Return to Transcripts main page

NEW DAY

Minimum Wage is Key Issue in Mid-Term Elections; President Obama Facing Tough Issues; Interview with Josh Earnest

Aired October 31, 2014 - 08:30   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


(COMMERCIAL BREAK)

MICHAELA PEREIRA, CNN ANCHOR: All right, here we go with the five things you need to know for your new day.

At number one, suspected cop killer Eric Frein captured after a 48-day manhunt in Pennsylvania. He's being arraigned this morning. Prosecutors say they're going to seek the death penalty.

Maine nurse Kaci Hickox defying quarantine by going for a bike ride. Hours later, the governor said he'll do whatever it takes to keep her from going to public places.

Four people have been killed after a plane crash - it crashed into a building at an airport in southern Kansas. The FAA says the pilot reported losing engine power and was trying to return to the airport.

Embattled Ferguson, Missouri, Police Chief Thomas Jackson denying reports of his impending resignation. He tells CNN that he's staying put despite continued unrest months after the Michael Brown shooting.

LeBron James' emotional return to Cleveland spoiled by those upstart New York Knicks. They knock off the king and his Cavs Thursday night, 95-90.

We do update those five things to know, so be sure to visit newdaycnn.com for the very latest.

Now, though, we turn our attention to minimum wage taking center as a key issue in next week's midterm election. Ballot initiatives in five states asking voters to decide on an increase. Our chief business correspondent is here with more on how that could impact your money.

And is it looking as though the wave is to say yes to the minimum wage increase?

CHRISTINE ROMANS, CNN CHIEF BUSINESS CORRESPONDENT: So - so wage is looking like it's going to be to say yes. In four of these states, they are solidly red states where you look at the polls now and it looks as though a majority of people think that they want to raise - would like to raise the minimum wage. Those states are Arkansas, Alaska, Nebraska and South Dakota.

Also, you've got a ballot initiative on the ballot in Illinois. That's an advisory. It's not binding, but it's an advisory kind of ballot initiative. So prettying interest there.

We've seen the states doing this. The federal government has not been able to raise the minimum wage.

PEREIRA: Right.

ROMANS: We see the states do it over and over again. In some cities on the West Coast we've got cities who are raising the minimum wage to $15 an hour for fast food workers and for hotel workers. So, locally, this is something that's been getting done. A big, big push by --

PEREIRA: But not on the federal level.

ROMANS: But not on the federal level. And this is a big win for Democrats.

PEREIRA: Sure.

ROMANS: Democrats -- some Democrats think it's going to actually help them in some of their turnout in some of these states. These are, many of them, solidly red states. But it shows you, I think, that 71 percent of Americans, by our polling, think that it is fair and right to raise the minimum wage.

PEREIRA: Well, the other side of that is, look, if I'm making more, I'm spending more, putting more money into the economy -

ROMANS: Right.

PEREIRA: So it's good for the economy too, no?

ROMANS: So some CEOs have told me, especially CEOs who are like retail CEOs and CEOs of, you know, like a fast food and stuff, they are officially against raising the minimum wage but they acknowledge that that would put more money in the pockets of their paycheck-to-paycheck consumers. Wages have been flat to lower overall. Raising the minimum wage is a way you handle the fact that the economy's not really rewarding workers all that much.

I will say, though, there are business owners who tell me, Michaela, this is hard for business owners to next year have to put in new Obamacare rules -

PEREIRA: Yes. And --

ROMANS: And to deal with higher minimum wages at the same time.

PEREIRA: Right.

ROMANS: I think the tide has turned though.

PEREIRA: Yes.

ROMANS: Public support for higher minimum wages and the state are moving forward to do it. PEREIRA: I've be taking a look at this. It's interested to see the

discrepancy in those minimum wage rates in the states. We'll be, obviously, watching this because it's on the ballot in several states on Tuesday.

ROMANS: It is.

PEREIRA: We'll be watching. Christine Romans, thanks.

ROMANS: You're welcome.

ALISYN CAMEROTA, CNN ANCHOR: Great to see you.

Well, the president, of course, facing tough issues here at home, Ebola, the economy, as we've been talking about, and around the world with ISIS and other threats. So, what are the biggest concerns for Americans right now? White House Press Secretary Josh Earnest is going to join us live to talk about all of that.

