Press Release :: 12-08-2004 Fairness Alliance Calls for $7.50 Minimum Wage

TRENTON-The Fairness Alliance today kicked off its campaign for a $7.50 minimum wage at a press conference in the State House where speakers from a cross-section of New Jersey life called for fast action.

In addition to raising the wage, the Fairness Alliance-made up of more than 100 organizations-called for locking in wage gains through automatic yearly increases pegged to the cost of living.

Charles Wowkanech, president of the New Jersey State AFL-CIO said, "It is unrealistic to think that our workers can provide for their families on a wage equal to what workers make in Arkansas or Oklahoma."

New Jersey's minimum wage, at $5.15 an hour, was last raised in 1999. In 1992 the state had the highest minimum wage in the country and the Fairness Alliance says New Jersey should once again set the standard.

"Raising the minimum wage to $7.50 will help close the gap between what a family earns and what they need to spend on housing costs."
-Arnold Cohen, Housing and Community Development Network of New Jersey

"Justice is served by increasing the state's minimum wage and indexing future increases to keep pace with the cost of living."
-Mike Allen, Catholic Charities

"The time for an increase in New Jersey's minimum wage is long past due."
-Ev Liebman, New Jersey Citizen Action

"Our members are working two and three jobs and still can't afford to pay for housing, health care and child care."
-Daryn Martin, ACORN

"There is no public decency in a society that allows fellow human beings to work full time in one or several jobs without being able to afford housing, food or healthcare."
-Mary Ellen Marino, Mercer Alliance to End Homelessness

"As benefit programs for low-wage workers are being limited, then wages must rise or people will face even more devastating poverty. "
-Rev. Bruce Davidson, Lutheran Office of Governmental Ministry in New Jersey

"If the minimum wage had risen at the same rate as CEO pay during the 1990s it would be $15 an hour. "
-Jon Shure, New Jersey Policy Perspective

The Fairness Alliance was formed in 2003 to push for what became the "millionaires' tax" to recapture the windfall from federal tax cuts that disproportionately benefit the rich.

Today about 75,000 workers in New Jersey are paid $5.15 an hour or less. Raising the minimum wage to $7.50 would directly benefit over 300,000 men and women, most of them in service-oriented jobs. Someone working 40 hours a week at the current minimum wage grosses $10,712 in a year, far less than what is needed to pay for basic necessities.

Today, New Jersey's minimum wage is the same as the five states with the nation's lowest cost of living: Texas, North Dakota, Tennessee, Oklahoma and Arkansas-though New Jersey's cost of living is a third higher than the national average.

On the other hand, 12 states have a minimum wage above $5.15. And more are coming. Earlier this week the New York State Senate overrode a gubernatorial veto, setting the stage for a minimum wage that will rise in steps to $7.15. On Election Day, Florida voters passed an increase to $6.15 by an overwhelming margin.

The State of Washington, at $7.16, has the highest minimum wage. On January 1, Oregon's wage will rise to $7.25 and Washington's will also increase based on inflation.

Fairness Alliance members expressed optimism about increasing the minimum wage and locking in future raises to reflect the cost of living. Acting Governor Codey has said he favors raising the wage. "This needs to be done sooner rather than later, " Shure said, "because the workers of this state have waited too long"