Obama signed an executive order giving federal works a minimum wage hike to $10.10 per hour. Far left extremist progressive liberal Democrats want to raise the minimum wage to the same level for the whole country, for all private business. What do you think would be the outcome of this? A few burger flippers with a few more dollars in their pocket to spend on liquor and cigarettes. The costs of this minimum wage hike would also not be absorbed by business, put rather passed on to consumers in the form of higher prices, and less jobs available that pay minimum wage. Now, the CBO has confirmed these facts. It is expected that if the minimum wage is hiked to $10.10 nationally, 500,000 jobs would be cut almost immediately, and as many as 1 million people could lose their jobs.
So you see the Democrats plan here. Get the minimum wage hiked by about 40%, and get more people on the government teet after they lose their jobs. Typical progressive politics.
“The $10.10 option would reduce total employment by about 500,000 workers,” the CBO said. “As with any such estimates, however, the actual losses could be smaller or larger; in CBO’s assessment, there is about a two-thirds chance that the effect would be in the range between a very slight reduction in employment and a reduction in employment of 1.0 million workers.”
The report, released Tuesday, confirms the suspicions of many wage hike opponents, who have argued that higher labor costs for entry level work would lead employers to hire fewer people. The findings fly in the face of President Obama’s recent rhetoric regarding the wage hike.