# Rep. Gallego proposes AI‑focused taxes and labor reforms

> The Arizona Democrat outlines a $20 minimum wage, sectoral bargaining and a 10% excise tax on AI data‑center revenue to fund a public‑works safety net.

Oossa · 2026-10-07 · https://oossa.com/en/rep-gallego-proposes-ai-focused-taxes-and-labor-reforms

Rep. Raúl Gallego unveiled a package of economic measures aimed at protecting U.S. workers from AI‑driven job loss. The plan raises the federal minimum wage to $20 per hour, ties it to inflation and pushes for industry‑wide bargaining agreements. It also adds a 10 percent excise tax on data‑center revenue and a new “robot tax” on AI companies, with the proceeds earmarked for a New Deal‑style public works program. Gallego says the approach will keep AI firms from hurting labor markets and fund retraining and infrastructure.

## The facts

- Minimum wage increase to $20 per hour, inflation‑linked
- 10 % excise tax on AI data‑center revenues

## Why it matters

If passed, the taxes could generate funds to support workers displaced by automation and finance new public‑works jobs.

## Sources & references

1. [Gallego rolls out ambitious plan to insulate workers against AI](https://www.semafor.com/article/10/06/2026/gallego-rolls-out-ambitious-plan-to-insulate-workers-against-ai) – Semafor, 2026-10-07

Last updated: 2026-10-07
