As we say goodbye to 2016, we head into unknown territory in the upcoming year. The election of President-Elect Donald Trump and Republican control over both houses of Congress promise to make it a challenging time for those who are struggling to move forward. There are many uncertainties, but there are also many things that we know will change.
First, the chance for a minimum wage increase to $15 an hour nationally is gone, as is the chance that it goes up at all. Trump’s selection of Anthony Puzder — the CEO of the parent company of Carl’s Jr. and Hardee’s — to be labor secretary indicates that there will be resistance towards consideration any increase in worker’s wages. While the District will increase its minimum wage to $15 over the next several years, the fact that the federal minimum wage will not increase means that businesses that want to avoid higher wages will have to consider going over the Potomac to relocate in Virginia, where the minimum wage matches the federal number: $7.25 an hour.
Second, keep an eye on what the president-elect and Congress will do with the Consumer Financial Protection Bureau. It was started during President Barack Obama’s first term and established as part of the Dodd-Frank bill that the Republicans will try to repeal. If it goes, many industries are going to likely take advantage of the opportunity to use the freedom they have to operate with few, if any, regulations.
The job market may get better for many people, although that will come at a price. One of the first things that the president-elect promises to do is get rid of the Affordable Care Act. That will hurt many people who were able to get coverage through expansion of Medicaid and subsidies to afford coverage on the state-run exchanges. The job market will likely improve for people that are underemployed because businesses will no longer have a mandate to provide insurance to workers who get 30 or more hours a week. The business and individual mandates will probably both be gone, which will help with money but unfortunately hurt those people when they need medical care.
This is my outlook for 2017. In my next column, I will focus on food affordability, SNAP, food banks in the District and other options that may be available for you to be able to eat healthy on a budget. If you have something you would like me to write about, or you would like to comment on this article, please email me at [email protected]. Have a happy and prosperous new year!
