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The minimum wage debate is hot. The Fair Minimum Wage Act of 2013 (FMWA) would raise the minimum from $7.25 to $10.10 over three years and then index to inflation. Why?
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<p><span>By Fred Kammer, S.J.</span></p>
<p class="e2ma-p-div"><span class="e2ma-style">&nbsp;</span><span>The minimum wage debate is hot.&nbsp;&nbsp;<i>The Fair Minimum Wage Act of 2013</i>&nbsp;(FMWA) would raise the minimum from $7.25 to $10.10 over three years and then index it to inflation. Why?&nbsp; The minimum wage has declined in value measured against inflation, average U.S. wages, U.S. productivity, and the poverty line.&nbsp; A parent working full-time year-round at minimum wage cannot keep the smallest family (one parent, one child) above the poverty line.&nbsp;<span class="e2ma-style">[1]</span></span></p>
<p class="e2ma-p-div"><span class="e2ma-style">&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;</span>Opponents claim that the number of minimum wage workers is small (3.7 million), most are young and part-time, and &ldquo;relatively few of them live below the poverty line.&rdquo;<span class="e2ma-style">[2]</span>&nbsp;The argument is misleading. &nbsp;First, FMWA will affect not just current minimum wage workers, but 16.7 million workers earning less than $10.10.&nbsp; Another 11.1 million workers would benefit indirectly from the &ldquo;ripple effect&rdquo; of employers adjusting overall pay ladders.&nbsp; Of these 27.8 million, 55 percent are women, 88 percent are at least 20 years old, 54 percent work full-time, 26.5% are parents, and the average worker earns half of his or her family&rsquo;s total income.&nbsp;<span class="e2ma-style">[3]</span>&nbsp;&nbsp;Further, between 1979 and 2011, the &ldquo;share of low-wage workers (those earning less than $10 per hour in 2011 dollars) aged 25 to 64 grew from 48 percent to 60 percent&hellip;&rdquo;<span class="e2ma-style">[4]</span></p>
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