In what may be a piece of good news for the roughly 3 million people that currently earn the bare minimum wage of $7.25 per hour, the Democratic Party will be endorsing a $15 an-hour wage at their July 2016 convention. This means that their “platform” will be setting that level as a goal for their party. If this increase ever does go into effect than anywhere from 3 to 15 million low income households will be earning more money at their jobs each week.
While there may be some select cities and states that already have a minimum wage greater than the $7.25 per hour, an increase to $15 may benefit as many as 3 million workers who are at the seven dollar range according to the most recent Bureau of Labor Statistics data. When factoring people that earn less than the proposed increase to $15, then the number of employees that may benefit can be as high as 16 million according to the BLS.
This is a big jump, and the extra income will no doubt make it just a little easier for those families to keep up with their bills. The increase may even lift some households out of poverty if for example they have additional income coming in the door from say another wage earner.
Hillary Clinton, the likely Democratic Party nominee, will be advocating for this increase if she were to be elected in the upcoming November 2016 presidential elections. She also has the strong support of Bernie Sanders, and in fact he may be a key reason as to why this increase in the minimum wage may be pushed at the convention. It is thought by many experts that the $15 wage was one of the key concessions needed by Clinton in order to get an endorsement from Sanders.
The current minimum wage is only $7.25 per hour. However many cities (and even entire states) have set higher ranges already. So the impact may not be felt in those parts of the country or maybe it will put additional pressure on those states to raise their already higher wages even more. Since some parts of the country already use different thresholds, the exact number of employees that may benefit is hard to determine. But it is estimated that between 15 to 16 million American families will earn more money from the proposed $15 per hour level.
Sadly even a $15 per hour minimum wage will not allow anyone to live a “care free lifestyle”. That extra money will instead just allow some of these low income households to have a little extra money in their paycheck each week. People will still need to live very frugally and watch every penny.
With a higher minimum, maybe they can buy a little extra food for their family each month or not be living on the edge when it comes to paying their rent or utilities. Or if they ever need an unexpected medication or car repair, maybe that expense will not cause such as hardship on their budget. To be even more optimistic, maybe it will allow some of these families to start to save some money for an emergency fund.
This increase will be on the Democratic Platform, which will be rolled out during the convention which starts July 25, 2016. There are no guarantees this increase will ever go into effect, even if Clinton were to win the upcoming election. She would still need to get legislation passed by Congress in order to make it effective. This could be very challenging to say the least if both the House and Senate are controlled by Republicans. However there is always a chance the stars may align and the increase goes through.