Senate Democrats reject ‘Plan B’ on raising the minimum wage

Top Senate Democrats are implementing a plan to penalize large corporations that do not have a minimum wage of $ 15 per hour, two sources confirmed to The Hill.

Chairman of the Senate Finance Committee Ron WydenRonald (Ron) Lee WydenHouse Democrats pass broad .9T COVID-19 relief bill with minimum wage increase. Personal income rises, inflation remains low after stimulus burst MORE (D-Ore.) And budget president Bernie sandersBernie SandersHouse Democrats pass a comprehensive .9T COVID-19 relief bill with increased minimum wage. The House is poised for a tight vote on the COVID-19 relief package. Personal income rises, inflation remains low after stimulus burst MORE (I-Vt.) He filed his “Plan B” after the MP ruled that a direct increase in the minimum wage to $ 15 per hour did not meet the arcane budget rules governing what can be included in the draft bill. coronavirus relief.

Under the backup plan, outlined Friday by Wyden, large corporations would receive a 5 percent tax penalty if they paid workers less than a certain amount, and the amount of the penalty would increase over time. Democrats were also looking to give small businesses tax breaks to raise their wages.

But Democrats have abandoned the effort, and a familiar source told The Hill there were concerns that working out the details could slow down the blanket coronavirus bill. Democrats want the bill President BidenJoe BidenNoem Touts South Dakota’s Coronavirus Response, Knocks Down Locks in CPAC Speech On The Trail: Cuomo and Newsom: A Story of Two Conflicting Governors Biden Celebrates Vaccine Approval But Warns Current Improvement Could Be Reversed MOREdesk before unemployment benefits expire in a matter of weeks.

“We worked through the weekend and it was clear that finalizing ‘plan B’ with the caucus would delay approval and risk falling over the precipice of unemployment benefits on March 14,” the source said.

A source close to Sanders confirmed that he was also not moving forward by offering the idea as an amendment to the coronavirus bill, which he initially pledged to do Thursday night.

“He is dedicated to raising the minimum age to $ 15 an hour and is working on strategies to do so,” the source added.

The decision, which was first reported by The Washington Post, is the latest setback for progressives, who were hoping to use the coronavirus aid bill to raise the minimum wage to $ 15 an hour.

The House passed the sweeping $ 1.9 trillion legislation over the weekend with the minimum wage increase included. But because of the MP’s decision, and neither the White House nor key Democrats willing to ignore that advice, the language is expected to be removed this week when the Senate takes the COVID-19 bill.

Even if the MP had ruled the minimum wage of $ 15 per hour, he probably would have faced changes in the Senate because the proposal does not have the support of 50 Democratic senators. Senator Joe manchinJoseph (Joe) Manchin Progressives are furious at Senate setbacks Politics, not racism or sexism, explains opposition to Biden’s cabinet nominees House Democrats pass a .9T COVID-relief bill 19 with increased minimum wage PLUS (DW.Va.) and Kyrsten Sinema (D-Ariz.) Have voiced their opposition and there were ongoing conversations among a broader group about things like tipped workers and how to structure the raise.

Neither Manchin nor Sinema had publicly weighed in on the backup plan, but the White House gave “Plan B” a publicly cold reception.

“Our focus will be on the urgent priority of passing this package and providing desperately needed relief: $ 1,400 ransom checks for most Americans, funds to control this virus, help to reopen our schools, and help that is needed. desperately for the people who have been hardest hit by this crisis, “a spokesman said Friday.


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