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Lawmaker eyes yearly minimum wage hike

Among the bills that could receive consideration in the state Legislature next year is a bill to increase the state’s minimum wage each year according to the rate of inflation.

State Sen. Jessica Ramos, D-East Elmhurst, recently introduced S.9085 in the state Senate to amend the state Labor Law to require the state Labor Commissioner to publish an increase in the minimum wage each October according to increases in inflation up to 3.5%. When inflation is positive, the new minimum wage would take effect each Dec. 31. Unlike the state’s current minimum wage, which is different depending on the region of the state, Ramos’ proposal would apply to all areas of the state.

“In New York state, roughly one million workers — 16.4% of New York state’s workforce — earn the minimum wage. Beginning in 2014, the nationwide Fight for Fifteen movement publicized the inadequacy of the minimum wage and in part led state lawmakers to gradually increase the minimum wage in New York. New York City reached a $15 minimum wage in 2019, and the rest of downstate is currently scheduled to attain a $15 minimum wage in 2021. The upstate minimum wage is scheduled to increase to $12.50 in 2020 and then increase each year according to inflation and other indicators as determined by the commissioner until it reaches $15,” Ramos wrote in her legislative justification for S.9085.

Sixteen states plus the District of Columbia have adopted laws to index their minimum wages to rise automatically with the cost of living. Ten states currently index minimum wage increases each year: Arizona, Colorado, Florida, Missouri, Montana, Nevada, New Jersey, Ohio, South Dakota, and Washington.

Tying the minimum wage to inflation means the state Legislature would have little say in the minimum wage. The state’s last phased-in minimum wage increases came as the byproduct of compromise between Democrats in the state Assembly who wanted a $15 minimum wage and Republicans in the state Senate concerned that a $15 an hour minimum wage would hurt businesses in rural areas where the cost of living is not as expensive as it is in New York City.

Historically, yearly gains in inflation have decreased the value of the minimum wage, chipping away at workers’ purchasing power and leading to hardship for many,” Ramos wrote. “Increases in minimum wage historically have not occurred each year in New York State. Each year that inflation increases and wages at the bottom do not, workers in the lowest-paying positions struggle to pay bills, feed their families, and access transportation.Across the state, minimum wage workers are disproportionately women and people of color, groups which also face significant barriers to advancement.”

Ramos recently won re-election to her Senate seat for another term.

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