Friday, July 28, 2006

Republicans Bow to Pressure to Raise the MInimum Wage

It is pretty sad actually that Republicans must bow to pressure to do the right thing (House to Vote on Increase in Minimum Wage). But, as usual with the GOP whenever they look like they are going to be doing something for the good of the majority of the American people, there is a catch.

The Republicans will support an increase in the minimum wage if, and only if, there is also a huge tax cut for the uber-wealthy. The GOP is demanding a tax cut in the estate tax for the estates of multimillionaires.

So, as usual, they can't do the right thing without demanding to put us in more debt with more handouts to the richest 0.5% of the population. As it stands now, the last tax cut on estate taxes will cost the U.S. Treasury trillions of dollars over the next decade. There is nothing like cutting taxes during a time of war and when we have the highest debt in our nations history. Not only can't these guys think about our long term future. They can't think past next Tuesday.

Republicans tie minimum wage to tax cut
By ANDREW TAYLOR, Associated Press Writer

WASHINGTON - Republican leaders are willing to allow the first minimum wage increase in a decade but only if it's coupled with a cut in future inheritance taxes on multimillion-dollar estates, congressional aides said Friday.

A package GOP leaders planned to bring to a vote Friday or Saturday in the House also would renew several popular tax breaks, including a research and development credit for businesses, and deductions for college tuition and state sales taxes, said a spokesman for House Majority Leader John Boehner.

The wage would increase from $5.15 to $7.25 per hour, phased in over the next three years, said Kevin Madden, the aide to Boehner, an Ohio Republican.

The maneuver is aimed at defusing the wage hike as a campaign issue for Democrats while using its popularity to spur enactment of the Republican Party's long-sought goal of permanently cutting taxes on millionaires' estates.

(Full Story)

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