[Congressional Record Volume 165, Number 118 (Monday, July 15, 2019)]
[House]
[Pages H5817-H5823]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
REFLECTING ON PRIORITIES FACING AMERICA
The SPEAKER pro tempore (Mr. Payne). Under the Speaker's announced
policy of January 3, 2019, the gentleman from Nevada (Mr. Horsford) is
recognized for 60 minutes as the designee of the majority leader.
Mr. HORSFORD. Mr. Speaker, I rise today with my colleague and
coanchor for the Congressional Black Caucus, Delegate Stacey Plaskett,
on behalf of the Congressional Black Caucus for this Special Order hour
where we can reflect on the priorities facing the American public.
This week, this body will be voting on the topic of raising the
minimum wage and giving Americans a well-deserved raise and the impact
that that would have not only on the workforce at large but,
specifically, for Black workers and families across the United States.
Why is this so important as we touch on the issues of the day?
According to the National Low Income Housing Coalition, there is no
place in America where a full-time worker making the current minimum
wage of $7.25 an hour can afford a modest two-bedroom apartment.
Additionally, many working people, particularly working women and
Black workers, are still facing persistent and even, in some cases,
worsening wage gaps since 2000. The wage gap between Black and White
workers has grown significantly.
So for this hour, Mr. Speaker, we will discuss the issues affecting
American workers and why it is imperative that this House take up the
WAGE Act that we will be considering later this week.
{time} 1945
I am honored to have with us here this evening several members of the
Congressional Black Caucus who will share their thoughts, concerns, and
priorities for this legislation.
Mr. Speaker, I yield to the gentlewoman from Michigan (Mrs.
Lawrence).
Mrs. LAWRENCE. Mr. Speaker, I rise today to address the issue of
stagnant wages for African Americans and, as a result, the lack of
economic opportunities. The Federal current minimum wage is $7.25, not
enough to sustain an individual's necessary expenses, let alone for
those who are an entire American family.
In fact, the purchasing power of the current minimum wage has
gradually eroded over the past decade. Since this minimum wage was
raised to $7.25, its purchasing power has declined by 17 percent due to
inflation.
Mr. Speaker, this is a staggering thought: A person working 40 hours
a week at the current Federal minimum wage earns a gross income of
$15,000 per year before taxes. Even families working full-time earning
the Federal minimum wage are below the Federal poverty level.
This is why we need to pass the Raise the Wage Act. Under H.R. 582,
1.3 million Americans will be lifted out of poverty. This includes
600,000 children who will finally have a shot at a better life simply
because of raising the minimum wage.
The Raise the Wage Act helps women and workers of color the most
since women are nearly two-thirds of the American workforce who earn
the Federal minimum wage or just above that. In Michigan's 14th
District, up to 61,000 women and over 76,000 Black and Hispanic workers
in my district alone will receive a wage increase. This bill is way
overdue.
Mr. Speaker, let me reference a letter from my colleague, the
Honorable Eddie Bernice Johnson of Texas: ``We have seen a recent
epidemic of the working poor, hardworking Americans who each day are
forced to choose between food, shelter, clothing, or healthcare for
themselves and their families. In the past 40 years, minimum wage
increases have not kept pace,'' causing many families to struggle.
The Honorable Eddie Bernice Johnson says that the current minimum
wage in her home State of Texas ``is only $7.25 an hour and even lower
for workers in the service industry who instead rely heavily on
customer tips for take-home pay. The African American community, which
makes up a significant portion of the minimum wage workforce, is
disproportionately affected by lower wages.
``According to the Economic Policy Institute, 38.1 percent of all
Black workers would receive higher pay as a result of an increased
wage, therefore opening up new economic opportunities.
``We must act quickly to ensure that any American willing to work 40
hours a week can afford basic necessities.''
That is why, Representative Eddie Bernice Johnson says, she is proud
to be a cosponsor of H.R. 582, the Raise the Wage Act. The bill will
lift millions of Americans out of poverty by gradually increasing the
minimum wage over a period of 5 years to $15.
Mr. Speaker, I want to be on the Record and join my colleague,
Representative Eddie Bernice Johnson, to say: ``The growing racial
wealth gap in our country can no longer go unnoticed. We now have an
opportunity to take concrete steps to help close the gap.''
This bill is way overdue.
Mr. HORSFORD. Mr. Speaker, I thank the gentlewoman from Michigan for
bringing forward her commitment and leadership on these important
issues and sharing her support for the Raise the Wage Act, which this
body will be considering later this week.
Just before we started this Special Order hour, one of my colleagues
on the other side of the aisle came up and talked about the negative
impact of raising the Federal minimum wage. It is so interesting that
CEOs for the 350 largest U.S. companies on average were paid $18.9
million in 2017, which is a 17 percent increase from the previous year.
Meanwhile, wages for the average U.S. worker grew by 0.2 percent during
that time.
How is it okay that CEO pay can go up 17 percent, and the average CEO
for the 350 largest U.S. companies can, on average, be paid $19
million, and we can't afford to give America a raise?
