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It's the latest of several national strikes over the past year and a half against policies that one union leader said will heighten "inequality" and "poverty."
Much of Belgium ground to a halt on Tuesday as tens of thousands of workers flooded the streets of Brussels as part of a general strike against government austerity measures.
Schools closed, public transit operated with reduced service, and flights out of major airports were grounded as workers walked off the job. Instead, they marched through the capital clad in red and green, the colors of Belgium's major labor unions, with some carrying signs that read, "Hands off our pensions" and "We will not pay the price of their wars."
According to Morning Star, as many as 100,000 people took part in the strike, which was called by the nation's three biggest trade unions in protest of measures by Prime Minister Bart De Wever's government that the unions say slash pensions, reduce wages, and attack collective bargaining.
The marchers called on the government to roll back plans to raise Belgium's retirement age to 67 and have called for an end to what the unions have dubbed a “pension penalty” that would cut benefits for those who retire early.
Amid rising costs caused by the US-Israeli war against Iran, the unions are also outraged by a proposed temporary cap on wage indexation, which requires wages to rise in tandem with inflation.
It's part of a broader trend of the government loosening labor rules for employers, which unions say has led to longer, more irregular hours and diminished employees' work-life balance.
"People will have less money left over and will still have to work more flexibly and longer," said Ann Vermorgen, the chair of the Confederation of Christian Trade Unions. "Even the Planning Bureau says that the reform will promote inequality and that poverty will emerge.”
Tuesday's general strike was just the latest over the past year and a half, as the unions have refused to let up on their push to reverse De Wever's agenda.
Gert Truyens, the chair of the General Confederation of Liberal Trade Unions of Belgium (ACLVB), said that with the pension penalty and the other labor proposals, the government was displaying “total disregard” for social dialogue by “unilaterally imposing things without discussing them with the trade unions and employers.”
Vornado CEO Steven Roth was particularly upset by New York City Mayor Zohran Mamdani's proposed tax on second homes in the city that are valued at $5 million or more.
A real estate investment tycoon on Tuesday said that calls to raise taxes on the wealthiest Americans were akin to "racial slurs."
As reported by The New York Times, Vornado Realty Trust CEO Steven Roth took time during his company's latest earnings call to decry calls from politicians such as New York City Mayor Zohran Mamdani to fund public programs by taxing the rich.
“I must say that I consider the phrase ‘tax the rich’... when spit out with anger and contempt by politicians both here and across the country, to be just as hateful as some disgusting racial slurs," said Roth.
Roth took aim at Mamdani for celebrating a proposed pied-à-terre tax on luxury properties worth more than $5 million whose owners have other primary homes, and was particularly upset that the mayor filmed a video announcing the tax outside a $238 million penthouse owned by Ken Griffin, the CEO of the hedge fund Citadel. He called the announcement “dangerous" and an “ugly, unnecessary video stunt.”
The Vornado CEO went on to say that America's wealthiest individuals deserve the nation's gratitude, not their scorn.
"The rich, whom the politicians are targeting... are the epitome of the American dream,” he said. “They are at the top of the great American economic pyramid for a reason. They should be praised and thanked."
Roth's remarks drew criticism from Douglas Farrar, former director of the Office of Public Affairs at the Federal Trade Commission under President Joe Biden.
"A billionaire real estate CEO compared being asked to pay taxes to a racial slur, then said the top 1% should be 'praised and thanked,'" Farrar wrote in a social media post. "There was a time when the wealthy had the good sense to be quiet about it. Now they demand gratitude on earnings calls."
Activist and healthcare advocate Melanie D'Arrigo noted that Roth build developments in the city after intentionally allowing properties to sit in a state of blight for years, which "gutted Black and brown neighborhoods in exchange for billions in tax breaks."
Roth's lamentations about the treatment of the wealthy in the US came as human resources and software services company Dayforce teamed with the Living Wage Institute to release a new study showing that the percentage of Americans earning a living wage has significantly declined over the last five years, from 55.8% in 2021 to 50.7% in 2025.
The report notes that "job growth has recently slowed, and millions of workers haven’t seen a meaningful improvement in their financial situation," even as "the costs of housing, food, childcare, and other essentials are elevated, energy prices have spiked, and affordability continues to be a major issue for a significant share of the workforce."
The data in the report all came from 2025, before President Donald Trump launched his illegal war with Iran that has sent gas prices soaring above $4.50 per gallon and is threatening to unleash a global food crisis.
US consumer sentiment as measured by the University of Michigan hit a record low last month, and the university found that the effects of the Iran war were the primary drivers of Americans' economic pessimism.
"We need an economy that reflects the realities of 2026, not one stuck over a decade ago," said the newly sworn-in Rep. Analilia Mejía, who helped lead the campaign to raise wages in her home state of New Jersey.
A pair of progressive Democrats unveiled a bill on Tuesday that would raise the federal minimum wage to $25 per hour, considered the bare minimum a single adult needs to meet the cost of living in much of the US.
