U.S. minimum wage increase passed by Congress

May 26, 2007

An increase in the United States federal minimum wage was approved by Congress on Thursday as part of the military funding bill. President Bush is expected to sign the minimum wage increase proposal into law, as he supported it while it was in the legislative process.

The minimum wage raise was a campaign promise made by Democrats in the 2006 elections and is cited as one of the reasons the Democrats won control of Congress.

Any lower minimum wage levels previously set by U.S. state legislatures will be superseded by the new federal law that boosts the minimum wage from US$5.15 to $7.25 per hour.

The wage raise will happen gradually, being completed in two years. "Within 60 days, those who make $5.15 an hour will receive $5.85. Within a year, it will be $6.55. Within two years, it will be $7.25" according to Monique Newton of MyrtleBeachOnline.