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Washington (AP) - According to an analysis by the independent budget office of the US Congress, President Joe Biden's aim to double the minimum wage would destroy hundreds of thousands of jobs.
If the national minimum wage were to increase gradually to $ 15 per hour by 2025, as proposed, 1.4 million jobs would be lost, according to the analysis published on Monday.
At the same time, the number of people living in poverty in the US would decrease by 900,000.
The national minimum wage in the United States is currently $ 7.25.
There are also higher limits in some states.
The economically strong New York, for example, has already decided to gradually increase the minimum wage to $ 15.
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According to a bill, the Democrats want to gradually raise the nationwide minimum wage to $ 15 by 2025, followed by increases based on the average wage development of all workers.
But the Democrats would also need the support of several Republicans in the Senate for a pass, which seems unlikely.
The CBO said the proposed increase in the national minimum wage would increase the US budget deficit by a total of $ 54 billion by 2031 - a small amount relative to the annual budget of more than $ 4 trillion.
Biden is committed to increasing the minimum wage.
His spokeswoman Jen Psaki said Monday that the president is working to ensure that people who work full-time in America do not have to live in poverty.
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© dpa-infocom, dpa: 210208-99-355674 / 2
New York State Minimum Wage, English
Congressional Budget Office Analysis, English