Today’s strike follows the release last week of a report from the progressive think tank Demos estimating that at least 1,992,000 workers receive $12 per hour or less while doing jobs backed by public funds. “Through federal contracts and other funding,” authors Amy Traub and Robert Hiltonsmith wrote, “our tax dollars are fueling the low-wage economy and exacerbating inequality.”
Traub and Hiltonsmith’s tally includes jobs funded or supported through direct federal contracts (560,000 jobs), Medicare or federal Medicaid spending (1,184,000 jobs), Small Business Administration loans, federal Child Health Insurance Program (CHIP) spending, federal infrastructure funds, or Public Buildings Service property leases. “This is more than the number of low-wage workers at Walmart and McDonalds combined,” write Traub and Hiltonsmith. At the other end of the pay scale, they note, the executives who employ these workers can legally be reimbursed by taxpayers for total compensation of up to $763,029 per year.