WASHINGTON: President Barack Obama wants an increase in the minimum hourly wage from the current $7.25 to $9 by the end of 2015. Obama also proposes the minimum wage be required to keep pace with inflation.
The current rate took effect in 2009. Nineteen states and the District of Columbia have higher minimum wage rates than the federal requirement. Washington state’s is highest at $9.19.
The proposal, which Obama made during his State of the Union address Tuesday, is sure to draw opposition from business groups and congressional Republicans who say higher rates increase costs and reduce employment. The White House says the new wage would raise pay for more than 15 million workers and indirectly help millions more.
Obama wants the rate to increase in stages over three years.
