Sen. Josh Hawley (R-Mo.) and Peter Welch (D-Vt.) have proposed laws to boost the federal minimal wage from its present fee of $7.25 to $15 per hour.
What Occurred: The Larger Wages for American Employees Act, launched by Senators Hawley and Welch on Tuesday, goals to extend the federal minimal wage to $15 per hour and tie future will increase to inflation. Presently, the inflation-adjusted federal minimal wage is at its lowest stage for the reason that Nineteen Forties. This proposal is a part of Hawley’s wider “Professional-Employee Framework for the 119th Congress,” which incorporates strengthening protections for union jobs and collective bargaining.
“For a long time, working Individuals have seen their wages flatline. One main perpetrator of that is the failure of the federal minimal wage to sustain with the financial actuality going through hardworking Individuals each day,” stated Senator Hawley.
If enacted this 12 months, the invoice would elevate the federal minimal wage to $15 per hour starting in January 2026, with future will increase tied to inflation.
Senator Hawley’s assist for elevating the federal minimal wage marks a break from the Republican Get together’s conventional opposition, reflecting a broader shift throughout the Donald Trump period because the GOP embraces extra populist insurance policies to attraction to working-class voters.
Why It Issues: This transfer follows Hawley’s earlier efforts to assist working-class Individuals. In April 2025, Hawley proposed a considerable tax minimize aimed toward these incomes lower than $80,000 yearly. This proposal, which aimed to make customary revenue tax breaks refundable towards payroll taxes, was touted as a possible “historic” tax discount for working households throughout the nation.
Earlier this 12 months, he teamed up with Sen. Bernie Sanders (I-VT) to introduce laws to cap bank card rates of interest at 10%. In latest weeks, Hawley has been urging his occasion towards cuts to Medicaid advantages in Trump’s ‘Massive, Lovely Invoice.’
The proposed minimal wage improve is one other step in Hawley’s ongoing efforts to deal with monetary hardship and excessive residing prices confronted by many Individuals. Notably, In January, Scott Bessent as a Treasury Secretary nominee, had opposed elevating the minimal wage fee on a federal stage citing it as a state or regional difficulty.
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Disclaimer: This content material was partially produced with the assistance of AI instruments and was reviewed and revealed by Benzinga editors.
