Obama Pledges To Tackle Inequality

Speaking during the annual State of the Union address, Obama pledged to "take steps without legislation" wherever possible.

He announced a rise in the minimum wage for new federal contract staff.

"America does not stand still – and neither will I," he said. "So wherever and whenever I can take steps without legislation to expand opportunity for more American families, that's what I'm going to do."

He appealed to the Congress to restore unemployment insurance for 1.6 m people that recently expired and asked Republicans to stop trying to repeal the 'Obamacare' programme.

He also appealed to the Congress to approve a rise in the national minimum wage, currently standing at $7.25 per hour.

His executive order will only apply to future contracts.

House Speaker John Boehner said the impact would be "close to zero" and warned that such a move would cost jobs.

Boehner also told reporters his party would watch to ensure the President does not exceed his authority through the use of such executive actions.

After Obama's speech, three Republicans offered several rebuttals, a departure from the tradition of the opposition choosing a single voice to follow the President.

Congresswoman Cathy McMorris Rodgers of Washington gave the official response on behalf of the Republican Party, calling on Obama to take action "by empowering people, not making their lives harder with unprecedented spending, higher taxes, and fewer jobs".

Republican Kentucky Senator and presumed 2016 presidential hopeful Rand Paul, a favourite of the party's libertarian wing, released a taped address.

"Economic growth will come when we lower taxes for everyone," he said. "Government spending doesn't work."

Utah Senator Mike Lee offered a response on behalf of the populist, anti-tax tea party movement, saying he shared the frustration of Americans with "an ever-growing government that somehow thinks it is OK to lie to, spy on and even target its own citizens.''

By Beth Nyaga

Source: BBC News