On average, controlling for age, gender, and education, Black workers
are paid 16.2 percent less than White workers. According to the Census
Bureau--which is why it is so important for people to participate in
the Census, so that we have this vital data--in 2016, the average
household income for a White family was $80,720. For a Black family,
that number sat at $38,555, less than half of what an average White
family took home.
That affects every aspect of that family's life, from their ability
to afford housing to healthcare to being able to put food on the table
and put gas in the car so that they can make it to their work.
We believe that one job should be enough and that people should be
able to have a livable wage to take care of themselves and their
families.
I urge my colleagues throughout this body, particularly those on the
other side, that if they are going to come to this floor this week and
oppose giving Americans a raise, then they have to be able to explain
why they support CEO pay increasing more than 17 percent in one given
year while U.S. worker wages grew at less than 0.2 percent during that
same time.
Workers deserve a wage increase. Their wages have been stagnant for
far too long. That is why we are encouraging this body to bring up the
Raise the Wage Act.
Mr. Speaker, I yield to the gentleman from Pennsylvania (Mr. Evans),
who is my good friend. He is a gentleman with whom I have the honor of
serving on the Ways and Means Committee. The Representative likes to
talk about the history of his great city, and I know he is here to also
talk about why the constituents of that great city deserve a wage
increase.
Mr. EVANS. Mr. Speaker, I applaud the gentleman and the coleader for
leading this event for the Congressional Black Caucus under the
leadership of Chairwoman Karen Bass. The Congressional Black Caucus is
the conscience of this Congress.
I don't know if you know, and I am constantly reminding people, Mr.
Speaker, that the President, in August 2016, came to Philadelphia and
said, ``What the hell do you have to lose?'' That is what he said.
Mr. Speaker, I rise to join my colleagues from the Congressional
Black Caucus in calling for an increase in the Federal minimum wage. I
am pleased that the Democratic leadership plans to put the Raise the
Wage Act up for a vote in the House.
A raise for these workers is long overdue. Congress has not raised
the national minimum wage in 10 years.
[[Page H5818]]
My home State has not raised its minimum wage for 13 years. Inflation
has increased the cost of living nearly 19 percent from 10 years ago.
Food, healthcare, and utilities all went up.
Let me repeat that. A raise for these workers is long overdue.
Congress has not raised the national minimum wage for 10 years. My home
State of Pennsylvania has not raised its minimum wage for 13 years.
Inflation has raised the cost of living nearly 19 percent from 10 years
ago. Food, healthcare, and utilities all went up.
Members from both parties should be able to agree that no one who
works full-time should live in poverty. I am very focused on poverty
because my city of Philadelphia has a 26 percent poverty rate.
Raising the minimum wage is one of the best tools in the toolbox for
lifting Americans out of poverty. That includes 600,000 children who
will be lifted out of poverty by the Raise the Wage Act.
It is important, Mr. Speaker, to understand that one of our
colleagues, Congresswoman Barbara Lee, who leads the effort around the
reduction of poverty, particularly child poverty, when we talk about
the issue, 600,000 children will be lifted out of poverty by the Raise
the Wage Act. How can my colleagues say no to that?
We need to find some way to move forward. We have an opportunity, and
that opportunity is the Raise the Wage Act. Americans who are working
the hardest to grow our economy need to share the rewards of that
growth. Just think, that raise in their pocket allows them to spend
money in the economy. That is not something to take lightly.
When we talk about small businesses--and I am the vice chair of the
Small Business Committee--and we talk about small businesses being the
backbone of our community, obviously, they need customers. They need
customers who have money in their pockets.
It is not just enough for that individual, but it is enough for
entrepreneurs. It is enough for building businesses. It is enough for
building communities. It is enough for all of us to recognize the
importance and the significance of raising the wage.
We need to not take that lightly. We need to understand that, in some
of our communities, there is a growing income inequality gap, and we
need to address that. The way to address it is by fundamentally raising
the wage. Raising the wage gives people more of an opportunity to
participate in this economy.
We know this economy tends to be rigged for those who are at the top
against those at the bottom who are trying to struggle and find a way.
When you talk about our not raising the minimum wage in 10 years--and
13 years in Pennsylvania--I want anyone who is listening or watching
what is taking place here this evening to know that the Congressional
Black Caucus, clearly, as the chairperson always likes to say--she
always talks about hidden figures. The hidden figures are that we
haven't raised the wage in 10 years, and in Pennsylvania, they haven't
raised it in 13 years.
Americans who are working are working harder. They are working more
than one job. They are working two, three jobs. There is something
wrong with that. The CEOs have definitely been getting their raises.
Where is the raise for the people who cook their food, make their
beds, and clean their offices? Where is the raise for the people who
cook their food, make their beds, and clean their offices?
Today, led by my two colleagues from the great State of Nevada and
the great Virgin Islands who are leaders in this effort, I am glad to
join with them to add my voice to raising the wage.
This is not an accident that the Congressional Black Caucus will be
in the forefront because this is an issue that means a great deal to an
awful lot of Americans and particularly African Americans when we have
a President of the United States who comes and says: What do you have
to lose?
The fact of the matter is, when we look at his administration,
clearly, the policies are not connecting to moving the people, at least
not moving the people whom we are talking to and the situations that we
are seeing.
