Kay Hagan on Jobs Democratic Jr Senator; previously member of State Senate

Fight for increases in the minimum wage

Raise the minimum wage to $10.10 per hour by 2016.

Congressional summary: Increases the federal minimum wage for employees to:

1. $8.20 an hour beginning 6 months after enactment
2. $9.15 an hour beginning 1 year later,
3. $10.10 an hour beginning 2 years later, and
4. an amount determined by increases in the Consumer Price Index, beginning annually after 3 years.

• Increases the federal minimum wage for tipped employees to $3.00 an hour beginning 6 months after enactment, with annual CPI adjustments.

Proponent's argument in favor (RaiseTheMinimumWage.com): The federal minimum wage of $7.25 per hour remains decades out of date, and the federal minimum wage for tipped workers--$2.13 per hour--has not increased in over 20 years. The minimum wage of the past provided significantly more buying power than it does today. The minimum wage of $1.60 an hour in 1968 would be $10.56 today when adjusted for inflation.

Opponent's argument against: (Neil King in Wall Street Journal, Feb. 24, 2014): The CBO concluded that a jump in the minimum wage to $10.10 an hour could eliminate 500,000 jobs. For Republicans, the report provided ammunition that a higher minimum wage would kill jobs. Democrats pointed to the CBO's findings that the higher wage would lift 900,000 people out of poverty. But both sides missed a key finding: That a smaller hike from the current $7.25 to $9.00 an hour would cause almost no pain, and still lift 300,000 people out of poverty while raising the incomes of 7.6 million people.Congressional Budget Office report:: Once fully implemented, the $10.10 option would reduce total employment by about 500,000 workers, or 0.3%. Some people earning slightly more than $10.10 would also have higher earnings, due to the heightened demand for goods and services. The increased earnings for low-wage workers would total $31 billion. Accounting for all increases and decreases, overall real income would rise by $2 billion.

Ban discriminatory compensation; allow 2 years to sue.

Amends the Civil Rights Act of 1964 to declare that an unlawful employment practice occurs when:
1. a discriminatory compensation decision or other practice is adopted;
2. an individual becomes subject to the decision or practice; or
3. an individual is affected by application of the decision or practice, including each time wages, benefits, or other compensation is paid.

[Note: A woman named Lilly Ledbetter filed a lawsuit for gender-based discriminatory compensation. The Supreme Court ruled that Ms. Ledbetter could only sue for damages going back 180 days, and the 180 days was calculated from the time her employment contract was initiated, i.e., her hire date. This new law changes the 180-day period to two years, and also calculates the date from the time of each paycheck, rather than the hire date. -- Ed.]