Congress is currently considering bipartisan legislation providing an amnesty for America’s 11 million illegal immigrants, probably combined with extra visas for skilled workers and an agricultural guestworker program. But principled liberals and conservatives should both demand that any immigration reform proposal also include a sharp rise in the federal minimum wage.
The reason is simple. Any increase in the supply or job mobility of willing workers will tend to benefit Capital at the expense of Labor, stifling any growth in working-class wages, especially given our high unemployment rates. The last 40 years have seen a huge increase in immigration, and it is hardly coincidental that median American wages have been stagnant or declining throughout most of this same period. A large boost in the minimum wage, perhaps to $12 an hour or more, would be the best means of reversing our current economic race to the bottom.