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Capital Hill Watch Alert

Fair Minimum Wage Act of 2007 (H.R. 2)

The US House of Representatives is expected to vote on Wednesday, January 10,  2007, on the Fair Minimum Wage Act of 2007 (H.R. 2)   [To view the Full Text of the legislation visit: Full Text of Legislation  ]. 

The measure being considered in the House of Representatives would over a two-year period incrementally increase the federal minimum wage from $5.15 to $ 7.25.

Increasing the minimum wage cost jobs demonstrates two thirds of recent minimum wage studies, as well as eighteen of the nineteen most reliable of these studies — thus harming poor and disadvantaged workers.  

The minimum wage is not an effective anti-poverty tool since it is poorly targeted and affects not just the poor but employment of all minimum wage workers. Poor families do not make up most of minimum wage earners. Contrary to what proponents of increasing the minimum wage say, only two percent of American workers earn minimum wage, very few of these workers support a family, and less than a fifth live below the poverty line .  Furthermore, far more likely to be recipients of the minimum wage are suburban teenagers or college students between the ages of 16 and 25 than single parents working full time.  Also, another negative aspect of increasing the minimum wage is if teenagers believe they can make a living at a minimum wage job, they will drop out of school increasing competition for low-skilled jobs. 

The reason minimum wage earners usually earn low wages is they lack experience and skills. The poor, low-skilled workers that proponents of increasing the minimum wage say will be helped by such actions are actually hurt.   When businesses are forced to pay higher wages through a federally mandated increase in minimum wage, they will hire more highly-skilled and productive workers resulting in poor, low-skilled workers to lose opportunities for employment.  Businesses are discouraged to hire the workers who need entry-level employment the most and will hire more productive applicants. Also the opportunity to gain the skills that are required to earn more money will be deprived of many unskilled and inexperience workers by increasing the minimum wage. 

What Can You Do?  

Urge your representative to NOT SUPPORT the Fair Minimum Wage Act of 2007 (H.R. 2).

Contact Information:      

Capitol Hill Switchboard Numbers: 202-225-3121 or 202-224-3121 (Those numbers will direct you to the Capitol Hill operator. Ask for your representative's office.)  

To go to your representative's website, find his E-mail or to find out who your representatives are... http://www.house.gov/house/MemberWWW.html    

To electronically mail your U.S. House of Representative, go to http://www.house.gov/htbin/wrep_findrep.    

Addressing Correspondence:    

The Honorable (full name)
United States House of Representatives
Washington, DC 20515  

Dear Representative (last name):  

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