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Cebu_4_2
28th January 2014, 07:20 AM
Now they're going to lose even part time jobs...

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President Obama plans to tell Congress Tuesday night he is taking executive action to raise the minimum wage to $10.10 an hour for some federal contract workers, administration officials said ahead of his State of the Union Address.

Obama will also pledge to work with Congress on legislation to increase the federal minimum wage for all workers from its current $7.25 to $10.10, said the administration officials who disclosed the plan on condition of anonymity so as not to preempt the president's speech.

"The President is using his executive authority to lead by example, and will continue to work with Congress to finish the job for all Americans by passing the (congressional) bill," said a White House statement.

Obama delivers his annual State of the Union speech Tuesday at 9 p.m. ET.

The minimum wage debate highlights a speech in which Obama is also expected to call on Congress to pass a major immigration bill, and to outline his domestic and foreign policy agendas for the year ahead, including a variety of executive orders.

Obama's minimum wage order will cover people who are performing services, such as janitors or construction workers, and are making less than $10.10 per hour.

Officials did not estimate how many people might be affected, but it might not be many. The increase will take effect with contracts signed after Obama's order, and would only apply to contract renewals if other terms of the agreement are changed.

In his address, Obama will also make it clear he is prepared to take executive action in a variety of areas if Congress -- including the Republican-run House -- does not pass legislation. In addition to the minimum wage, he is expected to announce executive actions on job training and assistance to the long-term unemployed.

"You can be sure that the President fully intends to use his executive authority -- to use the unique powers of the office -- to make progress on economic opportunity," said White House spokesman Jay Carney, who declined to discuss details of the speech.

Obama is also expected to discuss pledges his team has solicited from major corporations, asking them not to discriminate against the long-term unemployed.

Another expected speech topic: growing income inequality.

After Obama's speech, the Republican response will be delivered by Rep. Cathy McMorris Rodgers, R-Wash.
Kirsten Kukowski, spokeswoman for the Republican National Committee, said Obama's speech will only be more of the same: "From healthcare to the economy, Americans aren't happy with where Obama has brought this country and we're not sure another rerun of his same speech is going to change that."

Obama will also pledge to work with Congress on a comprehensive minimum wage bill proposed by Sen. Tom Harkin, D-Iowa., and Rep. George Miller, D-Calif., said the White House statement. The bill would raise the federal minimum wage in stages from $7.25 to $10.10, and index it to inflation thereafter.

Last year, Obama called for an increase in the minimum wage to $9.

The State of the Union speech comes at a difficult political time for Obama. Over the past year, his approval ratings have fallen to record lows in the wake of problems with the health care law and an uneven economic recovery.

This State of the Union comes less than ten months before congressional elections in which Republicans are expected to pick up House and Senate seats.

Glass
28th January 2014, 07:56 AM
"The President is using his executive authority to lead by example, and will continue to work with Congress to finish the job on all Americans by passing the (congressional) bill," said a White House statement.

How is it a congressional bill if he just make an EO? It isn't one. Can't be.

madfranks
28th January 2014, 09:16 AM
And since they can twist the numbers to make unemployment look like whatever they want it to look like, I'm waiting with baited breath to see the reports that unemployment went down after the minimum wage went up. All the while young folks and low-skilled workers can't find a job.

Cebu_4_2
28th January 2014, 09:50 AM
All the while young folks and low-skilled workers can't find a job.

Higher skilled workers can't find jobs either.

Sparky
28th January 2014, 11:37 AM
How is it a congressional bill if he just make an EO? It isn't one. Can't be.

He's saying that he'll be pushing for a congressional bill that reaches far beyond his EO for federal workers.

madfranks
28th January 2014, 11:43 AM
Higher skilled workers can't find jobs either.

Yes, but even more so the young and low-skilled. Youth unemployment is (officially) 16.1 percent. That's more than double the standard unemployment rate. Why? Because a 16 year old looking for part time work will not be hired by anyone to do basic upkeep for $10 per hour. Even if a kid living in the slums would be enthusiastic about making $3/hr for some extra pocket money by doing dishes a few nights a week, this is against the law. The minimum wage is the biggest reason we have troves of teenagers with nothing to do getting into trouble and up to no good. Let them work for whatever they agree to, it's better than summers of unemployment and idle hands.