The Living Wage For All Act is the first bill to be introduced by the newly sworn-in Rep. Analilia Mejía (D-NJ), who won a special election earlier this month after helping to lead the fight for a $15 minimum wage in her home state of New Jersey.
Citing data from MIT's Living Wage Calculator, the Living Wage For All campaign backing the legislation argues that $25/hour is needed for a single adult in most parts of the country to afford basic necessities like housing, food, and healthcare.
As the cost of living has skyrocketed over the past decade and a half, the federal minimum wage has remained frozen at $7.25 and hour since 2009.
"This is unacceptable," Mejía said. "We need an economy that reflects the realities of 2026, not one stuck over a decade ago."
The bill is cosponsored by Rep. Delia Ramirez (D-Ill.), the daughter of Guatemalan immigrants who, she said, worked multiple minimum-wage jobs just to get by.
“I remember being in the fourth grade, and my mom talked about her job, and she was getting paid $4.75 an hour,” the 42-year-old congresswoman said during a press conference on Capitol Hill Tuesday. “Yet the federal minimum wage is barely $7.25, many years later.”
"Today, as we think about companies reporting record high earnings, working people are still struggling to survive," she said. "People are working full-time jobs and still cannot afford to live."
A USA TODAY survey from January found that around 40% of workers say their paychecks have not grown enough to meet the rising cost of living, which has been further exacerbated by spiking inflation caused by President Donald Trump's erratic tariff regime and war in Iran. Another survey conducted by Resume Now in April found that about half of workers fear their wages will never catch up to the cost of living.
While some states and cities have gradually raised their minimum wages above the federal level and have seen modest declines in poverty as a result, none have been raised to the point of being considered a living wage.
The bill introduced by Mejía and Ramirez would similarly phase in its increase to the federal minimum wage over more than a decade, with larger employers leading the transition.
Companies with more than $1 billion gross revenue or more than 500 employees would be scheduled to increase their minimum pay to $25/hour by 2031, while smaller employers would be on a longer timeline to reach $25/hour by 2038.
To ensure wages don’t lag again in the following years, the bill also requires the minimum wage to automatically grow each year to reach the equivalent of two-thirds the national median hourly wage. It also eliminates the subminimum wage, which is paid to tipped workers, youth workers, and workers with disabilities.
The bill is almost certainly dead on arrival in a Republican-controlled Congress. Even if Democrats retake both chambers come November, it would likely face an uphill battle to pass.
In 2021, the last time Democrats had a governing trifecta, eight centrist members of the Democratic caucus killed an amendment by Sen. Bernie Sanders (I-Vt.) to include a $15/hour minimum wage in then-President Joe Biden's post-Covid budget reconciliation package, the American Rescue Plan.
But as Democrats seek to address rising fears about America's "affordability" crisis, Saru Jayaraman, the president of One Fair Wage, said politics are starting "to catch up to reality."
"Across the country—from California to the Midwest to the East Coast—workers are organizing for $25 and $30 because that is what it takes to live," she said. "The polling shows this is not just popular, it is necessary."
“We cannot talk about affordability without talking about what people are paid,” added Stuart Appelbaum, the president of the Retail, Wholesale, and Department Store Union.
More than 20 Democrats have signed onto the bill as cosponsors, including Congressional Progressive Caucus Chair Greg Casar (D-Texas) and Rep. Ro Khanna (D-Calif.).
The effort is being spearheaded by the Living Wage For All Coalition, a national collective of labor unions, civil rights groups, and other economic justice organizations that are simultaneously pushing legislation to adopt a living wage in states like New York, Illinois, and Maryland, and municipalities such as Los Angeles and Washington, DC.
April Verrett, the international president of the Service Employees International Union, which has more than 2 million members across North America, said that “the introduction of the Living Wage for All Act is a powerful testament to the worker-led movement that is forcing a new baseline for livable wages.”
Until left Democrats are willing and able to support meaningful job guarantees, they have little chance of reaching the working people they have lost over the past 40 years of wholesale job destruction.
Centrist Democrats argue that the party should not “go so far left in a primary that they can’t win against MAGA in the general.” As the Center for Working Class Politics observes, these “Third Way” Democrats stress “affordability” and “abundance” without taking on the billionaire class. Progressive Democrats, including groups like the Democratic Socialists of America and Working Families Party, are seen as just too radical to attract working-class voters.
I disagree. I think the problem is that Democrats, even progressive Democrats, are not radical enough.
We have only to look at former President Franklin D.. Roosevelt’s 1941 “Four Freedoms” State of the Union address to be reminded of what our politics could be and should be. The “Four Freedoms” (of speech and religion, from want and fear) are properly the best remembered parts of the address. But just before these “four essential human freedoms,” Roosevelt listed “the simple, basic things that must never be lost sight of in the turmoil and complexity of our modern world.” They are:
What did he want? He thought we “should bring more citizens under the coverage of old-age pensions and unemployment insurance,” which (thankfully!) has been done, although the support should be increased.
He believed we should “widen the opportunities for adequate medical care,” which has been done in part, with much more to do.
