There has been a lot of talk about raising the minimum wage. In California, the governor endorsed Assembly Bill 10. If passed, minimum wage will be raised to $10/hr by January 2016.
The bill is, of course, not without opposition. A study by the National Federation of Independent Businesses warns that the move could cost California nearly 70,000 jobs. Another criticism points out that raising minimum wage cuts off the first few rungs of the ladder, making it harder for many individuals to get jobs and start climbing. Many business owners have voiced their frustration and opposition to the bill because it moves the wage up too high and too quickly.
Yet, for those living on minimum wage, budgets are more than tight. Biking/walking to work, spending no more than $200 USD a month on all household necessities (food, toiletries, cleaning supplies, etc), and renting a room/living with roommates are a few suggestions Wikihow offers for minimum-wage earners, assuming they are single and working full time (http://www.wikihow.com/Live-on-Minimum-Wage). Hardship is especially apparent for families, where government assistance may become necessary to simply stay out of the poverty line. CPA Advisor points out that more than 90 percent of minimum wage workers in California are over the age of 20, and 25 percent of California children – nearly 2.4 million – live in a household with one minimum wage-earning parent.
“The minimum wage has not kept pace with rising costs,” said Governor Brown. “This legislation is overdue and will help families that are struggling in this harsh economy.”
With the support of Senate President pro Tempore Darrell Steinberg and Assembly Speaker John A. Pérez, the governor endorsed Assembly Bill 10. This bill will raise California’s minimum wage in two one-dollar increments, from $8 per hour currently to $9 per hour (effective July 1, 2014), and from $9 per hour to $10 per hour (effective January 1, 2016).
