That means the bill will still have to come back to the House for a final vote after the Senate amends the legislation. However, House Speaker Nancy Pelosi (D-Calif.) kept the minimum wage hike in after progressives argued they had already compromised on other items they wanted in the COVID-19 relief bill.
Ultimately, the $1.9 trillion package has a number of provisions that progressives love. It would provide a round of $1,400 checks to most Americans. It extends and increases a federal boost to unemployment benefits by $400 a week ― up from $300 ― and provides that extra money until September. It increases the child tax credit to $3,000 for children ages 6 to 17 and raises it to $3,600 for children younger than 6. It also provides $1,400 checks per dependent.
On top of all those policies, there’s money for state and local governments ($350 billion), public schools ($128 billion), higher education ($39 billion), coronavirus testing and contact tracing ($46 billion), rental assistance ($25 billion), restaurants and bars ($25 billion), child care ($15 billion), vaccine distribution ($14 billion), pandemic supplies ($10 billion) and a host of other public health causes.
After passing five other COVID-19 relief bills under President Donald Trump on a bipartisan basis, Democrats went ahead with the partisan reconciliation process for their sixth bill. Republicans have previously stifled spending on a number of priorities, particularly state and local governments, and Democrats felt they needed a large enough economic response to bolster the economy and get Americans through the final months of the coronavirus pandemic as more people get vaccinated. That meant not trying to appease GOP demands and instead satiating their own caucus.
Though the removal of a $15 minimum wage will be a blow to progressives, the overall legislation should provide enough aid to keep them on board throughout the process ― even after the wage hike is stripped in the Senate.
However, progressives are exploring a number of options to keep the minimum wage increase in the bill. Senate Budget Chair Bernie Sanders (I-Vt.) and Senate Finance Chair Ron Wyden (D-Ore.) are exploring a system that would revoke certain tax benefits to corporations if they don’t meet those wage requirements, and House progressives are exploring ways to pressure their Senate colleagues to overrule the parliamentarian.
But without Manchin’s consent, it might be impossible to substantially increase the minimum wage. Other Democratic senators, including Kyrsten Sinema (D-Ariz.), have said they won’t get rid of the filibuster or undermine it by working around the parliamentarian’s rulings on reconciliation. And Congress is already pressed for time on this COVID-19 relief package. A number of provisions, such as the increased unemployment benefits, are due to run out in two weeks.
