Republican senator proposes requiring $15 minimum wage for billion-dollar companies

·Chief Political Correspondent

February 26, 2021 at 8:55 AM·3 min read

After the Senate parliamentarian ruled a minimum wage hike is not allowed in the COVID relief bill, Sen. Josh Hawley (R., Mo.) proposed a bill to require billion-dollar companies pay workers $15 an hour.

The requirement would apply to companies with revenues of $1 billion or more.

"For decades, the wages of everyday, working Americans have remained stagnant while monopoly corporations have consolidated industry after industry, securing record profits for CEOs and investment bankers," said Hawley in a statement. "Mega-corporations can afford to pay their workers $15 an hour, and it’s long past time they do so, but this should not come at the expense of small businesses already struggling to make it."

After 2025, the bill would require the minimum wage for the large companies to be indexed to the federal median wage.

The ruling that the minimum wage hike could not be passed through the reconciliation process — which Democrats are using to pass the relief bill without Republican support— was a setback for Democrats. Sen. Bernie Sanders (I., Vt.) said he strongly disagreed with the decision, but is working on a backup plan.

Sanders said he is working on an amendment to end tax deductions for large corporations that pay workers less than $15 an hour. It will also give incentives to small businesses to encourage them to raise wages. Sanders said he will push to include the measure in the relief bill.

Activists appeal for a $15 minimum wage near the Capitol in Washington, Thursday, Feb. 25, 2021. The $1.9 trillion COVID-19 relief bill being prepped in Congress includes a provision that over five years would hike the federal minimum wage to $15 an hour. (AP Photo/J. Scott Applewhite) (ASSOCIATED PRESS)

Senate Finance Committee Chairman Ron Wyden (D., Oreg.) announced he's exploring a tax penalty for "mega-corporations" that don't pay their workers enough. Wyden said he'll propose a 5% tax penalty on a big corporation's total payroll if any workers make less than a certain amount. The penalty would increase over time. He's also proposing a tax credit for small businesses that pay higher wages.

"While conversations are continuing, I believe this 'plan B' provides us a path to move forward and get this done through the reconciliation process," said Wyden.

Two Democratic Senators have said they oppose putting the $15 an hour minimum wage in the relief bill. It's not clear if the needed 50 senators would vote for the Hawley, Wyden or Sanders proposals. The House is expected to vote on the relief bill as soon as Feb. 26. Despite the parliamentarian's ruling, it will include the minimum wage hike. This leaves it up to the Senate to remove the provision. The House will have to take up the bill again, with any changes the Senate makes.

Despite slow movement on a minimum wage increase on the federal level, individual companies have been taking action on their own. This week Costco (COST) said it will boost its minimum wage by $1 to $16 starting next week. Also this week Signet Jewelers (SIG), the world’s largest retailer of diamond jewelry, announced it's raising its minimum wage for all U.S. employees to $15 per hour, to take effect by the spring of 2022.

Yahoo Finance and the Harris Poll recently found Americans overwhelmingly support raising the minimum wage.

Jessica Smith is chief political correspondent for Yahoo Finance, based in Washington, D.C. Follow her on Twitter at @JessicaASmith8.

