Senator: Should Hourly Minimum Wage Be $22? - Spokane, North Idaho News & Weather KHQ.com

Senator: Should Hourly Minimum Wage Be $22?

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KHQ.COM - What if U.S. workers were paid more as the nation's productivity increased?

If we had adopted that policy decades ago, the minimum wage would now be about $22 an hour, said Sen. Elizabeth Warren (D-Mass.) last week. Warren was speaking at a hearing held by the Senate's Committee on Health, Education, Labor and Pensions. You can see the video here.

Warren was talking to Arindrajit Dube, a University of Massachusetts Amherst professor who has studied the issue of minimum wage. "With a minimum wage of $7.25 an hour, what happened to the other $14.75?" she asked Dube. "It sure didn't go to the worker."

The $22 minimum wage Warren referred to came from a 2012 study from the Center for Economic and Policy Research. It said that the minimum wage would have hit $21.72 an hour last year if it had been tied to the increases seen in worker productivity since 1968. Even if the minimum wage got only one-fourth the pickup as the rate of productivity, it would now be $12.25 an hour instead of $7.25.

Some of the news media took this to mean that Warren is calling for a minimum-wage increase to $22 an hour. That doesn't appear to be the case. She seems to be merely pointing out that the minimum wage has grown more slowly than other facets of the economy.

Warren is taking some hits on Twitter for her comments. One user describes her as "clueless and out of touch" while another calls her "delusional." But other users are praising her arguments as "compelling," saying she is "asking the right questions regarding minimum wage."

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