The bottom line on the minimum wage is simple: Pay these people now.
Pay these people now and raise the wage.
We can no longer joke about this. We can no longer have it as
political rhetoric. We must show action, and we must show people that
we are determined to raise the wage.
I thank my colleagues for giving me the opportunity to add my voice
to both of yours for what we are attempting to do today. We need to
keep doing this every single day and not leave here until this wage
raises.
The bottom line of the minimum wage is simple: Pay these people now
and raise the wage.
{time} 2000
Mr. HORSFORD. Mr. Speaker, I thank the gentleman from Pennsylvania
and again thank him for his dedication and commitment on behalf of his
constituents in Philadelphia, in bringing their voice to this process.
General Leave
Mr. HORSFORD. Mr. Speaker, I ask unanimous consent that all Members
may have 5 legislative days in which to revise and extend their remarks
and include extraneous material on the subject of tonight's Special
Order.
The SPEAKER pro tempore. Is there objection to the request of the
gentleman from Nevada?
There was no objection.
Mr. HORSFORD. Mr. Speaker, we are led by a dynamic chair of the
Congressional Black Caucus, the Representative from California,
Congresswoman Karen Bass, and I had the honor of attending one of her
congressional field hearings this week. The CBC is dedicated on a
number of policy platforms, and this is among them.
Mr. Speaker, I yield to the gentlewoman from the U.S. Virgin Islands
(Ms. Plaskett), my colleague, whom I am coanchored with this evening.
Ms. PLASKETT. Mr. Speaker, I thank the gentleman from Nevada (Mr.
Horsford) for yielding and thank him for the work he is doing on this
issue and so many issues that affect American families.
Sometimes here in Congress we can be distracted by issues that come
up on a daily basis, but the gentleman from Nevada has kept his mind
focused on the things that everyday Americans are concerned with, that
is, proper wages, livable homes, good education, affordable housing. I
am appreciative that we have kept our eyes on the prize, kept our eyes
focused on the policy and the things that move the needle on this.
I was so happy to hear just a few moments ago from the gentleman from
Philadelphia, Mr. Evans, because, although he talks quite a bit about
Philadelphia, there is one area he talks about quite a bit, and that is
sustaining the Black middle class, sustaining Black homeownership.
This minimum wage bill, Raise the Wage Act of 2019, supports those
kind of initiatives. It gradually raises, as we have said, the Federal
minimum wage from $7.25 to $15 over several years, over the next 6
years, to lift millions of workers out of poverty, even those who are
working, who are still the working-class poor, stimulate local
economies, and restore the value of the minimum wage. It gives 40
million Americans a raise.
As we heard from the gentlewoman from Michigan (Mrs. Lawrence), my
colleague and good friend, it helps women and workers of color.
Today, more than 40 percent of Black workers and one-third of
Hispanic workers will get a raise under this bill. Women make up nearly
two-thirds of all minimum wage workers.
In areas like the Virgin Islands, where many of the homes and
percentages of homes are run by single-person households, those being
predominantly Black women, this is very important that women are two-
thirds of the minimum wage workers. For them to be lifted out raises
families.
One thing that I think this touches on and is part of that hasn't
really been expressed as yet is wealth disparity.
The wealth, the measure of an individual's or a family's financial
net worth, provides all sorts of opportunities for American families.
Wealth makes it easier for people to seamlessly transition between
jobs, move to new neighborhoods, and respond to emergency situations.
Unfortunately, wealth in this country is unequally distributed by
race,
[[Page H5819]]
particularly between White and Black households. African American
families have a fraction of the wealth of White families, leaving them
more economically insecure and with far fewer opportunities for
economic mobility.
Even after considering positive factors such as increased education
levels, African Americans still have less wealth than Whites. Less
wealth translates into fewer opportunities and is compounded by lower
income levels and fewer chances to build wealth or pass accumulated
wealth down to future generations.
This also is very symptomatic and has a well-documented history of
mortgage market discrimination. It means that Blacks are significantly
less likely to be homeowners than Whites, which means they have less
access to savings and tax benefits that come with owning a home.
Persistent labor market discrimination and segregation also force
Blacks into fewer and less advantageous employment opportunities than
their White counterparts. Even when they have homeownership, they have
less access and ability to be able to use that homeownership.
In the Virgin Islands, surprisingly, almost 60 percent of families of
Black people own their home, but they are unable, and the banks are
unwilling, to allow them to leverage that wealth for education, for
second mortgages, to start businesses. The scrutiny is high.
When we are talking about wages, in the Virgin Islands, we make 75
percent of what is the national average. The average for a Virgin
Islands family is $37,254; whereas, the estimated national average is
$50,221. And 13.5 percent of U.S. Virgin Islanders have family income
levels below $10,000 a year--for a family. That is horrendous.
This bill, however, and passage of this bill would mean lots of
wealth and lots of opportunities for Black families, African Americans,
the working poor, White poor families, Hispanic families.
African Americans own approximately one-tenth of the wealth of White
Americans. In 2016, the median wealth for nonretired Black households
25 years old and older was less than one-tenth that of similarly
situated White households. Those are White households, making the same
and having the same access as Black families, which are making one-
tenth that of similarly situated White households.
