Indiana House Republicans reject minimum wage increase…again

INDIANAPOLIS – Indiana House Republicans again have rejected a proposal to increase the state minimum wage and help Hoosier families, according to House Democratic Leader Scott Pelath from Michigan City.

Pelath asked Indiana state lawmakers today to approve a plan that would enable the state Department of Labor to set a minimum wage rate based on the average rate in those states that have a minimum wage above the federal rate of $7.25 per hour.

However, his proposal was turned down by the 71-member supermajority that controls the House. The amendment, offered to House Bill 1351, was defeated in a party-line vote with no support from House Republicans.

“One of the great mysteries is how a group of people continually avoids doing one easy, obvious thing to help folks on the job,” Pelath said after the vote.

“While the House Republicans tout our state’s efforts to create jobs, they intentionally ignore the fact that many of those jobs are not paying a living wage,” he continued. “The average household income in Indiana has declined from $53,482 in 2002 to $46,974 in 2013. Over the past decade, household incomes in 47 other states have grown at a faster rate than Indiana. Indiana’s businesses need more customers with earned dollars in their wallets.”

Indiana’s minimum wage has been stuck at $7.25 an hour since 2007, when lawmakers chose to tie it to the federal wage rate. While we have been stagnant since then, a number of other states and the District of Columbia have moved to improve the wage rate.

If Pelath’s proposal had been approved by the House supermajority, the Department of Labor could have set the rate at $8.41 per hour.

“For the first time, a majority of states—29, plus the District of Columbia—have minimum wage rates above the federal minimum,” Pelath said. “Just this past year, minimum wage increases passed in traditionally conservative states like Alaska, Arkansas, and Nebraska. It’s common sense.

“But here in Indiana, those who control our state government remain stubbornly opposed to any effort to empower workers who already are scrambling to make ends meet,” he noted. “They say no to the people, while we once again debate tax breaks for the connected. Why can’t Indiana be a leader in wage and salary growth for once?

“The obstinance of those keeping a stranglehold on wages and salaries is increasingly indefensible,” Pelath concluded.