High inflation leads federal minimum wage to reach lowest value since 1956, report finds

An activist holds a placard demanding a $15 an hour minimum wage and tips for restaurant workers during a rally to call for additional relief for restaurants in Washington, D.C., on Feb. 8, 2022.

The minimum wage has fallen to the lowest level in 66 years because of high inflation.

According to the Washington, D.C., think tank, the minimum federal hourly rate is worth less than it has been in the last 60 years.

In June 2022, the federal minimum wage will be $7.19 dollars.

The inflation rate came in hotter than expected in June, which is the basis for the analysis. The index, which measures the change in prices over time for consumer goods and services, went up 9.1% from a year earlier.

Workers may see the biggest raises since the Great Recession next year.

According to the institute, the minimum wage has not changed since July of 2009, the longest period without an increase since the minimum wage was established.

Raising the minimum wage is something Congress can do to help workers. Efforts were put on hold when they were not included in the legislation.

Ben Zipperer, economist at the Economic Policy Institute, said that the minimum wage is one of the key policy tools in the U.S.

A restaurant worker at a May 26, 2021 “Wage Strike” demonstration organized by One Fair Wage in Washington, D.C.

A worker earning the minimum wage in July 2009, adjusted for inflation, makes less than in February 1968, according to the findings.

The high point for the minimum wage was on that date due to the fact that Congress changed the minimum pay rate so more industries were covered.

The higher minimum wage was a big victory for the civil rights movement.

The value of the minimum wage has gone down because of Congress' lack of action.

The federal minimum wage has lost value due to certain features.

The minimum wage is not adjusted to inflation. The minimum wage would have been closer to $10 an hour in 2009.

The federal tipped minimum wage has been in place for more than three decades.

There have been attempts to raise the minimum wage. Minimum wages were raised in Connecticut, Nevada, Oregon, and Washington, D.C. Due to the popularity of the move, minimum wages are usually raised on a ballot initiative.

Amazon, Target and Walmart have raised their minimum pay rates for employees.