And he called for the nation to “plan a better system by which persons deserving or needing gainful employment may obtain it,” which we have pretty much stopped talking about altogether, except to mouth empty phrases about economic growth and job creation.
And this is where, in particular, progressive Democrats are not radical enough, at least not for the thousands of workers I have talked to, worked with, and taught. The economic plans offered by the Democratic Party, even those from left Democrats, fail to offer “a better system by which persons deserving or needing gainful employment may obtain it.” And until they do, Democrats will continue to lose traction with working people, who live with job fear each and every day.
The government guarantees everyone with money to spare a safe place to put it to earn a fair market rate of return. It is called a US Treasury bond. Why doesn’t the government also guarantee everyone with labor to spare—everyone who wants to work but can’t find a job—with a place to work at a fair market rate?
There are no voices, except for Sen. Bernie Sanders (I-Vt.), who proclaim loudly and clearly that all working people should be guaranteed a job at a living wage. Why not? Members of the moneyed class are able to protect themselves from financial risk by easily diversifying their investments. But the working class’ most critical investment—their job—is always at risk.
The jobs of working people are increasingly precarious as corporations lay off workers whenever they please, whether for good reasons, bad reasons, or no reasons at all. Today we see millions of layoffs taking place to finance mergers (watch out Hollywood!), leveraged buyouts, and stock buybacks to enrich the richest of the rich. And who knows what AI holds in store?
The millions of workers in rural America who have suffered one mass layoff after another need the power that comes from employment security—jobs that don’t just depend on the profit-maximization strategies of corporate America.
A government-backed guarantee of a job at a living wage would end the wholesale immiseration of families and communities hit by mass layoffs. It would end the kind of job blackmail that makes it difficult for workers to form unions to seek higher wages and better working conditions. This is what counterbalancing corporate power really looks like!
How would it work? Corporations would remain free to reduce their workforces. But every laid-off worker who wants to keep working would be able immediately to find equally remunerative work nearby in the public sector if private sector jobs are not available.
Also, just as employers are able to lay off anyone for business reasons, workers would be free to quit any job they no longer want and easily find another. This kind of “employment assurance” is the worker equivalent of the portfolio diversification and hedging that the wealthy use to protect and enhance their wealth. (And as we all know, when this financial system crashes, the federal government always protects the assets of the wealthy, but not the jobs of working people.)
Is there sufficient public sector work to support such a program? Of course there is, especially if the country commits to rebuilding its physical and human infrastructure. Surely every municipality and state agency needs more workers right now to meet their current goals, let alone new ones to enhance the public’s interests. There’s no shortage of public goods that need to be produced.
Could we afford it? Yes, it would be costly. But the money would be well spent to build better communities. Just ask any group of workers what their communities need, and they will quickly rattle off how to improve them.
And if we all share the costs in proportion to our wealth, we can certainly afford it. Warren Buffett’s tax rate should not be lower than his secretary’s! A small tax on the trade of stocks, bonds, and derivatives might even cover it.
Funding and practicality are not the only things holding progressive Democrats back. I worry that power of capital has, if just unconsciously, narrowed their vision. Too many Democrats of all stripes seem to believe that corporate control over employment is an unalterable fact of economic life. Therefore, they don’t go for the jugular—employment guarantees.
The millions of workers in rural America who have suffered one mass layoff after another need the power that comes from employment security—jobs that don’t just depend on the profit-maximization strategies of corporate America.
Until left Democrats are willing and able to support meaningful job guarantees, they have little chance of reaching the working people they have lost over the past 40 years of wholesale job destruction. Massaging the messages is no match for saying loudly and clearly that if you want to work, there is an acceptable job waiting for you.
Many left Democrats believe that we need to shift from a profit-first to a people-first economy. All to the good. But that has little meaning unless working people are assured of a decent paying job if they are looking for work. And also, able to leave a bad job without suffering economic annihilation!
It’s time for the left to become economic radicals again!
(Many thanks to labor historian Mike Merrill for his assistance on this piece.)
The labor that sustains human life gets pushed to the margins, while the labor that scales software gets paraded on magazine covers.
A few days ago, I stared at a federal bar chart on my laptop and felt my stomach drop. I started asking people a party-trick question: What’s the biggest occupation in America? Almost everyone guessed something visible: teachers, retail, fast food, office work. That’s what our culture trains us to notice.
Then I pulled up the Bureau of Labor Statistics’ (BLS) “largest occupations” data, and the answer was sitting there in plain English: Home Health and Personal Care Aides, 3,988,140 people.
I’m not reading that as an abstract statistic but something I see daily through my work in running CareYaya, a social enterprise that helps families find affordable in-home care support. I hear the voices behind those numbers every day: the exhausted daughter trying to keep her job, the older man determined to stay in his own house, the care aide who shows up anyway even when her own life is fraying.
What hit me wasn’t just the size of the workforce, but the silence with which society treats caregivers.
Care work sits at the intersection of everything America avoids looking at directly: aging, disability, dependence, death, and the truth that every “independent” adult is one accident, cancer, or dementia diagnosis away from needing help.
