Does Business Have The Last Word On The Minimum Wage Hike?
The minimum wage has hiked up to $7.25 from $6.55. A few states had analogous minimum wage laws, but the Federal law has made minimum wage hike across the board. Businesses may have the last word on support for a wage increase, leading to increased labor costs. If the increase in the minimum wage impacts meager returns, the businesses may opt to layoff more workers. With the current recessive economy, it wouldn’t be ideal to lose jobs. Raising the lowest rate can add some money into the pockets of those left with jobs.