Oregon Ballot Measure 25 (2002)
Encyclopedia
Ballot Measure 25 of 2002 increased Oregon
Oregon
Oregon is a state in the Pacific Northwest region of the United States. It is located on the Pacific coast, with Washington to the north, California to the south, Nevada on the southeast and Idaho to the east. The Columbia and Snake rivers delineate much of Oregon's northern and eastern...

's minimum wage
Minimum wage
A minimum wage is the lowest hourly, daily or monthly remuneration that employers may legally pay to workers. Equivalently, it is the lowest wage at which workers may sell their labour. Although minimum wage laws are in effect in a great many jurisdictions, there are differences of opinion about...

 from $6.50 to $6.90 per hour and required an annual
Year
A year is the orbital period of the Earth moving around the Sun. For an observer on Earth, this corresponds to the period it takes the Sun to complete one course throughout the zodiac along the ecliptic....

 increase to compensate for inflation
Inflation
In economics, inflation is a rise in the general level of prices of goods and services in an economy over a period of time.When the general price level rises, each unit of currency buys fewer goods and services. Consequently, inflation also reflects an erosion in the purchasing power of money – a...

 in future years. Inflation is measured by the consumer price index
Consumer price index
A consumer price index measures changes in the price level of consumer goods and services purchased by households. The CPI, in the United States is defined by the Bureau of Labor Statistics as "a measure of the average change over time in the prices paid by urban consumers for a market basket of...

. , the minimum wage in Oregon is $8.50 an hour. The measure was approved in the November 5, 2002 general election
General election
In a parliamentary political system, a general election is an election in which all or most members of a given political body are chosen. The term is usually used to refer to elections held for a nation's primary legislative body, as distinguished from by-elections and local elections.The term...

 with 645,016 votes in favor, 611,658 votes against.http://www.sos.state.or.us/elections/nov52002/g02abstract.htm The measure was placed on the ballot as a result of initiative petition
Initiative
In political science, an initiative is a means by which a petition signed by a certain minimum number of registered voters can force a public vote...

.

Arguments for and against

Proponents included labor unions, the Oregon Catholic
Catholicism
Catholicism is a broad term for the body of the Catholic faith, its theologies and doctrines, its liturgical, ethical, spiritual, and behavioral characteristics, as well as a religious people as a whole....

 Conference, and other advocates for the poor
Poverty
Poverty is the lack of a certain amount of material possessions or money. Absolute poverty or destitution is inability to afford basic human needs, which commonly includes clean and fresh water, nutrition, health care, education, clothing and shelter. About 1.7 billion people are estimated to live...

. They pointed out the difficulty of raising a family on the current minimum wage, and argued that tying the minimum wage to inflation was more fair. Rather than teenage workers, supporters argued that many minimum wage earners were adults supporting children.

Opponents feared that a minimum wage increase would prolong the recession
Recession
In economics, a recession is a business cycle contraction, a general slowdown in economic activity. During recessions, many macroeconomic indicators vary in a similar way...

 Oregon was experiencing at the time, pointed out that Oregon already had a relatively high minimum wage (compared with other U.S. state
U.S. state
A U.S. state is any one of the 50 federated states of the United States of America that share sovereignty with the federal government. Because of this shared sovereignty, an American is a citizen both of the federal entity and of his or her state of domicile. Four states use the official title of...

s), and argued that indexing the wage to the consumer price index
Consumer price index
A consumer price index measures changes in the price level of consumer goods and services purchased by households. The CPI, in the United States is defined by the Bureau of Labor Statistics as "a measure of the average change over time in the prices paid by urban consumers for a market basket of...

 would unfairly punish rural
Rural
Rural areas or the country or countryside are areas that are not urbanized, though when large areas are described, country towns and smaller cities will be included. They have a low population density, and typically much of the land is devoted to agriculture...

 communities, since the CPI is based on prices in cities
City
A city is a relatively large and permanent settlement. Although there is no agreement on how a city is distinguished from a town within general English language meanings, many cities have a particular administrative, legal, or historical status based on local law.For example, in the U.S...

.

Detailed history

The measure was sponsored by future Oregon Commissioner of Labor and Industries Dan Gardner and state Representative Diane Rosenbaum
Diane Rosenbaum
Diane M. Rosenbaum is an American politician in the US state of Oregon and the current Majority Leader of the Oregon State Senate. She was a Democratic member of the Oregon House of Representatives, representing District 42 from 1998 to 2009. She served as Speaker Pro Tempore...

.

In 2003, the Republican
Oregon Republican Party
The Oregon Republican Party is the state affiliate of the United States Republican Party in Oregon, headquartered in Lake Oswego. The first state party convention was held in Salem on April 21, 1859, and its first nominee for Congress, Portland attorney David Logan...

-controlled Oregon House of Representatives
Oregon House of Representatives
The Oregon House of Representatives is the lower house of the Oregon Legislative Assembly. There are 60 members of the House, representing 60 districts across the state, each with a population of 57,000. The House meets at the Oregon State Capitol in Salem....

 approved a bill (House Bill 2624) that would repeal the part of Measure 25 that ties the minimum wage to inflation. As of April 2003, however, observers did not expect the bill to pass the Oregon State Senate
Oregon State Senate
The Oregon State Senate is the upper house of the state-wide legislature for the U.S. state of Oregon. Along with the lower chamber Oregon House of Representatives it makes up the Oregon Legislative Assembly. There are 30 members of the State Senate, representing 30 districts across the state,...

 (which was then evenly split between Republicans and Democrats
Democratic Party of Oregon
The Democratic Party of Oregon, based in Portland, is the official Oregon affiliate of the United States Democratic Party. It is recognized by the state of Oregon as a major political party, along with the Oregon Republican Party...

) or be signed by Democratic Governor Ted Kulongoski
Ted Kulongoski
Theodore R. "Ted" Kulongoski is an American politician, who served as the 36th Governor of Oregon. A Democrat, he has served in both houses of the Oregon Legislative Assembly, as the state Insurance Commissioner, the Attorney General, and an Associate Justice on the Oregon Supreme Court.-Early...

. The bill was not taken up in the Senate's 2003 session, and the Senate is now majority Democrat, suggesting it is unlikely to be taken up in the foreseeable future.

External links

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