Media clips

---

• Could the federal minimum wage vary by the regional cost of living?

  In the 1930s, Southern lawmakers pushed the idea of varying the minimum wage to cater to lower-wage regions, according to economist Heidi Shierholz at the progressive Economic Policy Institute. And she said the policy had similar drawbacks then to the drawbacks it would have today: “It would lock in existing low-wage conditions in certain regions that are the result of historic racism.”

  In the South, for instance. “That would actually result in a higher Black-white wage gap nationally. Because white workers are more concentrated in places with higher wages, and Black workers are more concentrated in places with lower wages.”

  Shierholz, who served as chief economist in the Obama administration’s Labor Department, believes the federal government should set a single nationwide minimum wage of at least $15 an hour. Then state and local governments can set their own minimum wages higher, as warranted by local economic conditions and the cost of living.

  NPR Marketplace April 30, 2021
• Fears over post-pandemic job shortage likely overstated, but complicate Biden’s relief deals

  “The economically relevant question is: Is it happening in a large enough scale to be driving anything? We still have officially unemployed workers far outstripping job openings,” said the Economic Policy Institute’s Heidi Shierholz, a former DOL chief economist during the Obama administration. “In just numbers, there are not enough job openings to go around right now, period. That’s the key thing that’s keeping us from putting more workers back to work.”

  Wage growth — usually a sign that employers are competing to find workers — has been unchanged at 3.4 percent since December. And the number of people looking for work on the job-search platform Joblist has increased 10 percent so far in April, according to data provided to POLITICO.

  Shierholz also points to the 916,000 new jobs added in the March jobs report as evidence that people are returning to work.

  “That was extraordinary job growth, which is hard to square with really loud calls of ‘I can’t find the workers I need’ when over 900,000 people managed to get hired,” she said.

  Politico April 30, 2021
• Biden’s EU trade dilemma: more pain for Harley, distillers or back off metals tariffs?

  Kevin Dempsey, president of AISI, which represents major steelmakers, argues that the consolidation is a sign of health and increased investment for the industry, and the current supply shortage is a temporary bottleneck being experienced by many other industries, including semiconductors.

  He cited a March study https://www.epi.org/publication/why-global-steel-surpluses-warrant-u-s-section-232-import-measures by the Economic Policy Institute showing the industry has committed to $15.7 billion in new or upgraded American steel facilities since the tariffs were implemented in 2018, which will add 3,200 direct new jobs.

  Reuters April 30, 2021
• Biden Orders $15 Minimum Wage for Federal Contractors

  The government requires that many employees of contractors be paid a prevailing wage — essentially the going rate for an occupation in a particular place, as determined by the Labor Department — but their pay will rise as a result of the order if the prevailing wage is less than $15 an hour. An analysis by the liberal Economic Policy Institute estimates that up to 390,000 workers will directly benefit.

  New York Times April 30, 2021
• Fact-checking Biden’s 2021 address to Congress

  “In fact, the pay gap between CEOs and their workers is now among the largest in history. According to one study, CEOs make 320 times what their average workers make.”

  Biden is referring to an annual survey by the Economic Policy Institute, a left-leaning think tank, which examines the pay of chief executives at 350 of the largest companies. The ratio of CEO-to-worker compensation was 320-to-1 in 2019, up from 293-to-1 in 2018 and a big increase from 21-to-1 in 1965, the group says.

  The Washington Post April 30, 2021
• Bernie Sanders approves of Biden raising the federal contract minimum wage to $15, urges Congress to act

  The move by Biden could raise wages for up to 390,000 workers, according to an analysis by the left-leaning Economic Policy Institute (EPI). Per EPI, half of the workers who will get a raise are Black or Hispanic — and half are women.

  Business Insider April 30, 2021
• Biden to Give Almost 400,000 Workers a $15 Minimum Wage

  The order will raise wages for up to 390,000 workers, the left-leaning Economic Policy Institute estimated on Tuesday. Advocates for a higher minimum wage have long supported such a measure for federal workers. Though Biden can’t raise the federal minimum wage for all workers without Congress, raising the wage for federal contracts helps hundreds of thousands and bypasses a legislative body that is stifled by the filibuster.

  New York Magazine April 30, 2021
• Biden to raise minimum wage for federal contractors to $15 an hour

  The Economic Policy Institute estimates up to 390,000 low-wage contractors will see a raise as a result of the executive order. EPI estimates the average annual pay increase for year-round workers will be up to $3,100, largely benefiting women and Black or Hispanic workers.

  Yahoo Finance April 30, 2021
• Will there be a fourth stimulus check? Biden’s first address to Congress may offer clues for Americans

  Instead of another round of broad checks, lawmakers should focus on extending unemployment benefits and the child tax credit because they could provide “longer-run fixes” for American households, according to Heidi Shierholz, an economist at the liberal Economic Policy Institute.

  USA Today April 30, 2021
• Federal Reserve says it wants things to cost more for Americans. Here’s why that could be good.

  For many Americans, that might sound like an ominous proposal as it would mean things like groceries, restaurant bills, and leisure activities would all cost more, but Robert Scott, a senior economist with the Economic Policy Institute, says higher inflation is actually a good thing.

  “A tight labor market and a rapidly growing economy, if we can get there, is going to sustain higher levels of wage increase,” explained Scott. “So, you might be paying more: 2-3% a year more for your food, and groceries, and rent, but your wages might be rising at 3% or 4% or 5% a year. That’s good news. If wages are rising more than prices, you’re going to see a rising standard of living.”

  Scripps National News April 30, 2021