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Surprising Facts About Minimum Wage Earners

Surprising Facts About Minimum Wage Earners

 

Written by Tula Connell, AFL-CIO

Opponents of increasing the nation’s minimum wage always fall back on the argument that it doesn’t need to be raised because it’s mostly teenagers working part-time for extra pocket money who are getting that hourly figure (which right now is $7.25).

A new study shows that stereotype isn’t true. In fact, the majority of minimum wage workers have completed some college, live in families making less than $40,000 a year and so are contributing to the family income, and are working full-time.

Economic Policy Institute (EPI) economist Doug Hall blows up the myths behind the minimum wage at EPI’s Working Economics blog, where he also shows that the vast majority of minimum wage earners are white and only 15 percent are part-time workers.

Hall argues that now is the ideal time for Congress to raise the minimum wage.

As my colleague David Cooper wrote in April, increasing the federal minimum wage to $9.80 by July 1, 2014, would benefit more than 28 million workers and increase national GDP by over $25 million, in the process creating more than 100,000 jobs. Given the lackluster recovery that continues to cast a pall over the nation, this positive step should be embraced by all those who care about the well-being of working families.

Hall writes that Iowa Sen. Tom Harkin (D) introduced the Rebuild America Act, a bill that contains important provisions to strengthen the economy and improve the well-being of working Americans.

Among the many worthy elements of this bill is a proposal to increase the federal minimum wage to $9.80 by July 1, 2014.

Next week marks the third year since the federal minimum wage was increased. But it’s a good bet for many members of Congress, the only way they would raise the minimum wage is if they actually had to live on $7.25 an hour.

The National Employment Law Project (NELP) just released a new report that also provides unexpected facts about minimum wage workers, including the fact that the majority (66 percent) of low-wage workers are not employed by small businesses, but rather by large corporations with more than 100 employees. Read the report summary here.

This post was originally published by the AFL-CIO.

 

Related Stories:

Women Are the Biggest Losers from Failure to Raise Minimum Wage

Strong Unions and Labor Laws Protect Foxconn Factory Workers in Brazil

Car Wash Workers Fight for Healthcare, Justice

 

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130 comments

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4:39PM PST on Feb 16, 2013

WASP male. No money, no help.

roflol :P

4:38PM PST on Feb 16, 2013

WASP male. No money, no help.

roflol :P

3:34PM PST on Feb 16, 2013

wasp female,no money HELP!

8:39AM PST on Jan 18, 2013

Thanks

4:34AM PST on Jan 9, 2013

The only way to make a raise in the minimum wage really stick is to spend enough of the taxpayers' money on community service employment program jobs to make such a job available to everyone who asks for one. ---- That includes those who quit WalMart because they would rather pick up litter in the streets, off sidewalks, and in parks under the supervision of a local government bureaucrat than take any more guff from WalMart. Without a community service employment program large enough to accommodate everyone who wants such a job, labor will be driven into a black market of jobs at either very much less than the current minimum wage or just plain illegal work--like pushing street drugs.

5:50PM PST on Jan 8, 2013

Sometimes someone with a degree makes minimum wage.

8:18AM PST on Dec 26, 2012

Thank you for sharing.

5:22PM PDT on Aug 19, 2012

Minimum wage is not a living wage. For rent, food, transportation, household bills alone consumes the annual income. Americans are struggling to survive the CEO's get richer, Wall street crooks harvest their spoils, Big banks and credit card companies exploit the working poor. This is Capitalism USA in it's finest hour.

7:30PM PDT on Jul 28, 2012

And just what are we supposed to be "depending on ourselves" for as opposed to the government? Keeping our streets safe? Putting out fires? Educating our children? Delivering the mail?

I want some examples. Your statement may very well be the STUPIDEST thing I have seen on the Internet in the last ten years.

2:32PM PDT on Jul 28, 2012

This issue won't be seriously addressed in an election year.

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Judy Molland An award-winning writer and teacher, Judy Molland is also an avid hiker, backpacker, and nature... more
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