The Black-White wealth gap has still not recovered from the Great
Recession. In 2007, immediately after the Great Recession, the median
wealth of Blacks was nearly 14 percent of Whites. Although Black wealth
increased at a faster rate than White wealth in 2016, Blacks still
owned less than 10 percent of White's wealth at the median.
Black households have fewer and are in greater need of personal
savings than their White counterparts. For a variety of reasons, Blacks
are more likely to experience negative income shocks but are less
likely to have access to emergency savings. As a consequence, Blacks
are more likely to fall behind on their bills and go into debt during
times of emergency.
The systematic challenges in narrowing the wealth gap for African
Americans with Whites persists. The wealth gap persists regardless of a
household's education, marital status, age, or income.
This is something that we are fighting for. We are grateful for this
legislation that is going to make a difference in African American
lives.
Mr. Speaker, I thank the gentleman for bringing this important matter
to the floor for us to discuss here this evening, and it is my plea for
my colleagues to pass this legislation, for it to go to the Senate so
that it can make a tremendous difference in so many Americans' lives.
Raising the income level of the less fortunate assists all Americans in
raising the tide of Americans' ability to excel.
Mr. HORSFORD. Mr. Speaker, I thank the gentlewoman from the U.S.
Virgin Islands, and I appreciate, again, her work as a coanchor tonight
and bringing not only the increasing issues of wages for American
workers, but tying and connecting the point around housing and the
ability to really afford to live.
As we have heard time and time again from our constituents, people
are falling behind, and it is because they have seen stagnant wages for
far too long. While the other side is giving corporate tax cuts to the
wealthiest, 83 percent of the benefit of their $1.7 trillion tax going
to benefit only the top 1 percent, it has done nothing to help the
working poor and those who actually help build a strong economy.
For the past 40 years, Congress has failed to increase the minimum
wage to keep up with inflation, making it the longest period of time in
history without an increase. Today's minimum wage workers have less
buying power than minimum wage workers had in the 1960s. In the past 40
years, the Federal minimum wage, stuck at $7.25 since 2009, has lost 30
percent of its value.
What does this mean? It means the minimum wage is worth less today
than it was in 1960. The same wage can't buy you as much due to
inflation and wages not being corrected to match for inflation.
The person who has been leading the charge as the chairman of the
Education and Labor Committee, the person who has brought so much
perspective on so many issues, from criminal justice reform to voting
rights and now is making sure that this body considers the Raise the
Wage Act this week, is none other than Congressman Bobby Scott.
Mr. Speaker, I yield to the gentleman from the great State of
Virginia (Mr. Scott).
Mr. SCOTT of Virginia. Mr. Speaker, we are considering the Raise the
Wage Act later this week. That proposal will gradually increase the
Federal minimum wage to $15 an hour by 2025, and after that, adjust for
inflation.
I thank the gentleman from Nevada (Mr. Horsford) for convening this
Special Order to discuss the minimum wage on behalf of the
Congressional Black Caucus, because this gives us an opportunity to
explore the historic and continuing intersection between race and the
Federal minimum wage.
When the Federal minimum wage was established under the Fair Labor
Standards Act of 1938, it purposely excluded many African American
workers. Agriculture and most service workers, who are predominantly
African American, were exempted from labor law protections.
From 1930 to 1940, the share of Southern Blacks who worked in
agriculture, in domestic service was over 40 percent. At the same time,
the practice of tipping, which had originally enabled American
employers to avoid paying wages to newly freed Black workers, was in
effect.
And the law also treated disabled workers as inferior and permanently
codified some forms of labor as lower than minimum wage work. Those
exclusions lowered labor standards in the South by excluding a large
share of its workforce and denied African American workers access to
basic labor protections.
But in 1966, Congress finally amended the Fair Labor Standards Act to
expand coverage to agriculture, restaurants, nursing homes, and other
service workers. The benefits of that act were particularly strong for
Black workers. Nearly one-third of Black workers gained protection
under the Fair Labor Standards Act compared to only 18 percent of
Whites.
The size of that minimum wage increase in finally protecting a larger
share of African Americans closed 20 percent of the Black-White
earnings and income gap. Estimates based on the differential impact of
the 1966 amendments by industry and wage levels within industry give a
clear indication of how important the minimum wage protection was,
because it established a Federal minimum wage.
We know how effective it was because Black workers in industries that
were not protected by the Fair Labor Standards Act were paid
significantly lower than the minimum wage. After increases in minimum
wage increased earnings by an average of 34 percent, studies found
modest to positive job gains as a direct result of the increase in the
minimum wage in the industries that came under the Fair Labor Standards
Act protection.
The poverty rate for African American children fell from a staggering
65 percent in 1965 to 39 percent in 1969 after the minimum wage
expansion in coverage and increase to its highest value in real terms.
That caused a rapid decline in childhood poverty amongst African
Americans. Fifty
[[Page H5820]]
years later, the Raise the Wage Act would have a similarly strong
impact on African American workers.
This past June marked the longest time in the history of the minimum
wage where there was no increase in the minimum wage. Just about half
of African American workers live in the 21 States where the minimum
wage has not been increased over $7.25 an hour.
