Increased Minimum Wage Proposal Could Improve Wages, Result in Fewer Jobs
Tuesday, February 19, 2013
Increased Minimum Wage Proposal Could Improve Wages, Result in Fewer Jobs
The debate over increasing the state’s minimum wage rages on.

Lawmakers in Albany are considering a proposal by Gov. Andrew Cuomo to increase the state minimum wage from $7.25 to $8.75 an hour. Assembly Democrats are now calling for the age to increase to $9 an hour after President Obama proposed hiking the federal minimum wage to $9 by the end of 2015.
For workers making the minimum the increase is long overdue, a full time worker making minimum wage earns about $15,000 a year.

The proposed hike would also directly affect workers making more than minimum but less than $8.75. Those 747,000 workers make up 9 percent of the state’s work force, according to an analysis by the labor-backed Fiscal Policy Institute.
Opponents of a wage hike note that many minimum-wage workers are teens with part-time jobs still living at home. But the FPI analysis says more than eight in 10 of the people making $8.75 or less in New York are at least 20 years old. Most are women and almost half work at least 35 hours a week.
Opponents of the hike, including some business interests, say the increase would actually hurt those lower-wage workers who would get laid off by employers unable to afford suddenly higher payroll costs.
Economists have debated that point for years. Opponents point to a peer-reviewed study last year that concluded New York's minimum wage increase from $5.15 to $6.75 over two years.
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