Supporting the Raising Fair Minimum Wages at the Federal, State and Local Levels

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RESOLUTION NO. q 3 L`(,( A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND SUPPORTING THE RAISING FAIR MINIMUM WAGES AT THE FEDERAL, STATE AND LOCAL LEVELS Zfew", the South Bend Common Council notes that on February 12, 2014, President Barack Obama issued a 3 -page Executive Order establishing minimum wages for contractors and subcontractors, with it being issued in the interest of promoting "economy and efficiency "' and ?Gfauts, that Executive Order addresses contactors and subcontractors who do business with the federal government, and increased the hourly minimum wage to $10.10 effective January 1, 2015; and beginning on January 1, 2016, the Secretary of Labor is required to publish a new minimum wage based on the Consumer Price Index for Urban Wage Earners and Clerical Workers as determined by the Bureau of Labor Statistics; and ?f kuw, the current minimum wage under the federal Fair Labor Standards Act is $7.25 per hour, which results in a full -time employee earing $15,000 per year; which is below the federal poverty line; and Vfow", currently there are twenty -one (21) states who have their individual state's minimum wages above the federal rate; and it is reported that 76 % of workers earning at or near the federal minimum wage are adults who are disproportionately women and people of color; and X61 wd, Senate Bill No. 460 entitled the "Fair Minimum Wage Act of 2013" was introduced on March 5, 2013, and is currently pending in the U.S. Senate's Committee on Health, Education, Labor and Pensions. It calls for the minimum wage to be raised from $7.25 to $8.20 beginning the first day after the 3rd month after the Bill becomes law: and one (1) year thereafter being raised to $9.15 and then raised to $10.10 an hour two (2) years thereafter, with subsequent raises thereafter being based on the Consumer Price Index by the Secretary of Labor. The Bill proposes to raise the minimum wage for tipped employees from $2.13 to $3.00 the 3rd month after the Bill becomes law: with a formula being used for increase at the one (1) year; two (2) years and subsequent increase thereafter; and 4d4m", it has been reported that if Senate Bill No. 460 is passed by Congress that more than 27 million Americans would benefit; that more than $22 billion in GDP would be generated, increasing consumer spending and boosting the demand for goods and services in our local economies.