid package, probably condemning the proposal in legislation that should be voted on in Congress.

The congressman, an internal arbitrator, considered that the provision was not in accordance with the rules governing the budget process that Congress is using to approve the bill with a simple majority.

“We are deeply disappointed by this decision,” said Senate majority leader Chuck Schumer, DN.Y. “We are not going to give up the fight to raise the minimum wage to $ 15 to help millions of struggling American workers and their families. The American people deserve this and we are committed to making it a reality. “

The so-called “Byrd rule” limits the provisions acceptable in the reconciliation process to taxes and expenses. Democrats can still try to approve a salary increase through the regular order, but that would require 60 votes in the Senate, which almost guarantees failure due to a lack of Republican support.

Senator Lindsey Graham, RS.C., the Republican in the Budget Committee ranking, praised the referee’s decision.

“Very pleased that the Senate congressman has decided that a minimum wage increase is an inadequate change in reconciliation policy,” Graham said in a statement. “This decision reinforces that reconciliation cannot be used as a vehicle to pass major legislative changes – by either party – a simple majority of votes. This decision will, over time, reinforce the Senate’s traditions. “

Democrats, led by Senate Budget Committee Chairman Bernie Sanders, I-Vt., Defended the inclusion of the clause in the package.

Sanders said he strongly disagreed with the decision and suggested another way to encourage salary increases through the budget process.

“In the coming days, I will be working with my colleagues in the Senate to come up with an amendment to remove tax deductions from large, profitable corporations that do not pay workers at least $ 15 an hour and provide small businesses with the incentives they need to increase their earnings. wages, “he said in a statement. “This amendment must be included in this reconciliation project.”

Senate finance president Ron Wyden, D-Ore., Said he would consider another way to raise wages.

“I am looking at a tax fine for megacorporations that refuse to pay a minimum wage,” Wyden said in a statement provided by his office.

The House, which is not limited by Senate restrictions, is expected to accept Covid’s relief bill on Friday. Spokesperson Nancy Pelosi, D-Calif., Said House Democrats “believe the minimum wage increase is necessary”, and added: “Therefore, this provision will remain in the American Floor Rescue Plan tomorrow.”

Congresswoman Alexandria Ocasio-Cortez, DN.Y., a leading advocate of the $ 15 salary, said earlier that it would be unacceptable for Democrats to voluntarily withdraw from the clause, but she acknowledged that the congressman could enact it noncompliant.

“The congressman is essentially a legislative reference,” Ocasio-Cortez told reporters on Thursday, before the decision. “If something is off limits, it is off limits, according to the rules.”

Senate experts say that Vice President Kamala Harris has the authority to ignore the congressman and determine that the salary increase is compliant, but the White House is not considering it.

“President Biden is disappointed with this result,” said White House press secretary Jen Psaki, but added that “he respects the parliamentary decision and the Senate process.” She said he will work with Congress to “determine the best way forward” for a $ 15 salary, but in the meantime, he “urges Congress to act quickly to approve the American Rescue Plan”.

The congressman’s decision immediately revived calls from some progressive activists to Democrats to abolish the Senate’s 60-vote limit for passing most of the legislation, which they can do with a majority vote in the House.

Eli Zupnick, spokesman for the Fix Our Senate coalition, said there is “no reason” for the party not to extend the simple majority process it is using to ease Covid “to raise the minimum wage by passing HR1 and the Bill of Rights. Voting rights, and fulfilling the many popular promises they have made that Senator McConnell can currently veto with an obstruction. “

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