Most of the States, in fact, have not waited for the Federal
Government; they went ahead and increased it. But half of the African
American population lives in the 21 States stuck at $7.25.
To make matters worse, factoring for inflation, these minimum wage
workers have actually suffered a cut over the last decade. So, as a
result, millions of Americans who are working full-time still find
themselves in poverty. In fact, one recent study showed that there is
no city or county in America where a minimum wage worker working 40
hours a week can afford a modest two-bedroom apartment.
{time} 2015
So, for nearly a third of Black workers, this is important
legislation. One-third of Black workers would get a raise if Congress
passes the Raise the Wage Act.
We have a responsibility and an opportunity to restore the value of
the minimum wage, lift millions of hardworking people out of poverty,
and boost the wages for African American families across the country.
There is nothing more that we can do to actually reduce the wage and
income gaps, the wealth gaps, that we have in America today than raise
the minimum wage.
So, this week, we must pass the Raise the Wage Act and restore
President Roosevelt's promise of a fair day's pay for a fair day's
work.
Mr. HORSFORD. Mr. Speaker, I thank the chairman from the Education
and Labor Committee. It makes a big difference when he has the gavel
and the priorities that he has set as the chairman of that committee
and the fact that, as we have done from the beginning of this Congress,
the For the People Agenda has been focused on making a difference in
the lives of the American people that we represent.
The gentleman just pointed out that two-thirds of the minimum wage
workers in this country are women and that two-fifths--in fact, 38
percent of African Americans and one-third, 33 percent of Latinos--
would get a raise when we pass the legislation and the Federal minimum
wage is increased to $15 an hour.
It would also boost the economy. A 10 percent increase in the minimum
wage would increase sales by around $2 billion each year.
Now, I want to just take on a couple of the myths that have been out
there with this administration and my Republican colleagues who have
opposed the efforts of the House Democrats to bring forward this wage
increase.
One of the myths out there is around the Black unemployment rate in
this country. We hear often the President say that, among certain
racial groups, particularly African Americans, the unemployment rate is
at an all-time low.
And while it is, in fact, true that the unemployment rate is down and
it has been down and has been steadily falling since 2011, well before
Trump was sworn into office, that rate of decline has not gained
momentum since.
In fact, even at an annual rate of 6.6 percent, the Black
unemployment rate is still more than double the White unemployment
rate, which is at 3.2 percent.
What this says is that the Black unemployment rate has been about
double the White unemployment rate for more than four decades, making
this relationship more historically significant than any single
unemployment rate.
So, Mr. President, if you want to take credit for the low
unemployment rate among African Americans, then you need to be held
accountable for keeping the rate down and to propose a plan to close
the persistent 2-to-1 racial disparity that has existed for more than
40 years.
Another issue that I want to take on is the fact of the amount of
jobs that have been created since this administration has taken over.
We know that many of the jobs that have been created are, in fact, low-
wage, low-paying jobs. Many of the jobs are in the gig economy, and
those individuals are not getting paid the same amount as traditional
workers.
We know that many employers are paying workers for less than full-
time work, which means that they still cannot provide for their
families, that they are not being afforded healthcare, and, in fact,
the government is subsidizing many of these corporations--the same
corporations that give their CEOs 17 percent pay increases but then
want to tell the workers: ``You can't have a raise.''
And these are the myths that the other side wants to, again, put out
there to distract from the House Democrats and our agenda in giving
Americans a raise.
Now, I want to just touch on one specific point from my home State in
Nevada. Recently, our Governor, Governor Steve Sisolak, the first
Democratic Governor to be elected in Nevada in 20 years, signed into
law a $12 minimum wage increase, following 10 years of wage stagnation
for working-class families in Nevada.
In fact, the last time we raised the minimum wage in Nevada was when
I was serving in the State Senate. So, elections do have consequences.
But, with the help of our legislative leaders, Speaker Jason Frierson
and Senate Majority Leader Nicole Cannizzaro, the Nevada legislature
increased the Nevada minimum wage to $12. But that raise won't go into
effect until 2020, and, for now, one in five workers in Nevada are
making under $12 an hour, less than $24,000 a year--$24,000 a year.
What is a family supposed to do? How are they supposed to make ends
meet on $24,000 per year?
Mr. Speaker, $12 for Nevadans is a step in the right direction, but
we need to be working to provide equitable wages for all Nevadans.
The Raise the Wage Act would work toward a $15 minimum wage by 2024,
as the chairman from the Education and Labor Committee indicated.
A pay increase will benefit 127,000 workers in my district alone.
Specifically, it will raise wages for 18,800 Black workers, more than
any other congressional district in Nevada.
So, the Raise the Wage Act is an important measure. It would give up
to 27 million workers a raise, lifting 1.3 million Americans out of
poverty and boosting economic growth by putting money into the pockets
of workers, who will spend that money in growing the economy, not like
the corporate tax cut that was given to big corporations where they
simply just bought up more shares of their own stock.
They didn't do anything to hire more workers or to help stimulate the
economy. They just made themselves more rich.
All Americans who work hard deserve to be able to afford a middle-
class life and opportunities to get ahead.
