Cumberland —
CUMBERLAND — A bill to raise Maryland’s minimum wage to $10 an hour by 2013 is stuck in House and Senate committees and is likely not going to pass this year.
The federal minimum wage is currently $7.25. The Senate and House bills are hung up on first reading in their respective committees with no action having been taken in the Senate Finance Committee or the House Economic Matters Committee.
“At this stage on both sides, it tells me that legislation is going nowhere,” said Delegate Kevin Kelly. He said legislation stuck on first reading late in the session indicates a lack of leadership support for the measure. Kelly has opposed the bill.
“If you raise the minimum wage $2.75 an hour over the federal rate, it’s going to terribly impact business, cut the state’s work force and further drive business out of Maryland,” he said.
Rion Dennis, executive director of Progressive Maryland, a key proponent of the legislation, did not return a call by press time. Dennis previously told the Times-News that the increase is needed.
“Maryland’s minimum wage is roughly $15,000 per year for a full-time worker, and that’s not enough to provide for our families,” he said. Dennis said 80 percent of voters in a poll conducted for the organization earlier this year favored the minimum wage hike.
States cannot pay below the feederal minimum wage, but may raise the state minimum wage.
Michael Saltsman, a re-search fellow at the Employment Policies Institute, said that what’s popular may not be good for the economy. This is an issue where there has always been a divide between the public and economists, he said. “People think, ‘that’s a great way to help the working poor,’ but it’s not,” Saltsman said in a phone interview. A better way would be to expand the earned income tax credit, available to families with earnings between about $13,500 and $43,000 a year, depending on family size, he said.
A fiscal and policy note provided by the independent Department of Legislative Services for the bill notes that the bill would increase the payrolls of local governments.
The bill would also have a “meaningful” impact on small business, the note states, and repeal certain overtime ex-emptions, including those for hotels, motels and restaurants.
Seventeen states and the District of Columbia require a minimum wage in excess of the federal rate, according to the policy note.
Progressive Maryland de-scribes itself as “a nonprofit grass-roots organization of more than 15,000 members and supporters and over 50 affiliated religious, community and labor organizations.”
Matthew Bieniek may be contacted at mbieniek@times-news.com.
Local News
Minimum wage bill stuck in House, Senate committees
Experience tells delegate that legislation ‘is going nowhere’
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