You’ve been hearing a lot about raising the minimum wage lately. It’s expected to become a hot topic during the election season. But a new report could lead to many of you thinking twice about supporting an increase.
The Congressional Budget office says raising the minimum wage to $10.10 an hour might mean the loss of 500,000 jobs. But don't expect that to stop President Obama from pushing for it, as he did for federal contracted employees weeks ago.
“We believe in a higher minimum wage,” President Obama said.
The President originally wanted to see the wage increase to $9 an hour but has since sided with Senate Democrats who favor the $10.10 figure. Labor Secretary Thomas Perez says it’s something that has to happen.
“Every American worker needs a raise,” Perez says.
But it will take an act of Congress to do so. The Senate is expected to vote on a minimum wage increase next month. But the issue is not expected to get a vote in the House of Representatives.
There are many businesses that would like to see the line on wages held. Richie Jackson of the Texas Restaurant Association told KTRH some people don't understand what some of those minimum wage jobs are supposed to do.
“We give them the skills necessary to go on with their career. We’re keeping those jobs here as opposed to other industries that are sending those jobs overseas,” Jackson said.
And Jackson says the proof of this is in the numbers.
“Eighty percent of the owners of restaurants actually began in an entry level position. Nine out of ten salary jobs in our industry began in that entry level position,” Jackson explained.