Despite substantial divisions over legislation that would have set a $12.50 living wage floor for employees of DC big box stores, there is now almost universal agreement among District leaders on another important issue: that the city’s minimum wage is too low and needs to be raised. Moments before the DC Council’s unsuccessful attempt to override Mayor Gray’s veto of the Large Retailer Accountability Act, four bills were introduced focused on increasing the minimum wage. Three of the four introducers’Councilmembers Bowser, Catania, and Wells’were among those who voted against the living wage bill.
And, the next day, Mayor Gray himself listed a minimum wage increase as one of his top fall legislative priorities.
These moves reflect a recognition that many DC residents cannot afford to live in the city at their current wage. At $8.25 an hour, a parent with two kids working full-time and all year earns well below the federal poverty line. With skyrocketing housing costs and flat incomes for many groups of residents, steps to raise wages are critical to helping residents continue to call DC home.
Raising the minimum wage would help many DC residents make ends meet. A $10.10 wage floor ‘as proposed for the entire country by Sen. Tom Harkin and Rep. George Miller’would help 36,000 DC workers, two-thirds of whom have a high school diploma or less, according to the Economic Policy Institute. The estimated $58 million in increased wages would be spent at markets, clothing shops and hardware stores, helping District businesses. The direct and indirect impacts would help an estimated 16,000 children. Almost all affected workers’95 percent’are 20 years of age or older.
Three of the four bills now being considered by the Council would reach a higher minimum wage than Harkin/Miller. This makes sense due to the high cost of living in the District.
Here’s a rundown of what has been introduced:
*Councilmember Wells introduced a bill that would increase the minimum wage to $10.25 over two years and set future annual increases to the consumer price index. This bill also would increase the standard deduction in DC’s income tax, helping reduce the high taxes paid by DC’s low- and moderate-income families.
*Councilmember Catania introduced a bill that would increase the minimum wage to $10.50 over three years, but it would not index to inflation. The bill would also amend the city’s paid sick leave law to include tipped restaurant workers.
*Councilmember Bowser introduced a bill to create a commission on DC’s minimum wage and report recommendations within nine months.
*Councilmember Orange introduced a bill to increase the minimum wage to $12.50 an hour over the next four years and tie future increases to the consumer price index. The bill would also raise the minimum wage paid to tipped workers to 70 percent of the minimum wage. The minimum wage before tips for these workers currently is just $2.13 an hour.
Now the accountability will be on the mayor and DC Council to see if they remain focused on the goal of raising wages for our lowest paid workers by passing legislation in upcoming months. Don’t worry, the District’s Dime will remain focused on this issue as well.
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