in the State House of Representatives on February 25, 2020, by a vote of 100-49
. Purpose:To raise the state minimum wage from the current mark $10.96 to $12.55 by 2022, with increases tied to inflation afterward, overriding the Governor’s veto. The House would also need to override the Governor’s veto in order for the bill to become law. . Analysis: This version of S.23 would increase the minimum wage to $11.75 in 2021 and $12.55 in 2022. Each year afterwards, the minimum wage would be increased by the rate of the inflation, that is, “CPI.” The Consumer Price Index (CPI) level is calculated by the US Bureau of Labor and Statistics and is expected to be 2.4% per year in the near term. . Those voting YES believe the positive impact of raising the minimum wage (putting more money into some people’s pockets) will outweigh the negative impacts. . Those voting NO believe the negative impacts of increasing the minimum wage (eliminating some low-wage jobs, potential cutbacks in hours for low wage employees, the potential loss of benefits greater than wage increases for workers earning a higher wage, overall decline in economic activity, higher prices for goods and services particularly as they impact Vermonters living on fixed incomes, the impact on healthcare services funded through Medicaid, the impact on child care costs, financial burden on struggling small businesses, and the implications regarding the “benefits cliff”), outweigh the positive impacts.
. As Recorded in the House Journal, Tuesday, February 25, 2020:“Shall the bill pass the failure of the Governor to approve notwithstanding? was decided in the affirmative. Yeas, 100. Nays, 49.” (Read the Journal, p. 349-352.)