Much of President Obama’s State of the Union address last Tuesday centered on the theme of boosting America’s dwindling middle class.

“It’s our generation’s task,” he implored, “to reignite the true engine of America’s economic growth — a rising, thriving middle class.”

Among the more tangible policies mentioned that evening to further that objective,  the president proposed raising the federal minimum wage – from $7.25 per hour to $9 by the end of 2015 –  and provide for annual cost of living adjustments. (This would apply to most hourly jobs, with some exceptions, including some tip-based work.)

“Let’s declare that in the wealthiest nation on earth, no one who works full time should have to live in poverty,” he said. “Working folks shouldn’t have to wait year after year for the minimum wage to go up, while CEO pay has never been higher. So here’s an idea that Gov. Romney and I actually agreed on last year: Let’s tie the minimum wage to the cost of living, so that it finally becomes a wage you can live on.” Continue reading →