I believe that one job should be enough and that it is time that we
set our children up for success by making sure that working families
have the wages that they need to provide for themselves and their
family.
Mr. Speaker, I yield to the gentlewoman from the Virgin Islands (Ms.
Plaskett).
Ms. PLASKETT. Mr. Speaker, I thank the gentleman for that discussion
about what is happening in Nevada and raising the minimum wage, what
that is going to do in the gentleman's State. Kudos to the Governor to
take that bold leap.
There is concern about what happens with small businesses, and I know
that the chairman of the Committee on Education and Labor has been
thinking about that as well, that this bill does take this into
account, that there are small businesses that this may be difficult
for.
But we have to understand what the entire objective is of this bill.
I know that there are amendments by other good Democrats to look at the
Government Accountability Office to determine employment impacts.
That is much more helpful than what was done with the tax bill that
the Republicans passed. They aren't trying to see what the impact has
been of their legislation. They didn't ask for a lookback to see is
this, in fact, stimulating the economy, because the objective was not
to stimulate the economy.
The objective was to give the 1 percent--those corporate CEOs and
others--additional money. It was not to
[[Page H5821]]
put money into the economy. Because, if it was, then we would be
looking at it right now: What is the impact on America?
That was not put into that tax bill. But the Democrats are willing to
do that. The Democrats want to make sure that this legislation is doing
what it is meant to do; that is, to be for the people, for the larger
American people, by supporting that.
When I was talking earlier about the wealth gap and income, income
and employment are obstacles to the wealth gap. The income gap has
actually worsened over time.
According to a 2016 Economic Policy Institute report, the income gap
between Blacks and Whites has grown since the 1970s, not lessened. In
1979, for example, Black men earned 22 percent less than White men. In
2015, Black men earned 31 percent less.
The report's authors note that, in 1979, Black women's wages reached
near parity with White women's wages, but that by 2015 the gap had
risen to 19 percent.
We are not getting better. The equality gap is not narrowing. We need
to face the statistics. And Democrats are willing to do something about
that.
The report also found that the gap persists across women's
educational levels and worsens for those with higher levels of
educational attainment.
The gap at a higher level of education for White women and Black
women with similar education is worse than it is for those lower.
In 1980, college-educated Black women with more work experience
actually earned slightly higher wages than college-educated White women
with the same experience. By 2014, however, the gap had widened to 10
percent in White women's favor. That is a reversal.
Similarly, while the gap between college-educated Black and White men
in 1980 was slightly less than 10 percent, it rose to 20 percent by
2014.
In 2017, researchers from the Federal Reserve Bank of San Francisco
similarly concluded that the Black-White earning gap is growing, and
that the growth can largely be attributable to so-called immeasurable
factors.
What are some of those factors? Those factors that play a role in the
Black-White income and employment gap include employment
discrimination, weak enforcement of antidiscrimination laws, and racial
differences in unobserved skill levels, as opposed to measurable
factors such as educational attainment or work experience.
I am grateful that we have this time this evening to talk about this,
to let the American people see the truth--not a tweet, not what is
happening on the news on a regular basis, but the things that everyday
Americans care about: wages; minimum wage; having quality of life; and,
as my colleague from Nevada said, the ability to have one job to
sustain your family, not having to juggle two and three jobs, leaving
your children at home and not being able to be an important and
positive force in your children's lives because you have to work.
We are concerned as well about what is happening to our young
children who don't have that supervision in the evening.
Those are some of the issues where we have concern in Black
communities, not because parents aren't working and they are not there
for their children because they are shiftless, they are lazy, et
cetera, the things that you hear. It is because parents have two jobs.
They are trying to hold it together.
Single households, even those households that have both parents
working, they have to have two jobs to make ends meet.
This is a means to get people to be able not only to get out of
poverty but to support their families, to support their communities, to
create wealth, to have homeownership, which allows access to so many
other things such as education and so many things that are, in fact,
the American Dream.
Mr. HORSFORD. Mr. Speaker, the gentlewoman was talking about the
impact beyond just family incomes, which is important. And we want to
give all Americans a raise.
While the priorities on the other side were about giving corporations
and billionaires more wealth creation, we are laser-focused on putting
more money in the pockets of hardworking Americans.
But the question I have is around the recent research with States
that, following an increase in wages, we actually can see the rates of
suicides fall, consumer spending rise, and a more productive workforce.
There is no place in America where a full-time worker making $7.25 an
hour can support their entire family, let alone afford basic needs.
There is no place in America where a full-time worker making the
current $7.25 an hour can support their entire family.
And, as I said, the productivity piece--which, again, my colleagues
are always talking about the need to make America more competitive and
more productive. Well, in one study, researchers tracked 10,000 workers
at about 200 department stores and found that a dollar increase in the
minimum wage led a typical employee to sell about 5.4 percent more per
hour.
So, if we give workers the wage that they are deserving of, they will
put that extra money to work for the American economy, unlike giving
more tax breaks to the wealthy. For a worker earning the minimum wage,
the increase could be almost 20 percent.
{time} 2030
Now, again, I have underscored repeatedly the impacts to the economy,
and we will take on that debate later this week when this bill comes to
the floor.
