Both Kamala Harris and Donald Trump have pledged to improve the lives of workers if they become President, but their approaches differ significantly on various topics, such as minimum wage, overtime pay, and the influence of labor unions.
1. Minimum Wage:
The federal minimum wage has been $7.25 per hour since 2009. Kamala Harris describes this as "poverty wages," equating to an annual salary of $15,000 for full-time workers. She has expressed a desire to increase it to at least $15 per hour, acknowledging the need for congressional support to implement such changes. During a past presidential debate, Trump stated he would consider a $15 federal minimum wage, provided it does not adversely affect small businesses. Recently, he avoided questions about his stance on the minimum wage during a visit to a McDonald’s, opting instead to commend the workers and the franchise owners.
2. Overtime Pay:
Both candidates acknowledge the issue of overtime work, yet they diverge on who should qualify for time-and-a-half pay for work that exceeds 40 hours per week. The Biden-Harris administration finalized a rule earlier this year, which expanded overtime eligibility to an additional 4 million workers. This rule is currently facing numerous legal challenges. Trump, during his presidency, opted not to defend a similar Obama-era rule and introduced his own rule that significantly limited overtime pay eligibility. Project 2025, a blueprint from the Heritage Foundation for a potential second Trump term, proposes revamping federal overtime rules to provide employers with more flexibility. Although Trump has distanced himself from this document, he has admitted that as a business owner, he disliked paying overtime, frequently choosing to hire more workers to avoid it. To appeal to working-class voters, Trump has suggested making overtime wages tax-free, but this proposal has been criticized by analysts for its potential cost to the government.
3. Manufacturing Job Creation:
While no president can restore the past glory of American manufacturing, Trump has attracted many white, working-class voters by promising to bring back and safeguard their jobs, suggesting measures such as lowering the corporate tax rate for domestic manufacturers and imposing tariffs on all imported goods. Economists warn that his proposed tariffs could lead to increased prices, including for U.S. manufacturers. Harris aims to attract similar voters by highlighting legislative successes, like the CHIPS and Science Act and the Inflation Reduction Act, which have generated manufacturing and construction jobs. She has committed to expanding tax credits for companies that create union jobs and prioritizing retooling existing factories.
4. Labor Unions:
The candidates are notably different in their views on unions. Harris supports strengthening unions and aims to pass the PRO Act to make organizing easier for workers. This legislation has been stalled in Congress. Under her leadership, the National Labor Relations Board has taken a proactive stance in protecting workers’ rights, although faced with criticism and legal challenges from companies. Conversely, during his presidency, Trump diminished federal employee unions’ power and supported Right to Work laws. He appointed individuals to the Labor Department and NLRB who were favorable to corporations. Some union workers still maintain strong support for Trump, as shown by informal polling from the Teamsters union.
5. Noncompetes:
The topic of noncompete agreements, which prevent workers from joining or starting a competing business, has been largely absent from the presidential campaign discussions. However, the future regulation of these agreements could depend on the election’s outcome. The Federal Trade Commission voted along party lines to ban such agreements, citing their negative impact on wages and innovation. This ban was halted by a federal judge, and the FTC is appealing the decision. Although Harris has not focused on noncompetes during her campaign, she has previously supported the FTC’s ban. Trump has not publicly addressed this issue on the campaign trail. Notably, the Trump campaign in 2016 included noncompete clauses in its employment agreements.