In a country that can’t stop talking about “the economy,” I rarely see the economy described the way it actually functions at street level. I see caregivers keeping older adults safe so that family members can work, so the bills get paid, so other industries keep humming. I see care work acting like the hidden scaffolding under everything else.
And, I see how quickly that scaffolding gets treated as disposable labor.
When I talk to families, they often whisper about their difficulties getting care support almost like they’re confessing a moral failure. “We’re trying,” they tell me, as if the need for help is some private weakness instead of a predictable part of aging or serious illness. When I talk to care aides, they talk about the stress from the care work. They talk about rushing between clients. They talk about loving the work and sometimes still not being able to make rent.
PHI’s snapshot of the direct care workforce puts numbers to what I keep hearing, that median annual earnings for direct care workers were just $25,015. I read that figure and think about what it really means in 2026 America: The largest job category in the nation is, effectively, a low-wage backbone.
I also think about who gets stuck holding the bag. Care work is still treated as “women’s work” in the cultural imagination, and that bias leaks into policy, pay, and prestige. I watch the same pattern repeat: The labor that sustains human life gets pushed to the margins, while the labor that scales software gets paraded on magazine covers.
What makes me angrier is that this isn’t a small sector we can ignore until later. The BLS projects 17% growth from 2024 to 2034 for home health and personal care aides, with about 765,800 openings each year on average. This is not a “future” problem but rather a present problem that is going to grow much worse, faster.
And yet I keep watching public conversations drift toward fantasy. I hear endless speculation about AI replacing workers, while the largest workforce in America can’t even get a stable ladder, a living wage, or basic respect. I hear investors pitch “aging tech” like it’s a consumer gadget category, while the core issue is whether a real human being can afford to do this work and stay in it.
I don’t think this is an accident, but rather, a choice embedded in our system.
Care work sits at the intersection of everything America avoids looking at directly: aging, disability, dependence, death, and the truth that every “independent” adult is one accident, cancer, or dementia diagnosis away from needing help. So we do what societies often do with uncomfortable truths. We outsource them, we underpay them, and we call them “personal responsibility.”
Even the funding structure says it all. Medicaid is the main payer of long-term services and supports in the US, and a recent Centers for Medicaid and Medicare Services brief says so plainly: “Medicaid is the largest payer for long-term services and supports (LTSS) in the United States.” I read that line and think about the whiplash families face when they confront a vast public health need paired with political rhetoric that treats caregivers and recipients like line items to be squeezed.
So when I’m asked what to do, I start with a moral stance and then I get practical.
I want a country that pays the people who keep elders safe, like they truly matter. I want Medicaid rates and payment models that stop forcing providers into churn, and stop forcing workers into poverty. I want training and advancement pathways for care workers, and I want the caregiving workforce to have real power: bargaining power, scheduling power, and dignity at work.
I also want us to stop acting surprised when the care workforce pipeline breaks. If the biggest job in America is care, then the “care crisis” isn’t a niche issue, but a core labor rights issue; a public investment issue; and an economic issue that’s as critical as housing, wages, and healthcare.
When I look back at that BLS bar chart, I don’t see a pop-quiz type question anymore. I see millions of workers holding up millions of families. I see the work that makes the rest of American life possible.
And I can’t unsee the insult of how little we talk about it.
If I want anything from readers, it’s this: I want you to say the name of the job out loud, and then demand that we build an economy that treats it as essential, because it is.
"Don't tell me you can't provide a good nurse-staff ratio when you're paying your CEO at New York Presbyterian $26 million a year, the CEO at Montefiore $16 million a year, Mount Sinai $5 million a year," said Sen. Bernie Sanders.
As the largest nurses strike in the history of New York City marched into its second week with no resolution in sight, US Sen. Bernie Sanders (I-Vt.) and Mayor Zohran Mamdani joined hundreds of picketers in the bitter cold on Tuesday to support their fight for better pay and workplace protections.
Last week, the New York State Nurses Association (NYSNA) announced that nearly 15,000 NewYork-Presbyterian, Mount Sinai, and Montefiore hospital employees had "no choice" but to go on strike after the hospitals failed to meet their demands for safe staffing, workplace violence protections, safeguards against the use of artificial intelligence in healthcare, and to maintain 100% of their healthcare benefits.
Outside Mount Sinai West on 10th Avenue, Mamdani, attending his second picket, called for a "swift and urgent resolution" to the workers' demands after negotiations with the hospitals stalled last week and the chains began hiring replacement workers.
"This is about safe working conditions. This is about a fair contract. This is about dignity. And today is day nine—day nine—of those demands, and I want you to know that wherever I go in New York City, I hear about the plight of our nurses," the democratic socialist mayor said. "Now is your time of need, where we can ensure that this is a city that you don't just work in but a city that you can also live in."
In comments to CBS News New York, the hospital chains have scoffed at the NYSNA's demands for a 25% pay increase, especially in the wake of massive healthcare funding cuts from President Donald Trump's One Big Beautiful Bill Act last year.
