President Obama’s State of the Union Address included a call for
an increase in the Federal minimum wage – placing a renewed emphasis
on the critical issue of making ends meet for many working Americans.
Obama has asked Congress to raise the minimum wage to $9 an hour from $7.25/
hour, a move that could potentially affect millions of working Americans.
Minimum wage earners – such as cooks, janitors, and aides to the
elderly – often struggle to make ends meet. Such an increase could
help reduce the widening gap of income inequality.
Obama hopes to have the hourly wages reach $9 by the end of 2015, with
an automatic adjustment for inflation.
Currently, the Federal Fair Labor Standards Act (the “FLSA”)
mandates that workers be paid minimum wage, and several states have higher
minimum wage levels. If you have questions about the minimum wage or any
other wage or hour question, please consult with an experienced
Atlanta minimum wage law attorney right away.
If successful, the raise in minimum wage would boost the wages of about
15 million low-income workers. Although the $9 minimum wage would be the
highest in more than 30 years, taking into account inflation, it is still
lower than the levels it reached back in the 1960s and 1970s.
In the State of the Union Address, Obama noted:
“Even with the tax relief we’ve put in place, a family with
two kids that earns the minimum wage still lives below the poverty line.
That’s wrong…Let’s declare that in the wealthiest nation
on earth, no one who works full time should have to live in poverty.”
Citing research that shows “no detectable employment losses from
the kind of minimum wage increases we have seen in the United States,”
the White House said that the move would have profoundly positive effects
for low-income families without unduly burdening businesses or raising
the unemployment rate.
Further, several companies like Costco and Stride Rite favor minimum wage
increases as a way to reduce employee turnover and improve workers’
“This single step would raise the incomes of millions of working
families,” said Mr. Obama on Tuesday night. “It could mean
the difference between groceries or the food bank, rent or eviction, scraping
by or finally getting ahead. For businesses across the country, it would
mean customers with more money in their pockets. In fact, working folks
shouldn’t have to wait year after year for the minimum wage to go
up while C.E.O. pay has never been higher.”
For more information about the minimum wage, the Fair labor Standards Act
or any other wage and hour questions, please contact the dedicated
Georgia wage and hour lawyers The Buckley Law Firm, LLC for an immediate appointment.