A new bombshell report highlights just how dangerous Barack Obama’s plans to greatly increase the national minimum wage are. The president has been promoting a 40 percent minimum wage hike to $10.10 per hour, but the nonpartisan Congressional Budget Office revealed that this will cost the U.S. over 500,000 jobs by the second half of 2016. While it would pull 900,000 people over the federal poverty line, the majority of these people would still be struggling immensely. However, Obama seems to not be concerned and signed an executive order for this minimum wage last week.
Out of 500,000 jobs that will be cut, it is likely that young people will be affected the most. Low-skill jobs typically given to people new in the workforce are almost guaranteed to be the first positions removed across the country. “Nearly 60 percent of the working-age poor don’t have a job and wouldn’t be affected by a raise,” said Michael Saltsman, research director for the Employment Policies Institute. “[It’s] a blunt instrument to fix the very complicated issue of poverty in America.
The Congressional Budget Office also wrote last week that the Affordable Care Act will remove an additional 2.5 million jobs by the year 2024. However, Obama remained unwavering with his plans as he addressed Americans last weekend in a radio speech. The president declared that “raising the minimum wage…would lift wages for about 28 million Americans. It would lift millions of Americans out of poverty and help millions more work their way out of poverty, without requiring a single dollar in new taxes or spending.”