Assembly Votes to Hike Minimum Wage from $7.25 to $8.50
The New Jersey Assembly followed the State State’s lead earlier this afternoon and passed a minimum wage hike tied to the Consumer Price Index (CPI).
Anthony Bucco, Jr. is usually very articulate on these issues; today is no exception:
Increasing the minimum wage by 17 percent will not help New Jersey’s economy. It will have a negative effect on a large segment of wage earners who are seasonal employees or part-time workers. Businesses will adjust their operation in a manner that will not help those who are earning money to pay for college tuition or car insurance. At a time when a number of small businesses are trying to recover from October’s superstorm, this bill will not help them in that effort.
“In addition to increasing the rate by 17 percent, an equally faulty provision of this bill is adjusting the rate annually based on increases to the CPI. Employees compensated at this level, who are typically between the ages of 16 and 21, could very well see their ranks diminish or the number of hours they work reduced. It is naïve to think businesses will not adjust to this increase accordingly. Ultimately, the increase in the cost of doing business will be passed onto the consumer.”
To learn more about why this would be a HORRIBLE idea for New Jersey’s economy, click here to visit our minimum wage archives.