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WAGES

As recently as a generation ago, the top salary in most enterprises did not exceed twenty times the salary of the lowest paid employee; a significant portion of profits gained from increased employee productivity were passed to employees in the form of higher salaries; and a single wage earner receiving the minimum wage could support a family of four.

 Today, CEO salaries often exceed several thousand times the salary of the lowest paid employee; corporate profits are channeled almost exclusively to senior management and investors; employees are often left with wage increases below inflation; and the minimum wage is not sufficient to provide a small family with an income above the poverty level.

While American wages remain stagnant, American companies in many countries (Singapore, Germany, Korea, and France to name but a few) are required by law or labor agreements to pay employees living wages with annual cost of living adjustments for inflation.

We need a national wage policy that rewards all employees, not just senior managers, investors, and foreign workers fortunate enough to live in countries with employee-friendly wage policies.  Congress must pass legislation that.

Ensures the  top salary  in any enterprise does not exceed twenty times the salary of the lowest paid employee.  CEOs can continue to vote themselves big pay increases, but only if they proportionally compensate all employees.

Requires employers to distribute at least 25% of their after tax profits to employees in the form of profit sharing.  Investors should be compensated, but employees deserve a fair share of the wealth they create.

Guarantees American workers annual cost of living adjustments to keep pace with inflation (measured by the Consumer Price Index).  American companies operate profitably in countries that require such adjustments. American employees deserve the same protection against inflation as their foreign coworkers.

Pays all workers overtime for time worked in excess of the standard work week (currently 40 hours).  Recent Federal overtime rules defining who does and does not qualify for overtime cheated many workers out of overtime pay. The Federal Government should not pick and choose which workers deserve overtime pay and which do not. All workers should qualify. No one should be "exempt".

Restores the value of a minimum “living wage”. Current proposals for increasing the minimum wage will not result in a “living wage”.  If Congress had done nothing more than adjust the 1968 minimum hourly wage or inflation, the minimum wage would be $8.85 today (roughly $18,000 annually based on a 40 hour work week).  Under current proposals, the minimum wage will be raised to a mere $7.25 over the next two years (approximately $15,000 annually).  When you consider the current poverty rate for a family of four is roughly $20,000, the proposed minimum wage falls $5,000 short of what a small family needs to live at the poverty level.  To close the gap, the minimum wage should be no less than $10.00 (roughly $21,000 annually) and should be indexed to inflation to prevent erosion of purchasing power over time.  No family should earn less than the poverty level!