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Budget office: $15 wage would reduce poverty, increase debt

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WASHINGTON – Increasing the minimum wage to $15 an hour would reduce the number of Americans living in poverty and boost wages for millions of Americans while adding to the federal debt and joblessness, a new report from the Congressional Budget Office projects.

The federal deficit would increase by about $54 billion over 10 years under a Democratic proposal to gradually increase the federal minimum wage to $15, largely because the higher wages paid to workers, such as those caring for the elderly, would contribute to an increase in federal spending, the estimate found.

Democrats are pushing to include the higher minimum wage as part of their $1.9 trillion COVID-19 relief plan. House committees this week will begin crafting the legislation

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