Tuesday’s election saw the passing of Florida’s Amendment 5, which will raise the minimum wage from its previous $5.15 to $6.15. Much has been said about how this amendment will put small businesses at risk, an assessment the next year should prove as incorrect.
When the word “small business” is used, many readers will imagine an old-style Americana mom-and-pop store in which the owner owns the entire business and hired a few employees to help out. But such stores are not only largely gone, most of such businesses that still remain are already paying their employees more than $6.15 an hour anyway. For them, a raise in the mandated minimum wage will likely not change a thing. Businesses that will be affected by the new minimum wage are large corporate businesses. Fast food chains, such as McDonald’s, Taco Bell and others, routinely pay their employees minimum wage. The same goes for many other large chains in other sectors.
The corporations are making vast profits while their employees can barely pay their bills, a circumstance that an increase in the minimum wage is trying to remedy.
It remains to be seen if the increase is effective in supplying low-income workers with a living wage. But the negative aspects that were used to campaign against the increase are likely not going to occur.