January 9, 2008

 

Indexing of the Minimum Wage Good for Wisconsin Families

Known Raise Also Provides Businesses Consistency

Madison – Pleased with committee action, Senator Jon Erpenbach states that increasing the minimum wage automatically with the consumer price index means quality of life improvements for low income families and a certainty for businesses.

“About a quarter of a million workers in Wisconsin are paid the minimum wage, many of them are the head of their household. The impact of an increase in the minimum wage on the lives of families and in Wisconsin is significant,” Erpenbach said. “Making the increases tied to the consumer price index guarantees the economic power of that increase and also gives businesses a chance to plan for the increases.”    

Ten other states already index the minimum wage. Currently Wisconsin operates in a cycle where the wage is stagnant and then receives a catch-up increase fought out in a political battle.

“Making the increasing of the minimum wage automatic and economically responsive is the logical thing to do and takes the political debate out of the process. Good for families and good for business planning purposes, this should be a simple vote in the Legislature,” Erpenbach said.

SB 130 having passed out of committee is on the tentative schedule for the Senate floor session on Tuesday, January 15th 2008.