Senate Minimum Wage Bill a Small Step Forward

The Minnesota Senate, today, passed legislation that would increase the state minimum wage to $7.75 per hour over three years. This is in contrast to the House bill that increases the rate to $9.50 per hour over three years and preserves its value by tying future increases to inflation. Minnesota AFL-CIO President Shar Knutson issued the following statement in response:

“While it’s encouraging to see the Senate moving on increasing the minimum wage, we prefer the House version, which would make a significant difference in low-wage workers’ lives.

The minimum wage has continued to lose value over the last 40 years. If the minimum wage had retained its 1968 value - its peak purchasing power - the minimum wage would be closer to $10.55 per hour. The House bill begins to restore the minimum wage’s value and ensures that the wage will keep its value through inflationary increases.

A significant increase in the minimum wage would mean a boost in consumer spending and including low-wage workers in Minnesota’s economic recovery. The Senate bill unfortunately falls short.

As lawmakers head into conference committee, they should listen to the broad coalition the faith, labor, non-profit groups, and small business owners calling for a minimum wage increase that will make hard work pay again.”