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President Obama signs minimum wage executive order

Posted by on Feb. 13, 2014 at 2:31 PM
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President Obama signs minimum wage executive order

VIDEO HERE:  http://www.politico.com/story/2014/02/miniumum-wage-executive-order-barack-obama-103450.html?hp=r14

President Barack Obama on Wednesday formally signed an executive order raising the pay for employees of federal contract workers, but his attention was on a push for Congress to do the same for all Americans.

Obama came armed with an array of statistics and figures showing how he believes raising the hourly minimum wage from $7.25 to $10.10 would boost the economy, but with few details about the executive order he signed during the East Room ceremony.

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A minimum wage hike would help millions of people, be good for the economy and has the broad backing from Americans, Obama said. But what it does not have at the moment is enough support from Republicans in Congress.

“A majority of Americans – not just Democrats, not just independents, but Republicans too – support raising the minimum wage,” Obama said. “It’s the right thing to do. So that’s something Congress should keep in mind this year.”

So Obama encouraged his supporters to press Congress.

“Every American deserves to know where your elected representative stands on this issue,” he said. “So ask your senator, ask your representative in the House, do you support raising the federal minimum wage to $10.10 an hour. If they say yes, tell em good job. … If they say no, be polite, don’t just yell at them but say, ‘Why not?’ Ask them to reconsider siding with an overwhelming majority of Americans. Encourage them to say yes, give America a raise.”

House Speaker John Boehner (R-Ohio) has said he doubts a minimum wage hike will provide an economic boost.

To prove the benefits of a minimum wage hike, Obama offered examples of three federal employees: a dishwasher, a fast-food employee and a laundry worker at federal facilities who will see their hourly pay increased whenever their employer’s contracts are renewed.

But the White House has been vague about the details of how many people will be impacted by Obama’s executive action.

Labor Secretary Thomas Perez told reporters at the White House that Obama’s executive order will boost the pay of “hundreds of thousands of people directly,” and would also benefit other Americans who would see a higher level of service.

Perez said the administration does not have exact figure for the percentage of federal employees who are now paid less than $10.10 per hour.

Obama’s executive order, which will go into effect Jan. 1, 2015, will not cost the federal government money because its contractors will become have more efficient employees if they are paid more, Perez said. Government agencies will not increase funds allocated to contracts to absorb higher wages, he said, because the contractors will see better productivity from their workers to cover the costs.

“All of this will be implemented within existing budget of the agencies,” Perez said. “The efficiencies of paying a fair wage is what we will gain.”

The higher minimum wage for federal contractor employees will go into effect as new federal contracts are agree to, Perez said, taking “three to five years” for all federal contracts to be renewed.

The executive order increasing the minimum wage for employees of federal contractors’ employees served as free advertising for Democrats’ 2014 campaign call to raise the overall federal minimum wage. The White House on Wednesday launched websites advertising 2014 as a “Year of Action” and calling for Congress to hike the minimum wage.

The minimum wage website features precise data on how many people in specific demographics would be impacted by an across-the-board minimum wage hike: 4.6 million married people with children, 12.4 childless single people and 2.8 million single parents.


Read more: http://www.politico.com/story/2014/02/miniumum-wage-executive-order-barack-obama-103450.html#ixzz2tESUu6f5

by on Feb. 13, 2014 at 2:31 PM
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Replies (1-10):
-Celestial-
by Platinum Member on Feb. 13, 2014 at 5:17 PM
2 moms liked this
A minimum wage hike would help millions of people, be good for the economy and has the broad backing from Americans, Obama said. But what it does not have at the moment is enough support from Republicans in Congress.

“A majority of Americans – not just Democrats, not just independents, but Republicans too – support raising the minimum wage,” Obama said. “It’s the right thing to do. So that’s something Congress should keep in mind this year.”

So Obama encouraged his supporters to press Congress.

“Every American deserves to know where your elected representative stands on this issue,” he said. “So ask your senator, ask your representative in the House, do you support raising the federal minimum wage to $10.10 an hour. If they say yes, tell em good job. … If they say no, be polite, don’t just yell at them but say, ‘Why not?’ Ask them to reconsider siding with an overwhelming majority of Americans. Encourage them to say yes, give America a raise.”



!!! Yep !!!
supermonstermom
by on Feb. 13, 2014 at 7:08 PM
8 moms liked this

Hiking minimum wage will cost jobs, and if you have ever had a business with employees, or have done payroll, you would get it. 

My husband has a business with 10 employees.  The least paid employee makes $12 and hour.  The cost of the employee is not $12 an hour, it is $21 an hour after matching taxes, paying unemployment, workers comp, etc.   If minimum wage is hiked to $10.10, our  $12 and hour general laborer is going to want $15, the skilled labor is going to want $22 and hour.  No way can my husband afford that, pay all the over head and make a profit, employees will be laid off.   We are lucky and we don't have to offer insurance.  The cost of Obamacare plus the added expense of hiking minimum wage will kill small business.

