Minimum wage set to increase
(The regular minimum wage is rising from $8.75 to $9.) The group says restaurateurs “are being hit with a whopping 50% increase” already, and the industry just “needs time to adjust to this dramatic increase”.
The City Council, which voted to increase the minimum wage in October, approved new hourly wages for workers to comply with its own law. Of note, the Fast Food Wage Order FAQ clarifies the NYSDOL’s view that no tip credit is available for employees covered by the Order, including delivery employees.
Meanwhile, the numbers are not budging in New Hampshire and ME, which have among the lowest state minimum wages in the country.
Even if the federal minimum remained unchanged for the last 7 years the minimum wage is rising in 14 states starting on the first day of the New Year.
Minimum wage earners in Chicago, however, will have a bit of an advantage over other parts of IL since Chicago raised its minimum wage to $10 per hour in July, but costs are also slightly higher in the city and the wage is still less than the calculated living wage.
For two adults of which only one is working and who are raising three children the minimum wage is still $8.25 while the poverty wage is $13.00 and a living wage would be $25.99. However, many workers are seeing rent and other basic expenses rise rapidly.
The increase that will take effect for 2016 represents another 45 cent increase on the current rate, to $9.60-per-hour.
“Restaurants I frequent with my family, I am noticing increases in menu prices and fewer servers on the floor”, said Roe, who is concerned about an overall increase to the bottom line. “We know a minimum wage doesn’t cover household bills”.
Cuomo, however, is pushing the Legislature to approve an additional increase in the minimum wage to $15-an-hour, which would likely trigger further increases in the sub-minimum wage for tipped workers. It is the least we can do for the lowest-paid workers in a state that has the highest wealth equality gap in the nation.