A spokesperson for NewYork-Presbyterian said its nurses—who it said earn $163,000 on average—are among the highest-paid in the city, calling demands for a pay increase "unrealistic." A Montefiore spokesperson told the network that progress on negotiations will be impossible until the nurses "back away from their reckless and dangerous $3.6 billion demands."
But New York is also one of the most expensive cities in the world to live in. According to the Massachusetts Institute of Technology’s Living Wage calculator, the nurses' wages are often barely enough to meet a family's basic needs, especially for single parents with children.
NYSNA, meanwhile, has said management "is threatening to discontinue or radically cut nurses’ health benefits" and has done nothing to combat severe understaffing.
"We’re talking an emergency room filled to the brink,” said one of the strikers, staff nurse Morgan Betancourt. “Ninety patients, and we have maybe nine nurses.”
On Tuesday, Sanders (I-Vt.) emphasized that the hospitals' sudden frugality has been of little concern when it comes to compensating hospital executives.
"Don't tell me you can't provide a good nurse-staff ratio when you're paying your CEO at NewYork Presbyterian $26 million a year, the CEO at Montefiore $16 million a year, Mount Sinai $5 million a year," Sanders shouted to applause from the strikers. "Don't tell me you can't treat nurses with dignity when you're spending hundreds of millions of dollars on traveling nurses."
According to the Greater New York Hospital Association, the three hospitals combined had spent approximately $100 million to pay temporary nurses as of the fourth day of the strike. Temporary staffing agencies have required hospitals to pay scabs two to three times as much as they'd pay their regular nurses, Bloomberg reported.
Negotiations remain at a total standstill after breaking down last week. While the hospitals claim the union refused to budge on unreasonable demands, Jonathan Hunter, a negotiator for Mount Sinai nurses, told Spectrum News NY1, "They basically stonewalled us, presented us with nothing, and we left with nothing."
The strike has left the hospital system in a state of upheaval, forcing some patients to be moved and nonemergency surgeries to be canceled. Mamdani said it's all the more reason for the hospitals to reach an agreement with their workers.
"Too often when we see a strike, people forget that that is not where workers want to be," Mamdani said. "A strike is an act of last resort. What workers want is to be back at work. So what this will mean is making that possible. And so we call on every side to come back to that negotiating table. Have a swift and urgent resolution."
One Fair Wage noted that "tipped workers can still legally be paid as little as $2.13 an hour, a system advocates describe as a direct legacy of slavery."
Over a third of US states are set to raise their minimum hourly wage in 2026, but worker advocates including Sen. Bernie Sanders on Wednesday decried a federal minimum wage that's remained at $7.25 since 2009—and just $2.13 an hour for tipped workers for over three decades.
Minimum wage hikes are set to go into effect in 19 states on Thursday: Arizona, California, Colorado, Connecticut, Hawaii, Maine, Michigan, Minnesota, Missouri, Montana, Nebraska, New Jersey, New York, Ohio, Rhode Island, South Dakota, Vermont, Virginia, and Washington.
Increases range from 28 cents in Minnesota to $2 in Hawaii, with an average hike of 67 cents across all 19 states. More than 8.3 million workers will benefit from the increases, according to the Economic Policy Institute (EPI). The mean minimum wage in those 19 states will rise to $14.57 in 2026, up from $13.90 this year.
Three more states—Alaska, Florida, and Oregon—plus Washington, DC are scheduled to raise their minimum wages later in 2026.
In addition to the state hikes, nearly 50 counties and municipalities plan to raise their minimum wages in the coming year, according to the National Employment Law Project (NELP). These include San Diego, California—where the minimum wage for hospitality workers is set to rise to $25 an hour by 2030—and Portland, Maine, where all workers will earn at least $19 by 2028.
However, the federal minimum wage remains at $7.25, and the subminimum rate for tipped workers is $2.13, where it's been since 1991—and has lost more than half its purchasing power since then.
The federal minimum wage has stayed at $7.25 since 2009. In 2026, workers in 19 states and 49 cities and counties an increase. Alabama’s rate will stay at $7.25. 🔗 https://t.co/mrGfPAKba3 pic.twitter.com/EsokVIc6KP
— AL.com (@aldotcom) December 31, 2025
"Tipped workers can still legally be paid as little as $2.13 an hour, a system advocates describe as a direct legacy of slavery," the advocacy group One Fair Wage (OFW) said in a statement Tuesday.
Sanders (I-Vt.) said on social media on the eve of the hikes: "Congratulations to the 19 states raising the minimum wage in 2026. But let’s be clear: A $7.25 federal minimum wage is a national disgrace. No one who works full time should live in poverty. We must keep fighting to guarantee all workers a living wage—not starvation wages."
Yannet Lathrop, NELP's senior researcher and policy analyst, said earlier this month that "the upcoming minimum wage increases are incremental and won’t magically turn severely underpaid jobs into living-wage jobs, but they do offer a bit of relief at a time when every dollar matters for people."
“The bigger picture is that raising the minimum wage is just one piece of a much larger fight for a good jobs economy rooted in living wages and good benefits for every working person," Lathrop added. "That’s where we need to get to."
