The federal minimum wage is $7.25 an hour and has been that way since 2009. Sen. Bernie Sanders (I-Vt.) describes this stagnant wage as “shameful” in today’s economy. Sanders, well-known for his longtime advocacy of raising the federal minimum wage, continues to push for change in the midst of a new administration, stating that millions of Americans are struggling to survive on "starvation wages."
In a recent Senate hearing, Sanders challenged President Donald Trump's nominee for Treasury Secretary, Scott Bessent, on his stance regarding the federal minimum wage. "Will you work with those of us who want to raise the federal minimum wage to a living wage to take millions of Americans out of poverty?" Sanders asked.
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Bessent responded that he believes the minimum wage is more of a statewide and regional issue and opposes a federal increase.
In a December 2024 interview on NBC's Meet the Press, Sanders expressed hope for bipartisan cooperation on raising the minimum wage under the new Trump administration. He recalled two years ago when he tried to get the minimum wage up to $15 an hour. "Not one Republican supported it," he said.
Sanders continued by saying the current federal minimum wage is a "disgrace" and firmly believes it should be closer to $17 an hour now.
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Advocates for raising the minimum wage argue that the current rate falls short of covering basic living expenses for most Americans. According to the Massachusetts Institute of Technology's living wage calculator, a single worker with no children in North Carolina needs $21.56 an hour to make a living wage that covers food, medical, housing, transportation, taxes and other basic expenses. However, the state's minimum wage is tied to the federal standard of $7.25 an hour.
Sanders and other proponents argue that increasing minimum wages would reduce poverty and stimulate economic growth by boosting consumer spending. Heidi Shierholz, president of the Economic Policy Institute, said, "Having a weak minimum wage is bad for the overall economy." She added that raising the minimum wage also narrows racial and gender wage gaps.
In recent years, Congress has repeatedly blocked efforts to raise the federal minimum wage. In 2019, the House passed a bill raising the minimum wage to $15 an hour. In 2021, this same wage was proposed as part of a COVID-19 relief package and similar initiatives have struggled to gain bipartisan support.
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Critics argue that a higher minimum wage may lead to job losses and higher costs for small businesses and have minimal impacts on poverty levels. Research from the National Bureau of Economic Research found that under a $15 minimum wage, fewer than 10% of affected workers would belong to families classified as poor.
Sanders continues to press the issue, stating that this is a necessary step in today's economy. Many states have already taken action to raise their minimum wages, but many, like North Carolina, still lag behind as they follow the federal standard. Sanders and other advocates argue that a federal mandate is essential to ensure fair wages for all workers nationwide.
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