(COMMERCIAL BREAK)

CHRIS CUOMO, CNN ANCHOR: Well, you don't need us to tell you that there's a lot on the plate of the president these days. In fact, he's giving a speech right now about the state of economy and what needs to be done to help really everybody be part of what's moving forward. We're going to have his press secretary, Josh Earnest. He's going to sit down and answer the pressing questions right as soon as he can, after that speech is over. So, stay with us for that. We'll take a quick break and then we'll put the questions on the table that you need answers to.

(COMMERCIAL BREAK)

CAMEROTA: We're joined now by White House Press Secretary Josh Earnest. He joins us from Providence, Rhode Island, where the president will speak this morning at Rhode Island College, all about the economy.

And, Josh, great to see you.

JOSH EARNEST, WHITE HOUSE PRESS SECRETARY: Good morning, Alisyn, how are you?

CAMEROTA: Doing well.

Before we get to the economy, we have a whole host of issues to talk to you about. So let's start with Syria.

EARNEST: OK.

CAMEROTA: As you know, there was this blunt two-page memo that was sent from the defense secretary, Chuck Hagel, in which he seemed to criticize the president's policy in Syria in relation to Bashar al Assad. Are the president and his defense secretary at odds about Syrian policy, and what is the policy, by the way, about Assad in Syria from the president? EARNEST: Well, Alisyn, it won't be surprising to you that I'm not

going to spend a whole lot of time talking about private conversations between the president and his secretary of defense. I will tell you a couple of things, though. The first is, the president's been very clear with every member of his national security team, including his secretary of defense, that it's important for important policy decisions, like the ones related to Syria, for his team to be very thorough and to constantly being assessing and reassessing the success of those strategies. That means they want to consider a wide range of opportunities to make sure we're doing everything we possibly can to protect and defend Americans' interests around the world. And that means the president wants the unvarnished opinion of every member of his national security team. And that's the way he thinks we are going to reach the best outcomes.

Now the second thing that I'll tell you, and I'm confident that my colleagues over at the Pentagon would say the same thing, the strategy that's in place right now is working. We have had success in working with this 60-member coalition that the United States has built to take the fight to ISIL.

CAMEROTA: But not ISIS. I mean it - yes, but not ISIS or ISIL, as you call them. We're talking about Assad. What is the strategy for dealing with Assad, overturning him, getting rid of him, or containing him?

EARNEST: Well, Alisyn, the policy that we have for Assad is really clear. We believe that he has lost legitimacy to lead. But the reason that we are taking military strikes inside of Syria right now is the president has made very clear that we are not going to allow any extremist organization to establish a safe haven anywhere in the world that they could use to attack the United States. That is a fundamental principle and that is why you have seen such robust engagement by the United States, by the United States military, in working to build a coalition of 60 nations to take the fight to ISIL in Iraq and in Syria to make sure they can't destabilize that region and make sure they can't be in a position where they can establish a safe haven inside of Syria that would allow them to plot and execute strike against the United States, even against the United States and the homeland.

That is the nature of the United States' involvement in Syria. The president and his national security team have, obviously, worked closely on this strategy. The Department of Defense has an important role to play in this strategy. And this strategy is working. It has affected the way that we know that ISIL operates on the ground there.

CUOMO: Right.

EARNEST: It has degraded their capacity to sell oil and to finance their ongoing operations.

CUOMO: But it's also -

EARNEST: So the strategy that we have in place is working.

CUOMO: It's also helped Assad, though, because ISIS was giving him a lot of trouble inside his own border. They were coming at him more effectively, many say, than the moderates were there. And while we have attention, the coalition has attention on ISIS, it is ignoring Assad and not doing anything to help the plight of the people there. And the irony here, Josh, is that the president himself had wanted to start by bombing inside Syria to effect Assad. And now that's being brought back to him as what he should be doing right now.

