Minimum wage and living wage

Walmart and other large, low-wage employers will benefit financially from New York’s new Minimum Wage Reimbursement Credit.

April 5, 2013. Unless disclosure requirements are clarified, we’ll probably never know exactly how much Walmart and other large, low-wage employers receive in government subsidies under New York’s new Minimum Wage Reimbursement Credit (MWRC). But based on the best data available, we estimate that Walmart is likely to receive MWRC subsidies of between $53 million and $85 million over the next five years.

New York’s new MWRC will provide employers a tax credit for the hours worked by students between … (read more)

The Many Problems with New York’s Proposed Minimum Wage Reimbursement Credit

March 25, 2013. This was to have been the year New York caught up with the 19 other states and the District of Columbia with a minimum wage above the $7.25 an hour federal level. Minimum wage legislation that passed the Assembly also would have indexed the minimum wage in future years—as 10 other states do—so that inflation would not steadily erode its purchasing power. However, the agreement reached over the weekend in Albany falls far short. It increases the … (read more)

$9 with indexing adds hundreds of millions of dollars more in consumer spending and more jobs

March 13, 2013. A report by the National Employment Law Project and the Fiscal Policy Institute shows the dangers of watering down the $9.00 plus indexing minimum wage proposal, which has the backing of most New Yorkers and majorities in both the Senate and the Assembly.  The report details the greater benefits for workers and the state economy from an increase to $9.00 an hour with indexing compared to the proposal for an $8.75 an hour increase without indexing:

  • $9.00
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Raising New York’s Minimum Wage: The Economic Benefits and Demographic Impact of Increasing New York’s Minimum Wage to $8.75 per Hour

January 28, 2013. A minimum wage increase included in Governor Cuomo’s budget proposal, released last Tuesday, would raise the paychecks of over 1.5 million low-paid New Yorkers, according to a new report from the Fiscal Policy Institute and the National Employment Law Project. The Governor’s proposal would raise the state’s minimum wage from $7.25 to $8.75 per hour on July 1, 2013, and the increased wages would generate more than $1 billion in new consumer spending, supporting the creation of … (read more)

A federal minimum wage hike would help 1.5 million New York workers and our economy

August 14, 2012. One of the best ways to speed up economic growth is to give a lift to the wages of the lowest paid workers.

Legislation awaits action now in Washington, D.C., that would boost the federal minimum wage in three 85 cent steps from $7.25 to $9.80 an hour. According to new estimates released today by the Economic Policy Institute (EPI), this proposal would benefit 1.5 million New York workers, raising their pay by $2 billion over three … (read more)

Minimum wage in the news, April-May 2012

May 29, 2012. FPI’s analysis and commentary on the minimum wage issue has been highlighted in a number of recent news stories:

  • Report: 880,000 Workers In NY Would Benefit From Higher Minimum Wage – an article by Joseph Spector, Gannett News Service, May 24, 2012.
  • Wage Bill Would Benefit Bronx More than Other Counties, Report Says – an article by Patrick Wall, DNAinfo.com, May 24, 2012.
  • The minimum wage, tax cuts, and the New York legislature – an article by
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What is the county-by-county impact of raising New York’s minimum wage to $8.50 an hour?

May 24, 2012. This new brief shows that among several of the state’s larger upstate counties, the share of workers who would benefit directly is well above the statewide average – 10.1 percent of all resident workers. In Broome County 12.6 percent of workers would benefit, in Oneida 12.5 percent, Erie County 11.4 percent, Monroe 11.1 percent and Onondaga 10.9 percent. Downstate, 352,000 New York City workers would benefit directly, as would 126,500 Long Island workers and 72,500 workers in … (read more)

Fact vs. Fiction on Raising New York’s Minimum Wage

May 21, 2012. Last week, following Assembly passage of legislation to increase New York’s minimum wage to $8.50 an hour, Senate Majority Leader Dean Skelos argued that the minimum wage increase would harm minimum wage workers because they would pay more in taxes and some might lose eligibility for Family Health Plus. In this brief, The Fiscal Policy Institute and the National Employment Law Project review the facts and show that, on an after tax basis, all minimum wage … (read more)

Editorials: Raise the minimum wage

May 1, 2012. Today the New York Times mentioned FPI in their editorial in favor of increasing the minimim wage. The Albany Times-Union did the same last week.

An excerpt from the Times Union:

Here’s how a higher minimum wage creates jobs, as economist James Parrott … (read more)

Raising New York State’s Minimum Wage

April 23, 2012. Testimony presented to the New York Assembly Labor Committee by James A. Parrott. Ten reasons: (1) to restore the minimum wage’s lost purchasing power, (2) to raise New York’s wage floor, (3) to help low-income families. And because it (4) won’t reduce employment, or (5) hurt taxpayers. But, it will (6) boost the economy (and jobs), (7) complement the EITC, and (8) reduce burgeoning income inequality. Increasing the minimum wage will (9) restore New York’s leadership on … (read more)