Jonathan Starkey

The News Journal

Delaware Gov. Jack Markell, a Democrat, believes a "big political battle is brewing," over economic inequality and middle class jobs within Democratic ranks, saying "there is going to be a bit of a battle for the soul of my party that plays out over the next couple years on this issue."

Markell said Democrats should pursue an "agenda around growth rather than an agenda around redistribution," saying that "there aren't a lot of people with middle class jobs who are aspiring to an increase in the minimum wage."

He made the remarks during an hour-long discussion about the economy on Wednesday with reporters and editors at The News Journal.

"On the one hand, minimum wage matters," said Markell, who has about two years left as Delaware's governor. "But I think it's also fair to say that there aren't a lot of people with middle class jobs who are aspiring to an increase in the minimum wage. There are a whole lot of people....who have not seen any kind of wage growth over the years. It's not just the folks at the lowest end, it's also people in middle class jobs. The question is how do we address that?"

Lawmakers passed and Markell signed legislation in January that raises Delaware's minimum wage to $8.25 by June 1, 2015. But the governor said economic policies cannot focus solely on improving working conditions for those in the lowest-income jobs.

Markell said it's important to protect middle class jobs in Delaware and to recruit more middle-class employers. He mentioned jobs at the Port of Wilmington and at a factory in Seaford, where manufacturer Grayling Industries, a subsidiary of spacesuit-maker ILC Dover, employs 130 workers that make industrial packaging and asbestos abatement products.

The Markell administration Grayling more than $500,000 in economic development incentives to set up shop in Delaware.

"My view is that this has to be around an agenda for growth," Markell said. "We have to make sure we are continuing to work hard and protect those at the lowest ends of the scale. But in the end our only chance, if we really want people to achieve their full potential and opportunity, is to have an agenda around growth rather than an agenda around redistribution."

Economic policies are already having a major effect on 2016 Democratic politics.

This week, more than 80 percent of the members of the liberal group MoveOn.org who voted online backed a 2016 presidential draft effort for Massachusetts Sen. Elizabeth Warren, with economic inequality as a defining issue.

Former Secretary of State Hillary Clinton, who many progressives see as too cozy with Wall Street, has been considered an odds-on presidential favorite for Democrats.

Markell, who didn't mention names, predicted a political battle over economic issues within Democratic ranks, saying "I think it is going to play out through the presidential election."

"There is going to be a bit of a battle for the soul of my party that plays out over the next couple of years on this issue."

Contact Jonathan Starkey at (302) 983-6756, on Twitter @jwstarkey or at jstarkey@delawareonline.com.