ECONOMY & WORK
MONEY 101
NEWS
PERSONAL FINANCE
NET WORTH
About Us Contact Us Privacy Policy Terms of Use DMCA Opt-out of personalized ads
© Copyright 2023 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.
MARKETREALIST.COM / ECONOMY & WORK

Tennessee Minimum Wage Could Rise To An Unprecedented $20: All You Need To Know

The new bill could raise the minimum wage from $7.25 an hour to an $20, the highest in the country.
PUBLISHED FEB 23, 2024
Cover Image Source: Getty Images | Photo by Ian Waldie
Cover Image Source: Getty Images | Photo by Ian Waldie

The state of Tennessee could see its minimum wage rise from $7.25 an hour to an unprecedented $20 if a new bill passes in the General Assembly. The bill spearheaded by Tennessee Representative Gloria Johnson and Tennessee Senator Sara Kyle aims to potentially transform the economic landscape for countless individuals in the state and it is making its way through the tedious legislative process. Far from just a policy amendment, the bold endeavor is likely to struggle to meet its desired outcome.



 

The bill, HB 2602/SB 2646, was introduced by Johnson, D-Knoxville, and Senator Sara Kyle, D-Memphis on January 31 in the state senate. “As introduced, increases the hourly minimum wage to $20.00, or the federal minimum wage established under the Fair Labor Standards Act of 1938, whichever rate is greater,” the bill reads.

The state of Tennessee is currently one of 20 states that have a minimum wage set at the federal minimum, as per the U.S. Department of Labor. On the contrary, the state of Washington currently has the highest minimum wage of $16.28 which is significantly more than that of Tennessee.

“We are behind,” Johnson said during a press conference according to a WSMV report. “People are struggling to keep the lights on and keep food on the table. Other states that have raised the wage are doing well with it,” Johnson added. If the bill passes, Tennessee will by far have the highest minimum wage in the US.

Upon its introduction, the bill has been assigned to committees and subcommittees for discussion in the House and Senate. However, Johnson has called on residents of Tennesseans to join the cause and sign onto the bill as a citizen endorser.



 

The debate around the bill is multifaceted, BNN Breaking noted. Supporters of the bill argue that such a significant jump could help reduce levels of poverty, decrease employee turnover, and stimulate local economies.

However, the critics of the bill have raised concerns over companies not complying with the change and the potential job losses. Further, the increased operational costs will impact small businesses, and have broader economic repercussions as well.

Further, the viability of a one-size-fits-all solution has been questioned for the state which is known for its diverse economic landscape, ranging between cities like Nashville to rural areas with different financial dynamics.

The legislative process for the bill will be a marathon rather than a sprint. So far, the bill has successfully navigated through the initial hurdles as it passed through the first and second considerations in the Senate. The bill now faces its critical examination by the Senate Commerce and Labor Committee.

Representative Johnson, who is running for US Senate, has stated that she will be pushing for a $20 minimum wage on the national level if she is elected.



 

However, Johnson has also mentioned that the bill will not likely pass due to opposition from the Republican supermajority, according to the WSMV report. Johnson has argued that a significant minimum wage change is needed because in the state the current minimum wage is not a liveable wage for the people.

Furthermore, a statement from the campaign manager for republican Sen. Marsha Blackburn called Johnson a woke representative who is trying to “out-liberal” Joe Biden’s minimum wage executive order.

MORE ON MARKET REALIST
The matter of healthcare has become a part of the wider affordability issue Americans face today.
21 hours ago
This was perhaps one of the rarest instances in the show's long and storied history.
21 hours ago
While share prices are down, there are a lot of things that one needs to consider before investing
1 day ago
Ray had given his twin a piece of advice, but he emphasized the importance of having fun on the show.
1 day ago
The contestants did not let the host off the hook easily, and Harvey was not too comfortable.
1 day ago
This is not a good look for the supermarket chain as infants' lives are at stake.
1 day ago
The protestors have voiced their concerns over the companies bowing down to the President's demands.
2 days ago
Albert Edwards has warned that there are some key elements which will make the fallout worse.
2 days ago
Recent reports suggest that while Walmart's sales have grown the last quarter, Target's are down.
2 days ago
The question might have been risky but everyone on the set seemed to have a great time with it.
4 days ago
Bonus Round winners are becoming few and far in between of late on the show.
4 days ago
The supermarket chain has never opened its doors on the festive day in the last five years.
4 days ago
This item was a favorite among shoppers, who were not happy when it was taken off the shelves
5 days ago
Reports suggest that the average price of a classic Thanksgiving meal has dropped considerably.
5 days ago
The government shutdown saw employment data being withheld, which is not an ideal situation.
5 days ago
The President does however have the people's confidence in issues such as immigration.
5 days ago
It was obviously a mistake without any malicious intent, and no one was slammed.
5 days ago
There are several other items on sale but these deals are a cut above the rest.
6 days ago
Despite an increase in supply, all is not well for people who seek affordable housing.
6 days ago