Associated Press
Malaria is still killing people in Kenya, but a vaccine and local drug production may help
As the coffin bearing the body of Rosebella Awuor was lowered into the grave, heart-wrenching sobs from mourners filled the air. It was the latest of five deaths in this family attributed to malaria. The disease is common in Kenya, and it is preventable and curable, but poverty makes it deadly for those who can't afford treatment.
7m ago
USA TODAY
'Outrageously escalatory' behavior of cops left Chicago motorist dead, family says in lawsuit
"Officers who initially approached Dexter’s vehicle were outrageously escalatory," the lawsuit says,
26m ago
Associated Press
Columbia's president, no stranger to complex challenges, walks tightrope on student protests
Columbia University president Minouche Shafik is no stranger to navigating complex international issues, having worked at some of the world’s most prominent global financial institutions. At the World Bank and the International Monetary Fund, for example, she tackled both the European debt crisis and the Arab Spring. It remains to be seen, however, if her experience with world conflicts has sufficiently equipped her to navigate the thorny challenges she faces amid ongoing student protests over the Israel-Hamas war.
40m ago
Associated Press
More than just a bowl of noodles, ramen in Japan is an experience and a tourist attraction
Spicy, steaming, slurpy ramen might be everyone’s favorite Japanese food. In Tokyo, long lines circle around blocks, and waiting an hour for your ramen is normal. Often cooked right before your eyes behind dingy counters, the noodle dish starts here at around 1,000 yen ($6.50), and comes in various flavors and local versions.
45m ago
Associated Press
Hamas official says group would lay down its weapons if a two-state solution is implemented
A top Hamas political official told The Associated Press the Islamic militant group is willing to agree to a truce of five years or more with Israel and that it would lay down its weapons and convert into a political party if an independent Palestinian state is established along pre-1967 borders. The suggestion that Hamas would disarm appeared to be a significant concession by the militant group officially committed to Israel’s destruction. It has vowed to crush Hamas following the deadly Oct. 7 attacks that triggered the war, and its current leadership is adamantly opposed to the creation of a Palestinian state on lands Israel captured in the 1967 Mideast war.
47m ago
Time
Robert Bullard on the Work Behind a Movement
‘Father of Environmental Justice’ and TIME Earth Award honoree Robert Bullard discussed the importance of marrying information with action.
49m ago
Reuters
China stands by economic data, says defence spending 'transparent'
China defended the veracity of its economic numbers and asserted its military spending was "transparent and reasonable", while dismissing as "typical double standards" comments made this week by the head of the U.S. Indo-Pacific Command. In March, China said it would boost defence spending by 7.2% this year, with an allocation of 1.55 trillion yuan ($214 billion), slightly outpacing last year's increase and swifter than the government's modest economic growth forecast. In his remarks on Tuesday, U.S. Admiral John Aquilino said China's economy had been battered by turmoil in the real estate sector and its official growth rates were "not real".
51m ago
NBC News
Trump is among 'unindicted co-conspirators' in effort to overturn 2020 election in Michigan, investigator says
Former President Donald Trump, his former chief of staff Mark Meadows and his former attorney Rudy Giuliani are uncharged co-conspirators in a Michigan "false electors" scheme tied to efforts to overturn the 2020 election, a state investigator testified Wednesday.
55m ago
Time
Nemonte Nenquimo Says We Need to Listen to Mother Earth
Ecuadorian Indigenous environmental activist and TIME Earth Award honoree Nemonte Nenquimo spoke about collective responsibility toward the climate crisis.
58m ago
Associated Press
World Central Kitchen workers killed by Israeli strikes in Gaza will be honored at memorial
A memorial at the National Cathedral in Washington on Thursday will honor the seven World Central Kitchen aid workers killed by Israeli airstrikes in Gaza earlier this month. José Andrés, the celebrity chef and philanthropist behind the Washington-based World Central Kitchen disaster relief group, is expected to speak at the celebration of life service, and famed cellist Yo-Yo Ma will perform, organizers said. The Biden administration said Thursday that Douglas Emhoff, husband of Vice President Kamala Harris, and U.S. Assistant Deputy Secretary of State Kurt Campbell would be among senior administration figures attending.
58m ago
Reuters
Apple loses top spot in China market with shipments down 6.6% in Q1, data shows
Honor and Huawei were tied for the top spot, with Honor's market share rising to 17.1% and Huawei's share climbing to 17%, IDC said, while the iPhone maker's market share fell to 15.6%. The IDC declares a statistical tie when the difference between the share of revenue or shipments between two or more vendors is 0.1% or less. "Apple's price promotions in the quarter were unable to mitigate the impact of the intense competition from Android players," Arthur Guo, senior research analyst at IDC China said in the report.
