Harold Meyerson: Eight Ways to Raise American’s Wages

Harold Meyerson

Harold Meyerson

Harold Meyerson has an important  long form article on American Prospect.  Here is a taste of “How to Raise Americans’ Wages: Eight proposals to jump-start the incomes of workers.”

The fist step is to identify the problem.  Meyerson writes:

As economists Robert Gordon and Ian Dew-Becker have established, the gains in workers’ productivity for the past three decades have gone entirely to the wealthiest 10 percent. The portion of the nation’s economy that went to workers’ pay and benefits—which had held remarkably steady from 1947 through 1973 at 66 percent or 67 percent—last year fell to a record low of 58 percent, while profits reached a postwar high.

Today, the drive to restore workers’ share has been narrowed down to the campaign to raise the minimum wage. That raise is long overdue. The real value of the federal minimum wage of $7.25 an hour is less than two-thirds of its level in 1968, which, in current dollars, would be $10.71. But even raising that wage wouldn’t do much for most workers; they make well more than the minimum, but their own wages have been stagnating or shrinking for decades as well.

What, then, do we do for American workers more generally? How do we raise their wages? How do we re-create a growing and vibrant middle class?

 

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