Good afternoon all,
It appears that a $15 an hour minimum wage by 2024 is dead for this session, although last year’s surprise move leaves opponents uneasy.
As you might remember, Democrats pushed through an increase to the minimum wage. Republicans pushed back and briefly held up the budget until training and youth wages were added.
It now appears that Democratic state senators, who have only a slender majority in that chamber, have no desire to deal with unhappy nonprofits and small business interests in the year leading up to the 2020 election. The bill was sent to a committee, which is unlikely to take action this year.
Nonprofits are concerned that a minimum wage that would rise a couple of dollars an hour to $11 under the bill, would put a strain on services staffed with lower-wage workers.
Small business trots out the usual arguments that include higher-paid workers demanding raises if entry level employees get a wage boost.
Also, the minimum wage is something of a nonissue among workers In the northern end of the state..
A tight labor market has effectively boosted wages north of the canal, with financial services employers, the state’s largest hospital system and even some retailers announcing a $15 an hour base.
Along the way, many workers have moved out of minimum wage jobs to higher paying positions.
Higher wages seem likely to increase the use of robotics and self-service kiosks, automated dish washing systems etc. in restaurants and related businesses. McDonald’s is already moving in that direction.
The mobility in the current market backs up arguments of opponents who believe that the marketplace should set wages.
Some backers of a higher minimum wage see robotics and other innovations as a good thing.
After all, fixing and programming machines pays more than the minimum wage. At the same time, another rung is removed on the ladder that allows unskilled workers to move up.
As the clock ticks down on the legislative session, some employers are breathing a bit easier, but one never knows what can happen in the waning moments of June, not to mention 2020.
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