1h ago
Associated Press
US abortion battle rages on with moves to repeal Arizona ban and a Supreme Court case
Action in courts and state capitals around the U.S. this week have made it clear again: The overturning of Roe v. Wade and the nationwide right to abortion did not settle the issue. One iteration of the issue was back before the U.S. Supreme Court on Wednesday for the second time in a month. Meanwhile, Arizona lawmakers took a step toward repealing a near-total ban before enforcement can begin; California's governor pitched providing an outlet to abortion providers and patients from neighboring Arizona if that ban takes take effect; and Tennessee moved closer to criminalizing helping a minor go out of state for an abortion without parental consent.
1h ago
AFP
Blinken calls for US, China to manage differences
US Secretary of State Antony Blinken called Thursday on the United States and China to manage their differences "responsibly" as he went on a charm offensive ahead of expected tough talks.China has accused the United States of unfair economic coercion.
1h ago
Associated Press
Trump will be in NY for the hush money trial while the Supreme Court hears his immunity case in DC
A reluctant Donald Trump will be back in a New York City courtroom Thursday as his hush money trial resumes at the same time that the U.S. Supreme Court hears arguments in Washington over whether he should be immune from prosecution for actions he took during his time as president. Jurors will hear more witness testimony from a veteran tabloid publisher, and Trump faces a looming decision over whether he violated a gag order imposed by the judge.
1h ago
Associated Press
Venice launches experiment to charge day-trippers an access fee in bid to combat over-tourism
Under the gaze of the world’s media, the fragile lagoon city of Venice launches a pilot program Thursday to charge day-trippers a 5-euro (around $5.35) entry fee that authorities hope will discourage visitors from arriving on peak days and make the city more livable for its dwindling residents. Signs advising arriving visitors of the new requirement for a test phase of 29 days through July have been erected outside the main train station and other points of arrival. Once past designated entry ports, officials will carry out random checks for QR codes that show the day-tripper tax has been paid or that the bearer is exempt.
1h ago
Associated Press
US births fell last year, marking an end to the late pandemic rebound, experts say
U.S. births fell last year, resuming a long national slide. A little under 3.6 million babies were born in 2023, according to provisional statistics released Thursday by the Centers for Disease Control and Prevention. U.S. births were slipping for more than a decade before COVID-19 hit, then dropped 4% from 2019 to 2020.
1h ago
Associated Press
No one is above the law. Supreme Court will decide if that includes Trump while he was president
On the left and right, Supreme Court justices seem to agree on a basic truth about the American system of government: No one is above the law, not even the president. “The law applies equally to all persons, including a person who happens for a period of time to occupy the Presidency,” Justice Samuel Alito wrote in 2020. Less than a year earlier, Justice Ketanji Brown Jackson, then a federal trial judge, wrote, “Stated simply, the primary takeaway from the past 250 years of recorded American history is that Presidents are not kings.”
1h ago
Reuters
US births retreat after pandemic-era growth
The number of births in the United States fell by 2% in 2023 from the previous year, driven in part by a marked birth rate decline among older teenagers and women aged 20-24, according to a report from the CDC released on Thursday. The number of births in the U.S. fell to 3,591,328 in 2023 from 3,667,758 the year prior, according to provisional National Centers for Health Statistics (NCHS) data from the U.S. Centers for Disease Control and Prevention. The birth rate in 2022 was flat with the prior year.
1h ago
Associated Press
Portugal marks the 50th anniversary of the Carnation Revolution army coup that brought democracy
Military vehicles and red carnations return to the streets and squares of downtown Lisbon on Thursday as Portugal reenacts dramatic moments from the army coup that brought democracy 50 years ago. Thousands of people are expected to attend celebrations of the so-called Carnation Revolution, which ended a stifling four-decade dictatorship established by Antonio Salazar. It also paved the way for Portugal’s 1986 entry into the European Union, then called the European Economic Community.
1h ago
Associated Press
Burkina Faso's army massacred over 200 civilians in a village raid, Human Rights Watch says
Military forces in Burkina Faso killed 223 civilians, including babies and many children, in attacks on two villages accused of cooperating with militants, Human Rights Watch said in a report published Thursday. The mass killings took place on Feb. 25 in the country's northern villages of Nondin and Soro, and some 56 children were among the dead, according to the report. The human rights organization called on the United Nations and the African Union to provide investigators and to support local efforts to bring those responsible to justice.
1h ago

Latest Stories