By Kyle Bailey
News Radio 1240 KQEN
January 14, 2015 11:00 a.m.
Governor Kate Brown has announced her plan to increase the minimum wage statewide.
A press release from the GovernorÕs office says the proposal was developed after conversations with stakeholders in both the public and private sectors. The press release says the input was essential in finding a path forward to a higher minimum wage. The plan will go in front of the Oregon State Legislature when lawmakers reconvene in February.
Governor Brown says the costs of essentials like food, child care, and rent are going up so fast that wages canÕt keep up. Brown said that many people working full time canÕt make ends meet and the governor said ÒthatÕs not rightÓ.
Recognizing that businesses need certainty and time to plan, the proposal calls for a two-tiered minimum wage that increases gradually over the next six years, starting in 2017. The plan will establish a higher minimum wage in the Portland area, where the economy is growing faster and has traditionally been stronger than the rest of the state.
Outside of the Portland Urban Growth Boundary, the minimum wage will be raised to $10.25 in 2017 and will increase to $13.50 by 2022.Ê Inside the Portland Urban Growth Boundary, the wage will be fifteen percent higher, increasing to $15.52 by 2022.
After 2022, the minimum wage will return to the current rate of increase which is tied to the consumer price index.