NFIB State Director Brad Jones warned that for struggling small business owners, a wage hike could result in higher prices for consumers and reduced hours for employees.
The start of the New Year also ushered in a hike in Missouri’s minimum wage, which is currently $12 an hour. In a conversation on ‘Wake Up Mid-Missouri,’ NFIB State Director Brad Jones warned that for struggling small business owners, a wage hike could result in higher prices for consumers and reduced hours for employees.
“There are consequences every time you raise your wage rates,” Jones said. “Number one, if you can, you raise your prices on consumers. Every small business is dealing with a six- to eight- percent inflation rate. Number two, you’ll look at your overall labor situation as far as how many people you’ve got on staff and ask yourself if you can make payroll. You might have to cut an employee’s hours by five to 10 hours a week.”
CLICK HERE to listen to the full interview.
The federal minimum wage remains at $7.25 an hour. For more information and resources on Missouri’s minimum wage, CLICK HERE.
