Obama Speech to Challenge Congress on Minimum Wage
Challenging lawmakers to help him create greater economic opportunity, President Barack Obama will use his State of the Union address Tuesday to announce he’s raising the minimum wage for new federal contract workers to $10.10 an hour, underscoring a go-it-alone strategy in an election year critical to Democrats’ hopes for gains in Congress.
Obama’s speech to a joint session of Congress will be wrapped in a unifying theme: The federal government can play a key role in increasing opportunities for Americans who have been left behind, unable to benefit from a recovering economy.
Yet the president will deliver a split message, pressing issues that will distinguish him and Democrats from Republicans, critical in a year of midterm elections.
Illustrating his willingness to act on his own, the White House says Obama will announce that he will sign an executive order increasing the minimum wage from $7.25 to $10.10 for new federal contracts. The measure affects only future contracts, not existing ones, and would only apply to contract renewals if other terms of the agreement changed. As a result, the order would benefit far fewer workers than the number foreseen by advocates of federal contract employees.
Still, the issue dovetails with what will be Obama’s broader call for an increase in the national minimum wage to $10.10 and for future increases to be tied to inflation. Obama last year had called for an increase in the minimum wage to $9.
Even as he argues that low income Americans and many in the middle class lack the means to achieve upward mobility, Obama will also feel compelled to take credit for an economy that by many indicators is gaining strength under his watch. As a result, he will talk positively about a recovery that remains elusive to many Americans.
Some Democrats are warning Obama to tread carefully.
"We hope that he does not dwell on the successes of the economy, which may be apparent in employment statistics, the GDP and stock market gains, but which are not felt by folks at the grocery store," Democratic political analysts James Carville and Stan Greenberg wrote in a recent strategy memo.
The president will present Congress with an agenda largely unchanged from what he called for a year ago, but one that nevertheless fits neatly into this year’s economic opportunity theme. He will continue to seek an overhaul of immigration laws, an increase in the minimum wage and expanded pre-school education.
But after a year in which those proposals languished and gun control failed, the White House is eager to avoid letting Obama be defined by quixotic ambitions. As a result, he will stress success through executive actions, though their reach would be far more modest than what he could achieve through legislation.
"Congress is slow to action and we’re not going to wait for that," White House chief of staff Denis McDonough said in an interview on "CBS This Morning." He told NBC’s "Today" show that Obama is not concerned about his public approval ratings as he enters the sixth year of his presidency: "The president doesn’t come down to work every day or go up to the residence every night worried about poll numbers."
Obama’s biggest and most lasting accomplishment of his second term could be immigration legislation. House Republican leaders lately have sent signals that they are willing to act on piecemeal legislation, and Obama has given them room to work without prodding.