Republicans are warning Democrats not to tamper with Senate-passed minimum wage legislation, saying the bill's mix of $8.3 billion in tax breaks and a $2.10 an hour wage hike offers the right economic and political balance. The Senate, in a 94-3 vote Thursday, passed an increase in the minimum wage from $5.15 to $7.25 an hour over two years. The bill also would extend small business tax cuts, close off some corporate tax loopholes and rein in executive compensation. Labor leaders and many Democrats, however, would like to strip the tax provisions from the bill and only send the minimum wage increase to President Bush for his signature. A House version, passed last month, contains no tax measures.
See "Minimum Wage Bill Heads to Negotiations", Associated Press, The New York Times, February 1, 2007