7th trump
28th January 2014, 11:56 AM
Yes, but even more so the young and low-skilled. Youth unemployment is (officially) 16.1 percent. That's more than double the standard unemployment rate. Why? Because a 16 year old looking for part time work will not be hired by anyone to do basic upkeep for $10 per hour. Even if a kid living in the slums would be enthusiastic about making $3/hr for some extra pocket money by doing dishes a few nights a week, this is against the law. The minimum wage is the biggest reason we have troves of teenagers with nothing to do getting into trouble and up to no good. Let them work for whatever they agree to, it's better than summers of unemployment and idle hands.

Minimum wage goes into effect when you hire someone under Social Security (42usc 410"employment", or 26usc 3121(b) "employment" for tax purposes).
When you hire someone who does not wish to participate in Social Security (not earning 3121(a) "wages") none of the government rules and regulations relating to "employment" applies.
Some here will disagree with me, but Social Security is the governments means of getting into each and everyones personal and private life and dictating what they can and cannot do and how little you must be paid (minimum "wage").

mick silver
28th January 2014, 11:57 AM
didnt they try this in the Great Depression...
companys are already not hiring so do you think this will help

Sparky
28th January 2014, 11:58 AM
Why $10.10?

My guess is this doesn't impact many workers.

madfranks
28th January 2014, 01:51 PM
Why $10.10?

My guess is this doesn't impact many workers.

It will impact every worker who's marginal productive utility is less than $10.10/hr. Again, for the teenager looking for summer work, who has no skills and no job experience, they are not worth $10.10/hr, and thus will not be employed.

mick silver
28th January 2014, 01:55 PM
lets say if i made 15 and hr and i am skilled at what i do then they hire a guy who is not and they pay him 10.10 and hr would i not also get more and hr ?

EE_
28th January 2014, 02:13 PM
To heck with the youth I say! They can stay home playing with their Xbox, iPhones and bitcoins until they're 27.
We need to raise minimum wage for senior citizens who need to go back to work doing menial jobs, because they can no longer afford to live on what they have anymore.
Wouldn't you want your grandpa and grandma to get a decent wage in their 70's and 80's?

I wonder what the stats are of unemployed youth according to ethnic group, blacks/whites?

EE_
28th January 2014, 02:16 PM
lets say if i made 15 and hr and i am skilled at what i do then they hire a guy who is not and they pay him 10.10 and hr would i not also get more and hr ?

The $15 an hour guys need to go on government disability insurance like the other $15 an hour workers are doing.

mick silver
28th January 2014, 02:19 PM
would this not make everything go up , plus more jobs gone

EE_
28th January 2014, 02:27 PM
would this not make everything go up , plus more jobs gone

Everything is going up regardless. 2014 is seeing rising prices everywhere. Home prices, rent, postal service, shipping, medical, food, transportation, taxes...just to name a few.

Sparky
28th January 2014, 05:54 PM
It will impact every worker who's marginal productive utility is less than $10.10/hr. Again, for the teenager looking for summer work, who has no skills and no job experience, they are not worth $10.10/hr, and thus will not be employed.

But this only for federal workers. How many federal workers make less than $10/hour?

Sparky
28th January 2014, 05:57 PM
lets say if i made 15 and hr and i am skilled at what i do then they hire a guy who is not and they pay him 10.10 and hr would i not also get more and hr ?

This is exactly the problem, mick. So if they give you $18, then what about the guy that was already making $18 because he is more skilled than you? It's a vicious cycle.

I guess this is how they plan to kickstart the wage inflation that they've been looking for. Time to look for some type of hard asset that maintains its purchasing power...

madfranks
28th January 2014, 07:19 PM
But this only for federal workers. How many federal workers make less than $10/hour?

Point taken, but Zero's goal is to make it mandatory federal minimum wage across the country.