Numerous experts note that neither $7.25, nor even $15 an hour, is a livable wage anywhere in the United States.
"The gap between wages and real living costs is stark," OFW said. "According to the MIT Living Wage Calculator, there is no county in the United States where a worker can afford to meet basic needs on less than $25 an hour. Even in the nation’s least expensive counties, a worker with one child would need at least $33 an hour to cover essentials like rent, food, childcare, and transportation."
"Advocates argue that policies like President [Donald] Trump’s 'no tax on tips' proposal fail to address the underlying problem of poverty wages," OFW continued. "While the policy has drawn attention, they say it is a headline rather than a solution, particularly since nearly two-thirds of tipped workers do not earn enough to owe federal income taxes."
Frustrated by the long-unchanged $7.25 federal minimum wage, numerous states in recent years have let voters give themselves raises via ballot initiatives. Such measures have been successful even in some red states, including Missouri and Nebraska.
Rising minimum wages are a legacy of the union-backed #FightFor15 movement that began among striking fast-food workers in 2012. At least 20 states now have minimum wages of $15 or higher.
However, back then, "the buying power of a $15 minimum wage was substantially higher than it is today," EPI noted. "In 2025, a $15 minimum wage does not achieve economic security for working people in most of the country. This is particularly true in the highest cost-of-living cities."
In April, US senators voted down an amendment that would have raised the federal minimum wage to $17 an hour. Every Democratic and Independent upper chamber lawmaker voted in favor of the measure, while all Republicans except Sen. Josh Hawley (Mo.) rejected it.
As Trump administration and Republican policies and practices—such as passing healthcare legislation that does not include an extension of Affordable Care Act tax credits, which are set to expire on Wednesday and send premiums soaring—coupled with persistently high living costs squeeze workers, advocates say a living wage is more important than ever.
The issue is underscored by glaring income and wealth inequality in the US, as well as a roughly 285:1 CEO to worker pay gap among S&P 500 companies last year.
"Minimum wage doesn't cover the cost of living," Janae van De Kerk, an organizer with the Service Employees International Union (SEIU) Airport Workers union and Phoenix Sky Harbor International Airport employee, said in a video posted Tuesday on social media.
"Minimum wage doesn't cover the cost of living. Many of my co-workers have to choose between food on the table or health insurance" Janae, Phoenix Sky Harbor Airport service worker No one should have to make that choice.
[image or embed]
— Airport Workers United (@goodairports.bsky.social) December 30, 2025 at 10:34 AM
"Many of my co-workers have to choose between food on the table or health insurance, or the choice between having food and paying the electric bill," van De Kerk—who advocates a $25 hourly minimum wage—continued.
"We shouldn't have to worry about those things," she added. "We shouldn't have to stress about those things. We're willing to work and we wanna work, and we should be paid for our work."
"Call it what it is: a pay cut and a betrayal of the working people," said One Fair Wage.
With backing from the restaurant lobby, the Washington, D.C. city council voted Monday to gut plans to raise wages for tipped workers, which had already been approved by the public.
It's the second time the council has overturned a wage increase for tipped workers that the public voted for, having already done so once in 2018.
Under federal law, tipped workers are allowed to be paid a much lower minimum wage—just $2.13 per hour compared with $7.25 for nontipped workers. Tipped workers are, consequentially, more likely to live in poverty.
This is the case in Washington, D.C., where, according to data from the Bureau of Labor Statistics analyzed by the Economic Policy Institute, 7.7% of tipped workers live in poverty compared to 2.6% of nontipped workers.
In 2022, D.C. voters overwhelmingly voted to address this problem, supporting Initiative 82, which would have gradually raised the minimum wage for tipped workers—just over $5.35 an hour at the time—to match what other workers receive by 2027.
In 2022, D.C.'s standard minimum wage—which increases each year pegged to inflation—was $16.10. As of 2025, it has increased to $17.95.
As the initiative to raise the tipped minimum wage began, restaurant industry lobbying groups like the Restaurant Association of Metropolitan Washington (RAMW) fought tooth-and-nail to roll it back.
In Jacobin, Raeghn Draper wrote that this group, and others like it around the country, "claim to speak on behalf of restaurant workers, but they are not worker organizations."
Instead, Draper wrote, "They are extensions of the National Restaurant Association (NRA), an industry group historically aligned with large corporate chains like McDonald's, Taco Bell, and Olive Garden—none exactly known for their commitment to workers' rights or well-being."
These groups waged an aggressive disinformation campaign, claiming that by phasing out the subminimum wage, restaurants, crushed by their increasing operating costs, would be forced to close en masse.
The RAMW even touted a survey of its own member restaurants purporting to show that 44% of full-service casual restaurants would have no choice but to close their doors by the end of 2025 due to the policy.
As Draper points out, citing data from an independent investigation by D.C.'s Office of the Budget Director, "the number of D.C. restaurant closures in 2024 did rise slightly compared to the previous year, but restaurant openings also increased, outpacing closures by a margin of two to one."
