Huffpost Politics

CBO Report On Minimum Wage Hike Says It Would Raise Earnings For 16.5 Million, Reduce 500,000 Jobs

Posted: Updated:
Print

WASHINGTON (AP) — Congress' nonpartisan budget analyst says raising the federal minimum wage as President Barack Obama and Democrats want would raise earnings for more than 16.5 million people by 2016. But it would also reduce employment by roughly 500,000 workers.

The Congressional Budget Office analysis comes as the Senate prepares to debate a Democratic plan to gradually increase the current $7.25 minimum wage to $10.10 an hour in 2016.

The budget office analysis examined the impact such a plan would have by 2016, when the increase would take full effect.

The analysts said their estimate of employment losses was approximate. They said the actual impact could range from a very slight employment reduction to a loss of 1 million workers.

Democrats say the wage boost would help workers. Republicans have warned it would cost jobs.

Also on HuffPost:

Close
U.S. Capitol Photos
of
Share
Tweet
Advertisement
Share this
close
Current Slide

Suggest a correction

Around the Web

Four things to know about Obama's minimum wage increase

CBO | The Minimum Wage: Its Relationship to Incomes and Poverty

How Would a Minimum-Wage Increase Affect the Economy?

Holtz-Eakin: Lifting Minimum Wage Won't Eliminate Poverty

Bernie Sanders Takes Apart Douglas Holtz-Eakin in Debate Over ...

The Minimum Wage Is Too Damn Low - Center for Economic and ...

Minimum WagePart 5: New CBO report is unhelpful and misleading ...

CBO Confirms Heritage Warnings on Obamacare and the Minimum ...

CBO: Minimum Wage Hike Could Leave 1 Million Unemployed

US CBO projects job losses with minimum wage increase

Congressional budget office: Minimum wage hike raises income for over 16.5M ...

US Sen McConnell Signals GOP Fight Against Min Wage Hike Bill

CBO Obamacare job loss worse than reported

Obama's Minimum Wage and EITC Proposals - What Taxpayers Should Know