EARNEST: Well, Chris, here's the thing. It's very clear what our national security interests, what our most important national security interests is in this region of the world. And it's making sure that extremists like ISIL and the Khorasan group are not in a position to establish a safe haven in Syria, that they can use to attack the United States, our allies or our interests in the region or anywhere around the world. That is our number one national security priority in that region of the world. And that is why you're seeing such robust engagement by the United States at a diplomatic level to build a coalition of 60 nations to confront this threat. It's also why you're seeing such robust engagement by the United States military to execute against ISIL and other extremist groups that are having a substantial impact on their ability -- on the ability of those extremist groups to operate in the region. And that is what we are doing to protect our interests.

Now, as it relates to Assad, you have to ask him what he thinks about the United States and the international community coming into his country without his approval to take care of a problem there. The other thing that you're seeing is you're also seeing the international community working together to train and equip a moderate opposition force that is also opposed to Assad. These operations are being built in Turkey, in Saudi Arabia, and other places around the region, and those forces are not on the side of Assad. Those forces are critical to taking the fight on the ground to ISIL.

CAMEROTA: Ok, Josh, you mentioned the unvarnished truth, and the President liking the unvarnished truth and I want to bring up Israel and Prime Minister Benjamin Netanyahu. There's been a lot of unvarnished truth coming from some unnamed sources in the administration. As you know some senior official talked to Jeffrey Goldberg at "The Atlantic" and used some off-color language when referring to Israeli Prime Minister Benjamin Netanyahu. He called him a "chicken blank". He also went on to call Netanyahu "reactionary, obtuse, blustering and pompous".

What exactly is the relationship between Netanyahu and President Obama today?

EARNEST: Well, Alisyn I appreciate your self-editing for the family program this morning. What I'll tell you is that the President has had more conversations with Prime Minister Benjamin Netanyahu than any other world leader. I would say that's a relatively arbitrary metric but it does provide a useful illustration of the close ongoing coordination that exists between President Obama and Prime Minister Netanyahu, and between the United States of America and our allies in Israel.

In fact just this week the President's National Security Advisor Susan Rice convened a high-level delegation of Israeli Defense Security intelligence officials where they sat down at the White House with defense intelligence and other national security officials of the U.S. government to continue our close coordination and collaboration on a whole range of issues in the region, including issues that are critical to Israel's security.

The fact of the matter is earlier this summer, at the President's request, Congress passed legislation that allows us to increase funding for the Iron Dome program in Israel to the tune of like $250 million. That increased funding has supported the Iron Dome program that was implemented by the United States to protect the people of Israel from the rockets that were being fired by extremists in Gaza.

Those are just two high level examples of the very close, unprecedented coordination that currently exists between the United States and Israel. And let me say one more thing about this, which is that close coordination, that close relationship doesn't mean that we paper over our differences. We've also been very clear that we have significant concerns about the way that the Netanyahu administration has pursued its settlement policy, about the way that they have expanded the construction of housing in some areas of East Jerusalem. We consider those acts to be provocative and counter-productive to the eventual achievement of a two-state solution.

We don't say that because we have some philosophical concern. We believe that the two-state solution is critical to the national security and long-term security of the people of Israel.

CUOMO: Understood. And as we're going through this checklist of issues, they all relate generally to ideas of leadership, whether it's what's going on in Syria, what's going on with Israel, what's going on with Putin which we know there's really no answer to now, the guys flying planes through NATO air space.

Let's bring it back here at home. Another situation that is just screaming for leadership is what's going on with what the quarantine policy is or is not. This situation in Maine, you were there yesterday, the President side-stepped it. This is theater of the bizarre and absurd now. You got a nurse in a face-off with a governor about what's going on, because there's no leadership on this one. Should the President be doing more? I know what he said but there's clearly no way forward right now.

EARNEST: Well, Chris, it is the responsibility of state and local officials in every state in the country to decide the quarantine policies or the active monitoring health policies of, that they're going to use to protect the people in their state. That is the responsibility of state and local officials as it should be.

What we have said is that we believe that these state and local officials should be guided by the best science available to determine how best they can protect the people in their state. So what the President has said is he's going to make sure that we have officials at the CDC who have -- who sit atop of this sort of vast store of scientific knowledge about how to deal with the ebola virus and make sure that they're sharing that information with state and local officials all across the country to make sure that the best policies are in place to protect the people in their state.