A study by the EPI likewise found that—despite industry claims that the higher wage requirements were forcing restaurants to lay off their employees—D.C. was seeing more employment growth than other towns in the region without requirements to raise wages.
But media outlets uncritically reported the restaurant industry's narrative about mass closures, and their attempts to "manufacture a crisis," as Draper says, paid off.
While making public appearances with restaurant industry lobbyists, Democratic Mayor Muriel Bowser signed legislation halting the wage increases in June—freezing the tipped minimum wage at $10 an hour. She pushed for a full repeal, which would have knocked the tipped wage back down to $8 an hour. But the city council voted it down.
On Monday, despite fierce protests from workers and unions, the city council voted 7-5 to freeze the tipped wage at $10 until July 2026, when it will increase by a measly five cents. They also voted to dramatically slow the tipped wage increases to just 5% each year until 2034, when it will be capped at 75% of the standard minimum wage.
Members of the council, as well as many media outlets, including Axios and The Washington Post, described the decision as a "compromise" between employers and workers. RAMW, which lamented that it was "not a full repeal," has portrayed it that way, though it nevertheless described it as a "win for the industry."
Fair wage activists, however, described it not as a compromise, but an assault on a hard-won democratic victory.
"In what world is this a compromise?" asked One Fair Wage, one of the groups that campaigned for the initiative. "Call it what it is: a pay cut and a betrayal of the working people."
"D.C. Council just voted to overturn the will of the people and freeze wages for tipped workers," said the Fair Budget Coalition in a post on X following the vote. "As rents and other costs rise, it is a CHOICE to maintain a subminimum wage for struggling D.C. residents."
According to EPI, a person living in Washington, D.C. needs to earn just under $31 an hour to afford the cost of living. The average wage paid to tipped workers like bartenders, waiters, and waitresses falls several dollars short of this.
"The voters told us what they wanted when they voted overwhelmingly for I-82—twice—and this is not it," said Brianne Nadeau, one of the council members who voted against reversing the wage hikes. "Restaurant workers and the organizations that represent them have been fighting this battle for wage protections for years, and they shouldn't have to keep fighting it. And this council should not keep on telling the voters they don't know what's best for themselves."
"The council chose corporate lobbyists over tipped workers," said One Fair Wage. To the council members who voted for it, they said: "We see you. We won't forget."
"We got people that work and repair the water mains and can't afford their water bill," said union leader Greg Boulware last week. "I don't want to be rich. We just want comfort inside the city that we serve daily."
Philadelphia's largest municipal workers' strike in over 40 years is entering its second week after negotiations with the city broke down this weekend.
Over 9,000 sanitation workers, 911 dispatchers, water services workers, crossing guards, and other city employees walked off the job last week, demanding that the city increase their salary enough to meet the rising cost of living.
But even with trash piling up on the streets and other city services understaffed, Mayor Cherelle Parker (D) would not agree to the demands made by AFSCME District Council 33, Philadelphia's largest blue-collar union.
Parker has offered a pay increase of 8.75% over the next three years, which she described as historic.
But DC 33 president Greg Boulware said that's far too little for municipal workers, many of whom are among the city's "working poor," to survive.
"It's not like as if our members are making $80,000, $90,000 a year," Boulware said. "A 2% increase on those would be significantly higher than it would be on somebody making $40,000-$45,000 a year. So, her math truly is not mathing, and you're clearly not paying attention to the working people that are going on in this city."
The average municipal worker in Philadelphia makes around $46,000, which is $15,000 less than the median income in the city and less than half of what a single adult needs to live comfortably, according to a study by SmartAsset.
"We got people that work and repair the water mains and can't afford their water bill," Boulware said at a rally last week. "We got people that repair the runways at the airport and can't afford a plane ticket. I don't want to be rich. We just want a comfort inside the city that we serve daily."
The union initially asked for an 8% raise for the next four years, which the city dismissed. This weekend, they pared their proposal down to 5%, but the city still did not budge.
Parker has insisted that her smaller proposed increases are merely what is "fiscally responsible," and that the city cannot afford to offer more.
The union has disputed this, pointing out that Parker herself is budgeted to receive a 9% increase to her salary of more than $240,000. That increase alone is nearly half the current salary that the average DC 33 member makes in a year.
As of Monday, negotiations have stalled, with no clear end in sight. With a throng of picketers behind him, Boulware told NBC 10, a local affiliate, that the union was working on a third proposal, and that negotiations may resume Tuesday. But he seemed to expect more obstinacy from the city.
"We've been there to be able to sit and meet and negotiate," he said. "It doesn't seem like the city quite honestly wants to entertain any of the questions that we have about things and actually have a true dialogue... That's how you negotiate and that's not truly what's been going on."
Despite the city's refusal to budge, momentum around the strike has continued to grow. On Friday, rapper LL Cool J dropped out of a 4th of July festival in the city, saying, "There is absolutely no way I can perform across a picket line."
Other AFSCME councils around Pennsylvania have joined pickets in solidarity. This includes Philadelphia's Council 47, which represents thousands of "white collar" city workers.
