NJ Democratic Candidate Supports Bill that Study Claims Could Eliminate 5 Million Jobs Across the Country, 60K in NJ

NJ Democratic Candidate Supports Bill that Study Claims Could Eliminate 5 Million Jobs Across the Country, 60K in NJ

Democrat Candidate Backs Controversial Minimum Wage Bill

Rebecca Bennett, a Democratic candidate for Congress in New Jersey’s 7th District, is supporting a bill that, according to a study, could eliminate 60,000 jobs in New Jersey and 5 million across the country.

Bennett is on board with a proposal for a $25 per hour minimum wage. The legislation, known as the Living Wage For All Act, aims to gradually increase the wage from the current $7.25 to $12.00 in the first year, ultimately reaching $25 within a few years. This plan would also phase out the lower wage structure for tipped workers.

In June, Senator Chris Murphy introduced this legislation in the Senate.

Interestingly, many states already have a minimum wage higher than the federal standard, with several set at $15 or more. Bennett expresses a desire to see the federal base wage climb to $25 per hour.

However, a recent study by the Employment Policies Institute warns that implementing this proposal could result in the loss of 5 million jobs in five years. The research indicates that young workers, particularly those under 25, would be disproportionately affected, accounting for over half of the job losses.

The study outlines significant impacts on the restaurant sector as well:

  • Fifty-two percent of job losses (-2.65 million jobs) would occur among workers under 25, with nearly 1.85 million losses affecting teenagers alone;
  • More than one-third (-1.74 million jobs) would be in the restaurant industry, which heavily employs minimum wage workers;
  • Over 500,000 jobs would disappear in supermarkets (-204,495 jobs), elementary and high schools (-159,189 jobs), and construction (-146,056 jobs);
  • Nearly a quarter of job losses would affect tipped workers (-1.22 million jobs) due to changes in the tip credit;
  • Approximately sixty percent (-3 million) of job losses would be among women.

The study further estimates that Texas could lose about 831,289 jobs if the minimum wage were raised to $25. Pennsylvania could see a drop of 295,473 jobs, with Georgia and North Carolina also facing significant losses. Despite these potential outcomes, Democrats are still in favor of the bill.

Representative Mejia from New Jersey commented:

“Working families are paying more for just about everything. Inflation is at a three-year high, and the costs of housing, groceries, and everyday essentials continue to rise. Yet, the federal minimum wage has stayed unchanged since 2009. That is simply unacceptable. If someone works full time, they should be able to live with dignity.”

“We need an economy that reflects today’s reality, not one stuck nearly two decades in the past. I was proud to fight for New Jersey’s minimum wage to reach $15 an hour and to push for the federal minimum wage to increase to $25 an hour. The Living Wage for All Act can truly change lives for millions of workers. It’s time to create an economy that serves everyone, not just billionaires.”

New Jersey itself could face 58,925 job losses if the bill passes. This isn’t the first time Bennett has found herself at odds with the interests of New Jersey workers; she previously opposed a bill that would have eliminated taxes on tips and provided tax relief for seniors, labeling it as benefitting the wealthy while disregarding its advantages for the middle class.

In a statement, national Republican congressional committee spokeswoman Maureen O’Toole remarked, “Radical Democrat Rebecca Bennett’s plan for New Jersey is troublesome: supporting her means risking nearly 60,000 jobs and opposing policies that could put more money in workers’ pockets. Bennett may claim to stand with New Jersey families, but voters will evaluate her economy-damaging agenda.”

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