There have been extensive conversations between CDC officials and public health officials in Maine about how exactly to best protect the people of Maine. Those conversations are ongoing, but ultimately, we can't have a situation where the President of the United States is dictating these specific outcomes in specific states. We're talking about one nurse in one state in the country.

And ultimately, state and local health officials need to take responsibility for protecting the citizens of their own state. The federal government can be there to support them. The federal government can be there to make sure that they're getting the best scientific advice but ultimately they're the ones that need to implement the policy.

CAMEROTA: Josh, let's talk about what you're doing in the state of Rhode Island with the President there today. He's there talking about the economy and there are some metrics that have shown that the economy has ticked up recently. It's improving. However, polls suggest that the American public aren't feeling that and they don't necessarily believe that. There's a new CNN poll just out this week that shows that only 38 percent of respondents believe that the economy is doing well; 62 percent think it is doing poorly. So somehow the President is not getting the message out to the American people.

EARNEST: Well, I'll say a couple of things about that. We did get some recent data related to the GDP numbers earlier this week. It indicated that the American economy grew at the rate of 3.5 percent in the third quarter.

Over the last six months the U.S. economy has grown by more than four percent which is actually the strongest sustained six-month period economic growth that we've had in more than a decade. So our economy is showing tremendous resilience. This comes at the same time that economies in Europe, in Japan and other places are showing a lot of weakness. The United States economy is the envy of the world and it is thanks in part to the very difficult policy decisions that this President made at the beginning of his presidency to help us recover from the worst economic downturn since the Great Depression but the bulk of the credit goes to American workers all across the country who are working day and night, scratching and clawing to get out of this recession America's entrepreneurs have been innovate testify and created jobs good for the economy. That's why the American economy is the envy of the world

CUOMO: There's no question that workers in the U.S. stand at the ready. The question is what is the government doing to help them? We look forward to the speech. Wouldn't be something we probably focus on too much but with the economy and the midterms days away, everybody's going to be listening.

Thanks you for joining us, Josh Earnest. Appreciate getting the message from the White House.

EARNEST: Thank you, Chris. Have a good day. CAMEROTA: Thanks Josh. You too.

EARNEST: Happy Halloween.

CUOMO: Happy Halloween.

CAMEROTA: You too.

We'll be right back.

(COMMERCIAL BREAK)

CUOMO: So each week we are shining a spotlight on the top ten CNN Heroes of 2014. This week's honoree is tackling crime and gang violence in Guatemala and helping children in his community find hope. Please meet Juan Pablo Romero Fuentes.

(BEGIN VIDEO CLIP)

JUAN PABLO ROMERO FUENTES, TOP TEN CNN HEROES: My country's violent history has created a very violent precedent. Gangs are everywhere. Kids are exposed to drugs, to violence and to the lack of opportunities for them to improve their lives.

I was a teacher in the same community I grew up. My students were dealing with the same problems that I was dealing with 20 years ago. I wanted to change that.

The best thing for me to do was open my house doors and bring them here. Eight years later, I'm still running the program in my family house.

We provide classes so they can find their own passions. We give them a decent plate of food. I created a safe place for them to realize that they actually can change that aspect in their lives and in the community. In a violent country, the only weapon we can have is love.

I still believe that we can change this country. They are the ones in charge of writing the history of Guatemala.

(END VIDEO CLIP)

PEREIRA: We're heroes. I've been telling.

CAMEROTA: Strong.

PEREIRA: Someone did that 20 years ago for him and he's (inaudible).

CAMEROTA: So hard to narrow it down. You get to, though.

CUOMO: One thing is consistent these heroes all do a lot with a little in places. And that's one of the big reasons we have the heroes in the first place.

Guess what, you decide who is going to be the big winner. You go to cnnheroes.com. You get to vote once a day every day. I love that. You can vote every day if you want.

All 10 will be honored at "CNN HEROES: AN ALL-STAR TRIBUTE" hosted by our own Anderson Cooper on Sunday December 7.

PEREIRA: It's going to be wonderful.

CUOMO: All right. A lot of news out there for you. Let's get you right to the "NEWSROOM" with Carol Costello for the latest. Happy Halloween -- boo.