Senate Democrats will no longer push through with plans to raise workers’ pay through tax penalties against corporations in the proposed $1.9-trillion stimulus, according to a report.
- Several lawmakers previously proposed that corporations that paid workers below a certain threshold be taxed in efforts to raise workers’ pay. This is seen by some to raise the federal minimum wage.
- The measure was championed by Senate Finance chair Ron Wyden and Senate Budget chair Bernie Sanders. It would have punished corporations that didn’t pay workers enough through various tax incentives. Among the penalties proposed were 5% levy on total payroll if any of their workers earned less than $15 per hour.
- The Senate parliamentarian earlier ruled that the proposed federal minimum hourly wage increase to $15 did not meet the requirements that Democrats must follow for the bill to be passed without Republic support.
- Democrats are pushing for the bill to be sent to President Joe Biden’s desk by March 14 when unemployment aid programs are scheduled to expire.
