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A Minimum Wage Bill Only Paris Hilton Could Love
Over the weekend, in a move that epitomizes the cynicism of the current Congressional leadership, the House of Representatives attached a $2.10 minimum wage hike to a controversial tax cut for the nation’s wealthiest 2%.
The bill, which is expected to come to a vote in the Senate this week, offers little in the way of meaningful relief for America’s lowest-paid workers. It raises the minimum wage $0.70 each year for the next three years, but fails to offer real wage security because it doesn’t index the wage to keep pace with inflation. Members of Congress and their staffs already receive an automatic pay increase each year to keep up with the rising costs of goods and services.
Instead, the real beneficiaries of this bill are the heirs to America’s massive fortunes. In the end, the proposed tax give-away will exempt estates of up to $5 million from paying any taxes at the time of inheritance. Estates between $5 and $25 million would be taxed at a reduced rate of 15%, and estates over $25 million would only be taxed at 30%.
This is only the latest effort in a campaign being waged by the ultra-rich, their well-paid lobbyists, and their allies in Congress to do away with the estate tax altogether. The cost of these tax cuts are expected to reach $310 billion over 10 years, a sum that easily exceeds our current $296 billion budget deficit. If the cuts are made permanent, it will likely be to the detriment of this country’s most popular social programs, such as Social Security, Medicare, and higher education funding.
Communities United is urging Pennsylvanians to contact our Senators today to let them know that we won’t accept this bait and switch. Call Arlen Specter and Rick Santorum, and tell them to keep the estate tax and to support an honest minimum wage that is indexed to keep up with inflation.
Arlen Specter: 202-224-4254
Rick Santorum: 202-224-6324


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