Obama to speak on minimum wage
Published 12:34 pm Tuesday, January 28, 2014
WASHINGTON — Challenging lawmakers to help him create greater economic opportunity, President Barack Obama will use his State of the Union address tonight to announce he’s raising the minimum wage for new federal contract workers to $10.10 an hour, underscoring a go-it-alone strategy in an election year critical to Democrats’ hopes for gains in Congress.
Obama’s speech to a joint session of Congress is at 8 p.m. Central time and will be aired on broadcast TV networks. It will be wrapped in a unifying theme: The federal government can play a key role in increasing opportunities for Americans who have been left behind, unable to benefit from a recovering economy.
Yet the president will deliver a split message, pressing issues that will distinguish him and Democrats from Republicans, critical in a year of midterm elections.
Illustrating his willingness to act on his own, the White House says Obama will announce that he will sign an executive order increasing the minimum wage from $7.25 to $10.10 for new federal contracts. The measure affects only future contracts, not existing ones, and would only apply to contract renewals if other terms of the agreement changed. As a result, the order would benefit far fewer workers than the number foreseen by advocates of federal contract employees.
Still, the issue dovetails with what will be Obama’s broader call for an increase in the national minimum wage to $10.10 and for future increases to be tied to inflation. Obama last year had called for an increase in the minimum wage to $9.
Even as he argues that low income Americans and many in the middle class lack the means to achieve upward mobility, Obama will also feel compelled to take credit for an economy that by many indicators is gaining strength under his watch. As a result, he will talk positively about a recovery that remains elusive to many Americans.