 Minimum wage is not intended for an experienced worker, it is a starting off point.  

blondekosmic15
by Blonde on Feb. 13, 2014 at 9:31 PM
1 mom liked this

Well stated. My son is 28 y/o now. When he was in his early 20's he worked @ a nice restaurant in our area. The minimum wage was raised & he was layed off. Businesses have the option to lay off employees or raise prices. Sometimes both. Hiking minimum wage will cost jobs & place employers in a position to take steps they would not be forced to do otherwise~

Quoting supermonstermom:

Hiking minimum wage will cost jobs, and if you have ever had a business with employees, or have done payroll, you would get it. 

My husband has a business with 10 employees.  The least paid employee makes $12 and hour.  The cost of the employee is not $12 an hour, it is $21 an hour after matching taxes, paying unemployment, workers comp, etc.   If minimum wage is hiked to $10.10, our  $12 and hour general laborer is going to want $15, the skilled labor is going to want $22 and hour.  No way can my husband afford that, pay all the over head and make a profit, employees will be laid off.   We are lucky and we don't have to offer insurance.  The cost of Obamacare plus the added expense of hiking minimum wage will kill small business.

 Minimum wage is not intended for an experienced worker, it is a starting off point.  


mjmorrison
by Member on Feb. 13, 2014 at 9:35 PM
2 moms liked this

this is another reason why jobs went overseas, wages should be determined by the market not set by vote grabbing politicians.

Billiejeens
by Ruby Member on Feb. 14, 2014 at 7:30 AM

BUMP!

gsprofval
by Gold Member on Feb. 14, 2014 at 8:14 AM
2 moms liked this

Minimum wage was never meant to live on.  People making minimum wage are entry level, not executive level.  

I understand many people work in minimum wage jobs because that is all they can find right now, but raising it won't help the job market.

The best way to help the job market is to get rid of the current administration and dump obamacide care.  Then businesses would be able to expand, not contract like what is happening right now.

funny_girl3
by Member on Feb. 14, 2014 at 9:10 AM

Yay! 

numbr1wmn
by Nikki on Feb. 14, 2014 at 9:12 AM

WTG Obama you just hurt the economy more than it is. You wanted job creation? YEAH RIGHT. LMAO. Now I am gonna sit back and watch.

buttersworth
by Bronze Member on Feb. 14, 2014 at 9:38 AM
2 moms liked this

Minimum wage jobs were never meant to sustain a family, mortgage, rent.

Minimum wage jobs were supposed to be for high school and college kids and people who just wanted a little part-time supplemental income.

These kinds of jobs are now sought after because there are fewer jobs to choose from.

Our economy is NOT in recovery. Anyone who says that is lying.

Jobs that most adults needing to provide for families would traditionally have, and jobs that college grads would be looking at when embarking on their careers, are drastically reduced.

These facts show a pattern emerging from the last couple administrations, dem or rep, both.

We have become hyper-focused on looking at the very little narrow picture of the current status ...which is that , some people can't find other than minimum wage jobs and can't survive on the pay from a single one.

So the crisis we are supposed to react to now and 'solve' is to raise that pay.

But the implications are that this will drain more businesses, and will also cause the services and products being provided by minimum wage workers to become more expensive, hence unaffordable for more consumers, and then...those services and products will no longer be sustained by consumers and will fail.

I predict that soon, no one will be able to buy as much as before, en masse. For a while consignment shops will do well. After a time, there'll be more people unemployed and seeking assistance, and that tax-supported assistance will start to be unavailable. At which point we will be completely enmeshed in an economic Depression.

This is where we're heading.

The problem is bigger than solving how much minimum wage is.

Raising minimum wage will help the families now forced to depend on it, but it's a quick-fix of smoke and mirrors, which in reality over longer term is going to be the nail in the coffin for our economy.

If those in control of the finances in this country wanted us to be prosperous again they would make the climate here more hospitable for business and free markets. They would put our country back on the gold standard. They would return to using the Treasury as our nation's bank. And they would pull our troops out of all foreign entanglements across the globe.

They won't do any of this. Those with knowledge of finance and economics and especially in the seat of economic power in our country are fully aware that we are going to dive into a deep depression.'

And many of those people with minimum wage jobs -and even those who currently make more - are going to suffer severely - and the world bank knows it.

143myboys9496
by Gold Member on Feb. 14, 2014 at 9:51 AM
1 mom liked this

Let's see, since the vast majority of people earning minimum wage have been affected by the 10 hour drop in the full time work week..Let's do a tiny bit of math..shall we?

7.25x40=290

10.10x30=303

That's a $13/week increase. And since these employees are now going to have to foot the bill for their own healthcare (thanks Barry for the loophole). I'm guessing it's still going to be a net loss. 

Even without Obamacare, where will $13/week get anyone? That's BEFORE taxes. At best they'll be left with $7 after taxes. 

And whom does Barry think corporations are going to pass the $2.85 increase onto? UM..the consumer, who will be paying more for food/services

So HOW does this help the economy?

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