A new report issued by the Hamilton Project of the Brookings Institution estimates that a boost in the minimum wage could affect up to 35 million workers in the United States. Using data from the Bureau of Labor Statistics, the report quantifies the number of workers affected by the “ripple effect” of a minimum wage increase. The authors argues that a “ripple effect” from an increase in the federal minimum wage could precipitate an increase in wages among those making up to 150% of minimum wage, affecting up to 29.4% of the total workforce.
In 2012, 32 states complied with the federal minimum wage of $7.25 per hour. In these states, 3.7 million workers made exactly the minimum wage, while an additional 15.2 million workers up to 150% of the minimum wage. In the remaining 18 states and the District of Columbia, the minimum wage was set higher than the federal wage. In those states, 3.9 million workers earned their state’s minimum wage and 12.1 million up to 150% of minimum wage.
The report is available on the Brookings website: http://bit.ly/1dfjckw