With mounds of trash accumulating on streets, sometimes becoming as "tall as people," the environmental activists with the Sunrise Movement have also joined in the effort to pressure the city. On Monday, activists hauled bags of trash into the lobby of City Hall, labeled with the words "Meet DC 33 Demands" written in yellow tape.
AFSCME, meanwhile, has stated its resolve to fight on as the strike has gained national attention.
"City workers are holding the line until they get a FAIR contract with the wages and benefits they deserve," the national union's account wrote on X Monday. "One day longer, one day stronger, no matter what it takes."
By classifying workers as contractors, platform companies avoid paying core employment obligations while retaining tight control over how the work is done.
Alejandro G. thought that driving full-time for Uber in Houston offered freedom—flexible hours, quick cash, and time to care for his young son. But that promise faded fast.
“There are hours when I make $20,” he told me. “And there are hours when I make $2.” As his pay dropped, he pawned his computer and camera, began rationing the insulin he takes to manage his diabetes—putting his health at risk—and started driving seven days a week, often late into the night, just to break even.
Alejandro, whose real name is withheld for his privacy, is one of millions of workers powering a billion-dollar labor model built on legal loopholes. Companies like Uber insist they are tech platforms, not employers, and that their workers are independent contractors. This sleight of hand allows them to sidestep minimum wage laws, paid sick leave, and other workplace protections, while shifting the financial risks and responsibilities of employment onto the workers. It also lets them avoid employer taxes, draining funds from public coffers.
If gig workers were properly classified, public companies would have to disclose pay data, showing just how far below the median these workers earn, and how high executive compensation soars above them.
A new Human Rights Watch report looks at seven major platform companies operating in the U.S.—Amazon Flex, DoorDash, Favor, Instacart, Lyft, Shipt, and Uber—and finds that their labor model violates international human rights standards. These companies promise flexibility and opportunity, but the reality for many workers is far more precarious. In a survey of 127 platform workers in Texas, we found that after subtracting expenses and benefits, the median hourly pay was just $5.12, including tips. This is nearly 30% below the federal minimum wage, and about 70% below a living wage in Texas.
Seventy-five percent of workers we surveyed said they had struggled to pay for housing in the past year. Thirty-five percent said they couldn’t cover a $400 emergency expense. Over a third had been in a work-related car accident. Many said they sold possessions, relied on food stamps, or borrowed from family and friends to get by. Their labor keeps the system running—but the system isn’t built to work for them.
By classifying workers as contractors, platform companies avoid paying core employment obligations while retaining tight control over how the work is done. The platforms often use algorithms and automated systems to assign jobs, set pay rates, monitor performance, and deactivate workers without warning. In our survey, 65 workers said they feared being cut off from a platform, and 40 had already experienced it. Nearly half were later cleared of wrongdoing.
Companies use incentives that feel like rewards but function more like traps. Uber, Lyft, and DoorDash dangle “quests,” “challenges,” and “surges” to push workers to stay on a shift for longer or hit quotas. These schemes lure workers into chasing bonuses that rarely reflect the true cost of the work. One Uber driver in Houston said, “They are like puppet masters. They psychologically manipulate you.”
Access to higher-paying gigs is also conditioned on behavior. Platforms use customer ratings and performance scores to shape who gets the best jobs. One Shipt worker in Michigan said her pay plummeted immediately after she received two four-star reviews, down from her usual five. Ratings are hard to challenge, and recovering from a low score can take weeks. Workers feel forced to accept every job and appease every customer, reinforcing a system that rewards compliance over fairness.
These aren’t the conditions of self-employment. They’re the conditions of control.
This labor model also drains public resources. In Texas alone, Human Rights Watch estimates that misclassification of platform workers in ride share, food delivery, and in-home services cost the state over $111 million in unemployment insurance contributions between 2020 and 2022. These are public funds that could have strengthened social protection or public services. Instead, they’re absorbed into corporate profits—a quiet transfer of public wealth into private hands.
In 2024, Uber reported $43.9 billion in revenue and nearly $10 billion in net income, calling the fourth quarter its “strongest ever.” DoorDash pulled in $10.72 billion, up 24% from the previous year. Combined, their market valuation exceeds $250 billion.
But workers are pushing back, and policymakers are starting to listen. From June 2 to 13, the 113th session of the International Labour Conference—the United Nations-backed forum where global labor standards are negotiated—will convene to debate a binding treaty on decent work in the platform economy. The message is clear: Workers are demanding rules that protect their rights.
The U.S. can start by updating employment classification standards and adopting clear criteria to determine whether a platform worker is truly independent. We also need greater transparency. If gig workers were properly classified, public companies would have to disclose pay data, showing just how far below the median these workers earn, and how high executive compensation soars above them.
This isn’t about rejecting technology. It’s about making sure new forms of work don’t replicate old forms of exploitation or create new ones, by hiding them behind an app.
Alejandro doesn’t need an algorithm to tell him when to work harder. He has a right to a wage he can live on, protections he can count on, and a system that doesn’t punish him for getting sick, injured, or speaking up.
He and millions like him built the platform economy. It’s time they shared more than the burden.