CBO warns $15 minimum wage would cost US nearly 1.4 million jobs
FOX News correspondent Hillary Vaughn joins 'Your World' with details on the potential economic fallout
Democrats on the House Committee on Education and Labor approved a $15 federal minimum wage proposal included in President Biden's coronavirus relief package in the early hours of Wednesday morning.
"It's a wrap, $15 #MinimumWage passes the [Education and Labor] committee after more than 13 hours of debate," committee member Rep. Ilhan Omar, D-Minn., wrote on Twitter around 4:30 a.m. on Wednesday.
Increasing the federal minimum wage from $7.25 to $15 an hour by 2025 would cut employment by 1.4 million but would lift roughly 900,000 Americans out of poverty, according to a study released Monday by the Congressional Budget Office.
DEMOCRATS' $15 MINIMUM WAGE HIKE WOULD REDUCE EMPLOYMENT BY 1.4M JOBS, CBO SAYS
House Republicans voiced their displeasure with the committee's action on Wednesday.
"Once again, Democrats are ignoring vulnerable, hardworking Americans, choosing instead to favor left wing special interests and those who support their radical agenda," ranking member Rep. Virginia Foxx, R-N.C., said in a statement. "Forcing children to miss out on a high-quality, in-person education while cherry picking the schools that receive relief and championing a job-destroying $15 national minimum wage hike is hardly 'bold relief.'"
Foxx also blasted committee Democrats for voting down Republicans' "commonsense amendments," including an amendment to block funding for higher education institutions linked to the Chinese government.
"At 3 am, House Democrats voted against my amendment which would have prohibited funds to higher education institutions who partner with the Chinese Communist Party," Rep. Elise Stefanik, R-N.Y., wrote on Twitter on Wednesday.
The House of Representatives on Friday passed an updated budget resolution sent over from the Senate that paves the way for Democrats to push through Biden's $1.9 trillion coronavirus relief package without GOP support.
Striking Mcdonald's workers demanding a $15 minimum wage demonstrate in Las Vegas, Nev., June 14, 2019. (REUTERS/Mike Segar)
The vote was 219-209 to adopt the budget framework that the Senate approved early Friday morning thanks to a tie-breaking vote cast by Vice President Kamala Harris. All House Republicans voted "no," plus one Democrat, Rep. Jared Golden of Maine.
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The measure unlocked the process for lawmakers to draft a final coronavirus relief bill under the budget reconciliation rules that would let Democrats avoid a GOP filibuster and pass the major stimulus legislation on their own as long as their caucus remains united.
FOX Business' Megan Henney and Fox News' Marisa Schultz contributed to this report.
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