Senator Ruben Gallego proposes $20 federal minimum wage

U.S. Senator Ruben Gallego (D-AZ) has introduced a 32-page proposal titled “Saving the Middle Class and Restoring the American Dream.” The plan seeks to implement the first federal minimum wage increase since 2009 by raising the current rate of $7.25 to $20 per hour through gradual phases beginning in 2027.

Gallego argues the increase is necessary to help workers meet the rising cost of living, noting that the hike could increase annual wages for Arizonans by over $2,400.

Critics, including the Employment Policies Institute, have raised concerns regarding potential job losses. The institute estimates the plan could result in a national loss of 2.3 million jobs, citing previous minimum wage increases in California as a cautionary example of employment impacts.