But the point I just wanted to ask my colleague about is that human
impact. You know, this is more than just numbers. This is the two-
thirds of American workers who are women who are increasingly the head
of their household.
So can the gentlewoman relate to that impact and the constituents
that she serves and the stories that she has heard about the anxiety
that they go through every day and not being able to make ends meet?
Ms. PLASKETT. Every day, every week, and definitely every month, they
are trying to juggle which bill they are going to pay, and which bill
they are not going to pay. Are they going to be able to keep the lights
on? Are they going to be able to pay the rent?
In the Virgin Islands, public school students wear uniforms. Are they
going to be able to scrounge up money at the end of the summer to be
able to provide clothing for their children to be able to go to school?
Those are the things that people are concerned with working minimum
wage jobs, and working them hard; and then maybe at night having a
nighttime job somewhere else; and making sure that maybe one of the
older children is watching the younger ones; making sure that they are
asleep while they are away at that job; and praying that nothing
happens while they are there, not because they are negligent parents,
but that they care enough to be trying to put food on the table.
Those are the stories that I am sure you hear in your district; that
I know I hear in the Virgin Islands; and that I am sure all of our
colleagues, if they are willing to listen to the people that are on the
ground, the people that have put them here in Congress, are facing
every day.
Mr. HORSFORD. Mr. Speaker, I know the affected workers that I hear
from in my district, they want this raise. This raise would provide on
the order of about $3,000 a year. That is enough money to make a
tremendous difference in the life of a preschool teacher, a bank
teller. We have got fast-food workers who, today, struggle to get by on
around $20,000 a year.
A $15 minimum wage by 2024 would generate $144 billion in higher
wages for workers and would also benefit the communities in which they
live.
So while corporate profits, as a share of our national income, are at
an all-time high, wages are at a 65-year low. So if we are not going to
give workers a raise now, when are we going to give it to them? They
have been waiting for far too long.
I want to commend the leadership of our Speaker, of course; the
chairwoman of the Congressional Black Caucus, the chairman of the
Education and Labor Committee, it is because of their leadership, the
chairman of the House Democratic Caucus, Hakeem Jeffries, and others,
that this is part of the For the People Agenda.
[[Page H5822]]
This is why we are laser-focused. And we are laser-focused on a lot
of priorities. We want to give workers a raise. We also want to address
housing affordability. We want to address the issues around healthcare
costs and the out-of-pocket expenses that so many Americans are dealing
with.
We know that more entrepreneurs want to start a new business, and we
want to give them the tools and the resources necessary for them to do
so.
We want to repeal some of the unnecessary tax burdens on Americans,
like the Cadillac tax on healthcare, which I know this body is also
going to be considering.
So these are among the priorities of the House Democratic Caucus in
the For the People Agenda that we are raising up and reminding people
that we need to deal with this congressional session.
So, just to highlight, again, the Raise the Wage Act of 2019 would
gradually raise the Federal minimum wage to $15 an hour by 2024; and
here is how it would work.
As the chairman has indicated, it would raise the Federal minimum
wage to $8.55 this year and increase it over the next 5 years until it
reaches $15 an hour in 2024. After 2024, it would adjust the minimum
wage each year to keep pace with growth in the typical worker's wages,
something that we have not done for some time.
It would phase out the outdated sub-minimum wage for tip workers,
which has been frozen at a meager $2.13 since 1991. And it would sunset
the sub-minimum wages for workers with disabilities employed in
sheltered workshops, and for workers under age 20.
This is a commonsense measure, something that American workers and
our constituents have been demanding. In fact, 1 in 9 U.S. workers are
paid wages that leave them in poverty today, even when working full-
time and year round. And so that is why this bill is so important, the
Raise the Wage Act.
I am looking forward to working with my colleagues to bring this
measure to the floor later this week, and to debate with my colleagues
on the other side where they stand and whether they will join with the
House Democrats to pass this legislation over to the Senate so that
they can also take action.
I also want to just touch on a point that my colleague was talking
about, dealing with home ownership in the Black community. Today, The
Wall Street Journal released a report that Black home ownership is at
an all-time low. It has fallen 8.6 percentage points since its peak in
2004, hitting an all-time low in the first quarter of this year.
Homes and neighborhoods with a concentration of Black homeowners, on
average, are worth less than 6 percent than they were in 2006. And in
the second quarter of 2018, Black home ownership stood at 41.6 percent,
down more than a full half percent from the first quarter rate.
Nationally, the Black home ownership rate is only 41.6 percent,
virtually unchanged from 50 years ago when the Federal Fair Housing Act
banned racial discrimination in housing. The national White home
ownership rate, by comparison, is 71 percent.
So these are really dire statistics that I wanted to bring to the
attention of this body. I know that the chairwoman of the Financial
Services Committee, Maxine Waters, and her Subcommittee on Housing are
working to tackle this problem as well.
But it is time that we address the 30 percent point gap in home
ownership between Black and White Americans, which is at its highest
point in the new millennium.
Why is this so important?
