Some Lawmakers Question Minimum Wage Impact Report

Some Lawmakers Question Minimum Wage Impact Report

Photo: Newsradio WTAX

A new report says raising the national minimum wage may lead to half a million jobs being lost, but Democrats in Congress don’t believe that’s true. 

An analysis by Congressional Budget Office says the proposal to raise the minimum wage to $10.10 per hour would reduce overall employment by 500,000 jobs, because employers would eliminate low-wage positions. U.S. Rep. Jan Schakowsky (D-Evanston) says that goes against research she has seen. 

“Studies in the past have shown that actually it’s more likely that there’s none (jobs lost) or a more modest increase in employment because people are gonna have more money in their pockets,” Schakowsky said. 

The report also claims a minimum wage increase would boost earnings for 16.5 million people, and lift 900,000 more out of poverty. 

Schakowsky says she’s still optimistic that the increase will get enough support to pass in Congress, but says Republicans will use the CBO report to bolster their arguments against the hike.

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