A group of Democratic lawmakers in the United States have introduced new legislation that would gradually increase the federal minimum wage from $7.25 an hour to $25 over the next decade.
The proposal, called the Living Wage for All Act, would be the first federal minimum wage increase since 2009 if approved by Congress.
Under the plan, large employers with more than 500 workers would be required to raise wages in phases until reaching $25 an hour by 2031.
Small businesses will have until 2038 to fully comply with the changes.
The legislation would also tie future minimum wage increases to economy-wide wage increases, reducing the need for repeated Congressional action.
Supporters of the bill argue that current federal wages no longer reflect the rising cost of living in the United States.
They point to the rising costs of housing, food, health care and transportation as a major pressure on low-income workers.
Chuy Garcia, one of the bill’s sponsors, said working families face increasing financial stress while corporate profits soar.
However, critics warn that significant increases in labor costs could force some businesses to cut jobs, reduce hours or raise prices.
More than 30 US states already have minimum wages above the federal level.
