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Ground Beef Now Costs More Per Pound Than Federal Minimum Wage
Newser • • business
Key Points:
- The average price of a pound of lean ground beef has risen to $8.34, surpassing the federal minimum wage of $7.25 per hour, which has remained unchanged since 2009.
- Prices for 80/20 ground beef vary across major grocery chains, ranging from about $6.50 at Trader Joe’s and Aldi to nearly $9 per pound at Publix, with the cheapest ground beef averaging over $5.40 per pound.
- The U.S. beef cow herd is at its smallest since 1951 due to drought-related reductions, leading to tighter supply and higher prices, with no quick resolution expected as it takes years for cattle to re-enter the supply chain.
- An outbreak of New World screwworm, linked by some lawmakers to USDA budget cuts, threatens to further increase beef prices amid already rising grocery costs that have surged over 30% since 2020.
- While the ground beef price surpassing the federal minimum wage is symbolic, it highlights the limited purchasing power of low wages in the face of escalating food prices, especially as most states have higher minimum wages than the federal level.