It is, because, for Black Americans, so much of our wealth is
accumulated in the equity of home ownership. And again, this is central
to the issue of giving workers a raise because they need that raise in
order to afford the higher cost of housing, the higher cost of
healthcare, the higher cost of food, the higher cost of gas. Everything
is going up but their pay check, and that is what I hear from my
constituents, from those who are earning a minimum wage.
Under the Raise the Wage Act, it would increase by almost 20 percent.
So I am looking forward to, again, debating my colleagues on this
important issue when we come to the floor later this week.
As we have talked about here tonight, the Congressional Black Caucus
is laser-focused on making sure that Americans get a raise. We know
that giving Americans a raise would give up to 27 million workers the
benefit of increased take-home pay. It would lift 1.3 Americans out of
poverty. And it would boost our economic growth by putting money where
it belongs, in the pockets of workers who will spend that money in the
economy.
Unlike what was done with the corporate tax cuts that were given,
where 83 percent of the benefit of the $1.7 trillion tax cut went to
benefit just the top 1 percent, we are focused on helping everyday
Americans get the money they need in their pocket.
Now, I asked a question at the beginning of tonight's Special Order
hour dealing with the 350 CEOs from the largest U.S. companies who
earned an average pay, in 2017, of $1.89 million. That is a lot of
money.
I have no beef with CEOs getting a fair pay, but that pay increase
amounted to a 17 percent increase from the previous year. And just
before we started the Special Order hour, one of my colleagues came to
the floor and said that increasing the Federal minimum wage would be
devastating to our economy.
Well, what does he say about the CEOs who are getting record pay and
record bonuses, and the fact that all of the corporate tax cuts that
they provided went to just buying more stocks in those companies?
Meanwhile, the wages for the average U.S. worker grew at .2 percent
during that same time. This is a fundamental question that I honestly
would like my colleagues to be able to answer, and I will seek them out
during this week, because I want them to join with us to pass this
bill.
This really should not be a partisan issue. Giving Americans a raise
is something that we all should agree on benefits all of our workers.
My colleagues on the other side have low-wage, low-paid workers in
their district just like I have low-wage, low-paid workers in my
district.
The Raise the Wage Act of 2019, which proposes raising the Federal
minimum wage in six steps to $15 an hour by 2024, will result in a pay
increase for 38.1 percent of all Black workers and 23.2 percent of all
White workers.
This disproportional effect on Black workers comes not just because
they are more often employed in jobs that currently pay less, as we
have discussed tonight, than the proposed minimum wage, but also
because they are less likely to work in States or localities that have
passed a State minimum wage that is higher than the Federal minimum
wage.
So that is why it is time for Federal policy to set the standard so,
regardless, of where you live, you can earn a decent, livable wage to
provide for yourself and your family.
We believe that one job should be enough. It should be enough to
provide for you and your family. It should be enough to put a roof over
your head. It should be enough to make sure that you can pay for the
copays and the prescription drugs that you need in order to stay well.
It should be enough so that we can address food insecurity in this
country; and it should be enough so that your children can be set up
for success in their future.
I encourage each and every one of my colleagues this week to study
this bill; to think about the constituents back home in their district;
and to ask themselves, what were we sent here to do; to help the well-
off and the well-connected, or to give voice to those who deserve to be
heard in this body?
I am honored to be a Representative from Nevada's Fourth
Congressional District; and I know my district is not exactly the same
as every other district, but I have rural parts and I have urban parts
of my district, covering 52,000 square miles.
The commonality in my district is that there are struggling people
throughout every corner of my district. And so when I vote this week in
favor of giving workers a raise, I will be voting to give a raise to
every single worker throughout Nevada's Fourth, and throughout this
great country.
I thank my colleague, the coanchor, Congresswoman Stacey Plaskett,
the
[[Page H5823]]
chairman of the House Education and Labor Committee, Mr. Scott, and
each and every one of my colleagues who have spoken here tonight.
I thank the Speaker for giving us this hour to bring about the issues
that are important.
I yield back the balance of my time.
Ms. JOHNSON of Texas. Mr. Speaker, I rise today to address the issue
of stagnant wages for African Americans and, as a result, the lack of
economic opportunities.
We have seen a recent epidemic of the working poor--hardworking
Americans who each day are forced to choose between food, shelter,
clothing or health care for themselves and their families. In the past
40 years, minimum wage increases have not kept pace with inflation,
causing millions of families to struggle with stagnant wages while the
cost of goods and services continue to rise. The current minimum wage
in my home state of Texas is only $7.25 an hour, and even lower for
workers in the service industry, who instead rely heavily on customer
tips for take-home pay.
The African American community, which makes up a significant portion
of the minimum-wage workforce, is disproportionately affected by lower
wages. According to the Economic Policy Institute, 38.1% of all black
workers would receive higher pay as a result of an increased wage,
therefore opening up new economic opportunities.
We must act quickly to ensure that any American willing to work 40
hours a week can afford basic necessities, that is why I am proud to
cosponsor H.R. 582, the Raise the Wage Act. This bill would lift
millions of Americans out of poverty by gradually increasing the
minimum wage over a period of five years to $15.
Mr. Speaker, the growing racial wealth gap in our country can no
longer go unnoticed. We now have an opportunity to take concrete steps
to help close the gap.
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