Leading Senate Democrats are working out a plan to penalize large corporations that do not have a $ 15 hourly minimum wage, two sources confirmed to The Hill.
Chairman of the Senate Finance Committee Ron Wyden
Ronald (Ron) Lee WydenHouse Democrats approve sweeping .9T COVID-19 relief bill with minimum wage increase House must vote tightly on COVID-19 relief package On The Money: Democrats struggle to save minimum wage increase | Personal income goes up, inflation remains low after the stimulus breaks MORE (D-Ore.) And President of Budget Bernie Sanders
Bernie SandersHouse Democrats approve COVID-19 sweeping .9T relief bill with minimum wage increase House must vote tight on COVID-19 relief package On The Money: Democrats struggle to save minimum wage increase | Personal income goes up, inflation remains low after the stimulus breaks MORE (I-Vt.) He released his “Plan B” after the congressman decided that a direct increase in the minimum wage to $ 15 an hour did not comply with the mysterious budget rules that govern what can be included in the relief bill of the coronavirus.
According to the backup plan, outlined by Wyden on Friday, large corporations would receive a 5 percent tax penalty if they paid workers less than a certain amount, with the fine increasing over time. Democrats also sought to give tax incentives to small businesses to increase their salaries.
But Democrats withdrew from the effort, with a familiar source telling The Hill that there were concerns that working out the details might slow the overall coronavirus project. Democrats want the bill President biden
Joe BidenNoem praises the response to the South Dakota coronavirus, breaks down blockages in the CPAC On The Trail speech: Cuomo and Newsom – a story of two governors in trouble Biden celebrates approval of the vaccine, but warns that ‘current improvement may reverse’ MOSTbefore unemployment insurance expires in a matter of weeks.
“We worked over the weekend and it was clear that finalizing ‘plan B’ with the political convention would delay approval and risk falling into the precipice of unemployment benefits on March 14,” said the source.
A source close to Sanders confirmed that he was also not moving forward with the offer of the idea as an amendment to the coronavirus bill, which he initially promised to do on Thursday night.
“He is dedicated to raising the minimum age to $ 15 an hour and is working on strategies to do so,” added the source.
The decision, which was first reported by The Washington Post, is the latest setback for progressives, who hoped to use the coronavirus relief bill to raise the minimum wage to $ 15 an hour.
The House passed comprehensive $ 1.9 trillion legislation over the weekend with an increase in the minimum wage included. But because of the parliamentarian’s decision – and neither the White House nor the leading Democrats are willing to ignore that advice – the text is expected to be withdrawn this week when the Senate passes the COVID-19 bill.
Even if the congressman had decided on the minimum wage of $ 15 an hour, he probably would have undergone changes in the Senate because the proposal is not supported by 50 Democratic senators. Sen. Joe Manchin
Joseph (Joe) ManchinProgressives rages at Senate setbacks Politics, not racism or sexism, explains opposition to House Democrats from Biden Cabinet nominees approve .9T COVID-19 relief bill with minimum wage increase MOST (DW.Va.) and Kyrsten Sinema (D-Ariz.) They expressed opposition and there was ongoing conversation among a broader group about things like tipping employees and how to structure the raise.
Neither Manchin nor Sinema publicly expressed an opinion on the backup plan, but the White House gave “Plan B” a publicly cold reception.
“Our focus will be on the urgent priority of getting this package approved and delivering the relief that is so desperately needed – $ 1,400 ransom checks for most Americans, funding to keep this virus under control, help to reopen our schools and help desperately needed by the people most affected by this crisis, “said a spokesman on Friday.