Minimum “WAGE HIKE” Under Debate As Income Levels and Poverty Concerns Arise

By Jobs & Hire Staff Reporter | Mar 31, 2014 08:59 AM EDT

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President Barack Obama in his State of the Union address asked the Congress to "Give America a raise". Republicans discouraged the statement by expressing that it would also cost U.S. jobs.

Democrats stands more for the advantage of the low-wage workers, while the Republicans are not too optimistic about it. The separate opinions from this two parties between policies, beliefs, and demographics, stands divided towards increasing the federal minimum wage.

Almost all congressional districts with a huge number of poor people is represented by a Democrat, based on a survey made by the Census Bureau. About 20% from the 40 House districts, has families living in poverty and poor economic conditions, and 38 of them are represented by a member of the Democratic Party.

Individuals living in poverty are considered to have an annual income lower than $11,670 for a person living independently. while lower than $23,850 for families of four. 73 out of 100 impoverish districts are represented by a Democrat.

President Barack Obama together with the Democrats are doing its best to significantly adjust the federal minimum wage to a higher rate. The President and the party wants to give more effort in resolving the issue of income inequality, and will be their major emphasis on the coming elections.

The President believes that this program will provide business customers and consumers more money to use, and will aid more families. A gradual increase projected till 2016, from the $7.25 an hourly rate to $10.10 on the federal minimum wage will be implemented once the endorsed bill from the President is approved. The Republicans are already on the move to counter it, while Democrats are expected to vote on it.

A recent poll form the Associated Press states that 55% of Americans supports the increase of the federal minimum wage. Democrats believes that this bill will help 900,000 people rise from the poverty level by 2016, while Republicans believe that this bill will cut down an estimated 500,000 jobs.

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