Barclay: Raising Minimum Wage Will Limit Job and Economic Growth in Hard Times
Assemblyman Will Barclay released the following statement today, in anticipation of a vote in the State Assembly on raising the minimum wage from $7.25 to $8.50:
May 15, 2012
"Raising the minimum wage at a time when employers are on the fringe of recovering from a recession will limit job growth. Many businesses cannot absorb such costs in this economy—when many have not seen steady profits due to the recession and at the same time the costs of goods and services has increased. At a time when businesses are just starting to rehire, raising the minimum wage could mean more job cuts and layoffs—something our economy cannot afford. I’m also concerned about the compound effect this would have for employers: it would not only force employers to increase salaries for new hires and increase payroll taxes, but will in turn force them to raise salaries across the board as well, to ensure that senior employees are still rewarded for their skill set and job performance. I see this as a poorly-timed measure before the Legislature."