The Senate lawmaker ruled Thursday that Democrats cannot include raising the $ 15-per-hour minimum wage in the COVID-19 financial aid package. It’s a major setback for Democrats like Sen. Bernie Sanders, who had argued it could be included even in the budget reconciliation process.
But President Biden said Norah O’Donnell, a CBS Evening News anchor earlier this month, he did not believe that the rise in the minimum wage would finally be included.
The walk “will not occur because of U.S. Senate rules,” Biden said.
“I put it on, but I don’t think it survives,” he added.
Instead, the president said he was prepared to work on an independent $ 15 minimum wage proposal.
Congress Democrats chose to use the procedural maneuver known as budget reconciliation to pass the bill, allowing it to be passed only by a simple majority in the Senate. Most legislation requires 60 votes in the Senate to move forward, so the budget conciliation process allows Democrats – who have a 50-seat majority – to pass the bill without Republican votes.
There are strict rules for using the budget reconciliation process, such as the “Byrd rule,” which requires that all provisions of the bill be related to the budget and not have to increase the federal deficit after a budget period of ten years. MP Elizabeth MacDonough ruled that the rise in the minimum wage did not fit the parameters of budget reconciliation.
Some Democrats had already expressed opposition to including a $ 15 minimum wage provision in the relief law. Senator Joe Manchin told reporters this week that he believed the minimum wage of $ 15 in 2025 was too high and would be detrimental to more rural states like his own West Virginia.
“The $ 11 is the right place to be,” Manchin told reporters Monday. “Throwing $ 15 right now makes it very difficult in rural America.”
If the MP allowed the minimum wage to be included, it is not clear that Democrats could have gathered the votes to approve it as is. The Senate can waive the parliamentarian’s ruling, which requires a simple majority.
In a statement, Sanders said he “totally disagrees with tonight’s decision by the Senate MP.” However, he said he would push forward with an amendment that would punish companies that do not provide a minimum wage of $ 15 and provide incentives for small businesses to increase their wages.
“In the next few days I will be working with my Senate colleagues to move forward with an amendment to remove tax deductions from profitable big companies that don’t pay workers at least $ 15 an hour and to provide small businesses with incentives they need to raise wages.This amendment should be included in this conciliation bill, “he said.
Senate Majority Leader Chuck Schumer also said he is “deeply disappointed” by the decision.
“We will not give up the fight to raise the minimum wage to $ 15 to help millions of troubled American workers and their families,” he said, without providing details. “The American people deserve it, and we are committed to making it a reality.”
Republican Sen. Lindsey Graham, meanwhile, applauded the ruling and tweeted about her opinion: “Very pleased, the Senate MP has ruled that raising the minimum wage is an inappropriate policy change in reconciliation.
“This decision reinforces the reconciliation that cannot be used as a vehicle to pass major legislative changes, by either party, with a simple majority of votes,” Graham added. “This decision will reinforce, over time, the traditions of the Senate.”
The House is expected to vote on Mr Biden’s original proposal on Friday. President Nancy Pelosi said in a statement Thursday evening that the House would vote on the version of the bill, including raising the minimum wage.
“House Democrats believe the raising of the minimum wage is necessary. Therefore, this provision will be maintained tomorrow in the US bailout plan. House Democrats are determined to follow all possible paths in the fight for the 15,” he said. said Pelosi.
The bill is expected to pass in the House without Republican votes. Progressive Democrats in the House may choose to take a hard line on raising the minimum wage and refuse to support any version of the bill that does not include a $ 15 minimum wage, creating a confrontation with members most moderate party in the Senate.
The minimum wage increase is very popular, with a 2019 survey by the Pew Research Center showing that 67% of Americans support raising the minimum wage to $ 15. It even has support in some red states, as evidenced by a voting initiative in Florida to increase the minimum wage increase to $ 15 in 2026 that happened with the support of more than 60% of voters in the last election.