Raising the Minimum Wage for Working Men and Women in California and the Rest of America

Big Business Hits Back on Minimum Wage

Big business is striking back hard against President Obama's efforts to raise the minimum wage, using a government report released just Tuesday that said the effort would both lift people out of poverty and spur job losses.

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The commercial opposing President Obama’s effort to hike the minimum wage touts the report by the Congressional Budget Office released Tuesday, saying “up to one million jobs will disappear” if the minimum wage increases.

The report said that gradually raising the federal minimum wage to $10.10 from $7.25 would boost the incomes of most low-wage workers and lift 900,000 out of poverty while resulting in job losses of around 500,000.

The commercial is sponsored by the Employment Policies Institute, a group backed by the restaurant industry and business groups. The ads will run nationally on Fox, as well on cable systems in the Washington, D.C., area, where they’ll appear on stations including CNN, a representative confirmed Friday. It will start airing on national television during the Sunday morning talk shows.

“This is intended to provide a clearer representation of how, when the minimum wage goes up, what some of the consequences are,” said group’s research director Michael Saltsman.

The group plans to spend between $500,000 and $1 million on an “educational campaign” on the minimum wage.
Who’s behind the ads is a bit of a mystery. But the group’s research director, Michael Saltsman, said the institute has ties to the restaurant industry and other business groups.

• Category: National • Tags: Jennifer Liberto