WASHINGTON, DC — Senator Edward Kennedy (D-MA) is proposing that the U.S. Senate consider an increase in the minimum wage from $5.15 to $6.65 an hour, and would like a vote to be taken on his legislation (S. 2538, “Fair Minimum Wage Act of 2002”) before the August Congressional recess.

Senate Majority Leader Tom Daschle (D-SD) said that an increase in the minimum wage is long overdue, but Minority Leader Trent Lott (R-MS) stated that passage of an increase would happen only if amendments were added to include tax cuts aimed at helping small businesses cope with increased labor costs.

The proposed minimum wage increase would be phased in, going to $5.75 an hour beginning 60 days after enactment, to $6.25 an hour beginning January 1, 2003, and to $6.65 an hour beginning January 1, 2004.