Starting on July 24, the Federal minimum wage is increasing from $6.55 to $7.25 per hour, the last part of the 2007 minimum wage legislation passed by Congress. A recent Economic Policy Institute study found that the increase will generate an economic stimulus in the form of $5.5 billion in additional consumer spending over the next 12 months. "Unlike tax cuts for the wealthy, a higher minimum wage increases consumer spending on local businesses, which is good for everyone," points out Rep. George Miller, the lead sponsor of the bill in the House (Sen. Kennedy was the chief sponsor in the Senate).

"Tomorrow's minimum wage increase is an important step in strengthening our economy by putting $1,400 a year in the pockets of 13 million hardworking Americans who make the Federal minimum wage," said SEIU Secretary-Treasurer Anna Burger. "But when we can give the very banks that tanked our economy more than $24 trillion in bailout funds and other guarantees, which amounts to almost $80,000 for every American, we must do more to help working families." (Read our statement on the wage increase here).

Workers in 31 states will see the numbers in their paychecks go up as a result of the raise in the minimum wage going into effect Friday. For the The remaining states already have state minimum wage rates the same or higher than Friday's new federal rate. The states that will see an increase are: Alabama, Alaska, Arkansas, Delaware, Florida, Georgia, Idaho, Indiana, Kansas, Louisiana, Maryland, Minnesota, Mississippi, Missouri, Montana, Nebraska, New Jersey, New York, North Carolina, North Dakota, Oklahoma, Pennsylvania, South Carolina, South Dakota, Tennessee, Texas, Utah, Virginia, West Virginia, Wisconsin, and Wyoming.

Just in case you prefer visuals to lists, here's a map from the Department of Labor explaining how the wage increase will (or won't) affect each state:

The minimum wage increase will strengthen America's economy - but we need to do more to help working families. Add your name to the petition for Employee Free Choice.

President Obama says creating 4 million jobs is the most important part of his economic plan.

The Senate last night moved forward on the Stimulus Package, voting 61 to 36 to end debate and bring the measure on a vote today.

This procedural victory over the threat of a GOP filibuster -- called "invoking cloture" -- was possible when three Republicans crossed party lines to join the Democrats: Sens. Olympia Snowe (R., ME), Arlen Specter (R., PA) and Susan Collins (R., ME).

Next steps: Now the Senate Stimulus Package will return to the House, which will try to reconcile the new legislation with the measure they passed last week. Here's a look at the differences between the two packages:

* STATE AID: The Senate sliced $40 billion out of the House bill that would stabilize states, money that would "reduce pressure on states for layoffs and service cuts that economists say would undercut the efforts by the stimulus bill to create jobs and spur consumer spending and business investments."

* TAXES: The Senate bill includes $70 billion to prevent middle class families from having to pay the "alternative minimum tax," a tax designed to ensure wealthy Americans paid at least a minimum tax payment. However, "because Congress has made such an adjustment for years now, economists say the provision offers no new help to the economy."

* PROGRAMS: "The Senate bill does not include $19 billion for school construction included in the House bill, reduces health insurance subsidies for the unemployed, and scales back Mr. Obama's proposed middle class tax cut."

* HOUSES: "The Senate provides $35.5 billion for a $15,000 tax credit for purchasers of homes bought in the year after the bill takes effect. The House includes $2.6 billion and limits its smaller $7,500 credit to first-time homebuyers for homes purchased from Jan. 1, 2009 to July 1, 2009 and phases out the credit for couples making more than $150,000."

"So, you know, we can differ on some of the particulars, but again, the question I think that the American people are asking is: Do you just want government to do nothing, or do you want it to do something? If you want it to do something, then we can have a conversation," President Obama said in his first prime-time news conference last night, reiterating the urgency with which he wants Congress to act to begin the task of saving and creating more jobs. "But doing nothing -- that's not an option, from my perspective." (Read the transcript of the news conference including the reporter Q&A with the President here.)

As President Barack Obama travels to Florida today to talk up the passage of the stimulus, he's joined by a surprising ally: Florida Gov. Charlie Crist, who will introduce the president. Crist is one of four Republican governors openly supporting Obama's stimulus, including Arnold Schwarzenegger of California, Jodi Rell of Connecticut, and Jim Douglas of Vermont.

Watch live video coverage of Obama's townhall meeting in Fort Myers, FL today.

On Wednesday, December 3rd, Michigan Governor Jennifer Granholm released a statement calling for the quick passage of the Employee Free Choice Act. Governor Granholm called the legislation a "vital part of an effective economic recovery program" because "American workers provide critical fuel for the engine of economic growth." Governor Granholm also highlighted the incoming administration's commitment to signing the bill into law. Read SEIU President Andy Stern's statement on Governor Granholm's support here.

Governor Granholm's statement was punctuated by the release of the latest unemployment numbers today - even more bad news for working families. 533,000 U.S. jobs were lost in the last month alone, the biggest drop recorded in 34 years according to the Bureau of Labor Statistics. The latest news isn't unexpected, but pressure is on Congress to take steps to fixing our broken economy. Now, more than ever, it's clear that we need solutions that work for the millions of middle class Americans who have lost their jobs or worry that they'll be next.

Over the past three decades, our economy has grown. But most of the benefits have gone to the wealthiest Americans, while middle class families have seen their wages flat-line or decline. One thing is clear: restoring our middle class is the key to getting our economy back on track. And one of the best ways to help American families improve their standard of living is to pass the Employee Free Choice Act. By offering workers a fair and simple path to forming unions, workers will have the opportunity to earn better wages and benefits. Workers in unions earn 30% higher wages and are 59% more likely to have employer-provided health insurance.

Below is our assessment of the Employee Free Choice Act in an economic context for your reference.

An Economy That's Out of Balance

In the post-war period, workers' incomes were tied to productivity - America's business did better and workers shared in the success they helped create. And we built the biggest and strongest middle class in the world. But in recent years, productivity has continued to increase, while wages have flat-lined. Corporate profits and CEOs have benefited, but middle class household incomes have declined. In the last eight years, real median household income declined by more than $1,000 while corporate profits nearly doubled. Yet in 2007, "CEOs of large public companies averaged 344 times the average pay of workers." (NYT 9/18/08).

Consumer Demand in A Slump

The stagnant incomes of America's middle class are causing a fall off in consumer spending at a time when our economy needs it the most. Consumer spending is the engine that drives the American economy, representing more than 70% of total U.S. demand. Restoring the wages - and the spending power - of working families has got to be part getting our economy back on track.

Creating an Economy that Works for Everyone

Historically, unions have helped build a strong middle class and a stable American economy based on high wages. Over the past 30 years, as union membership has declined, workers' wages have fallen behind as the wealthiest Americans captured almost all of the gains our economic growth. The result is that our current economy - based on debt - is unstable. Encouraging unionization to increase average American's earning - and thus spending - power will restore our middle class and help revitalize our economy.

The Employee Free Choice Act is an integral part of restoring America's struggling middle class and creating an economy that works for everyone, not just those at the top. A strengthened middle class with greater earning - and spending -- power is a key to building a sustainable economy.