Labor spars with businesses over low wage worker bill

By Hugh McQuaid

HARTFORD, Conn. – Labor advocates and business associations disagreed Tuesday over a proposal to fine large employers if they do not pay their employees at a least a standard wage.

Progressive groups and labor advocates are billing the proposal as an effort to “hold large corporations accountable for low wages.”

The legislation would fine employers with more than 500 workers $1 per hour for any workers who are not being paid a standard wage in addition to health care benefits or a 30 percent pay differential. The standard wage is calculated by the federal government by geographic area and occupation.

While announcing the bill, advocates targeted employers who pay their workers low wages. They argue that by not paying their employees better and offering them adequate benefits, large companies are passing costs on to taxpayers who foot the bill when those low wage workers receive state assistance.

Under the bill businesses, would have the option of either raising wages or paying the fees to help offset what their employees cost the state in subsidies, Tom Swan, executive director of the Connecticut Citizens Action Group, said at a Tuesday press conference.

See the complete story at CT News Junkie.