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The Minimum Wage is a Disgrace, and Raising it Would be a Boon to the Whole Economy

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Jim Hightower
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Where's Obama?

As president-elect in 2008, the man who won by asserting the audacity of hope, made a bold, flat-out pledge: "People who work full-time should not live in poverty... [I] will further raise the minimum wage to $9.50 an hour by 2011."

Great! But that deadline came and went -- and so did Obama. It's not like he tried and was beaten back by corporate-hugging Republicans in Congress. Democrats controlled both houses in 2009-10, but he simply made no effort to fulfill this promise. Granted, he was focused on healthcare, his Afghan adventure, and passing the economic stimulus, but even his labor secretary was pointing out last year that upping the wage would be a big, immediate, and popular stimulus. Why not just grab it?

A leading wage-policy expert, Heidi Shierholz of EPI, spoke for a lot of us last month when she said, "I get mystified by the politics surrounding all this." Indeed, it's absurd that the White House has not grasped this issue with both hands. MESSAGE TO OBAMA AND DEMOCRATS: THIS IS A BIG-TIME WINNING ISSUE -- DON'T JUST STAND THERE, RUN WITH IT! Look at the positives behind such a policy:

  • It's a big boost for millions of Americans and for our foundering grassroots economy, plus it comes with a powerful moral argument that makes it compelling to big majorities.

  • Eighteen states have already raised their minimums above the federal level, eight of which have made future raises automatic by indexing the wage to rises in the cost of living. Among states considering raises this year, battles are being fought in Connecticut, Illinois, Missouri, New Jersey, and New York.

  • Not only do labor and a host of progressive organizations back an increase, but so do thousands of businesses, ranging from Costco to local independents, as well as such associations as Business For a Fair Minimum Wage, the Greater New York Chamber of Commerce, and the US Women's Chamber of Commerce.

  • Many Republican lawmakers are on board for an increase -- the 2007 bill raising the wage by $2.10 got the support of 82 House Republicans and five senators (not a huge number, but a significant bipartisan showing).

  • Most important of all, the public is overwhelmingly behind the increase. This June, a Zogby Analytics survey of likely voters found seven out of 10 supporting a raise above $10 an hour (including 54 percent of Republicans). Notably, 71 percent of young people (18-23 years old) favored it. Likewise, last November's "American Values Survey" by the Public Religion Research Institute shows two-thirds of Americans in favor of a $10-per-hour minimum. Included among the supporters were these interesting tallies:

52 percent of Republicans
66 percent of Independents
74 percent of women
73 percent of 18-29-year-olds
73 percent of Catholics
61 percent of white evangelical Protestants
63 percent of college grads
65 percent of those making over $100,000 a year

The only two groups to oppose the raise to $10 were (1) 56 percent of those who identify with the tea party, and (2) 54 percent of those whose most trusted news source is Fox TV.

Who are we?

Last month, July 14 marked the 100th anniversary of Woody Guthrie's birth (yes, Bastille Day, for those interested in poetic coincidences). The legendary grassroots troubadour wrote and sang the stories of grassroots folks and Depression-era injustice, including this poignant verse:

"Now as I look around, it's mighty plain to see This world is such a great and funny place to be; Oh, the gamblin' man is rich, an' the workin' man is poor, And I ain't got no home in this world anymore."

Imagine the songs Woody would think up about today's disparity between the ever richer gamblers and increasingly impoverished workers in our land of plenty. We're paying a seven-and-a-quarter poverty wage for millions, while the top 10 hedge fund gamblers on Wall Street hauled off a combined $1.753 billion in personal pay in 2010 -- that's an average hourly wage of $84,278 for each.

The super-rich are fast separating their good fortunes from the well-being of the many. It's not just America's economy they're skewing, but our values. They're destroying the place where egalitarianism, upward mobility, and the middle class once had a welcoming home. That's the fight we're in -- a historic fight to decide who we Americans really are.

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Jim Hightower is an American populist, spreading his message of democratic hope via national radio commentaries, columns, books, his award-winning monthly newsletter (The Hightower Lowdown) and barnstorming tours all across America.

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