SJBiz_Dept_MInimum_Wage_0219_Dept 2 / 18 / 19 2 : 45 PM Page 1 Banking on Better Pay The new bill to increase the minimum minimum wage ranks — California , Massachusetts and New York have already signed similar bills . But because the increases are so wage to $ 15 has plenty of cyoptimism new — 2016 is when they were first introduced in California and i surrounding it , but there is just as l New York , and 2018 in Massachusetts — just how effective , or o much uncertainty . ineffective , the increases are remains to be seen . The hope , pcer - tainly , at least in New Jersey , is that with a higher wage , workers [ Amanda Hamm Hengel ] will be able to better support their families , and their state . “ The pros of the increase are that in a state like New Jersey , Anyone who has spent any time in New Jersey knows the where the cost of living is high , employees will be on a path state has a penchant for standing out in the crowd . So it toward earning more of a living wage , ” says David A . Rapuano , should come as no surprise that when Gov . Phil Murphy partner at the firm Archer Law and member of the firm’s labor and signed the minimum wage bill on Feb . 4 that effectively employment law group . “ It is possible that the increase in wages raised the state’s minimum wage from $ 8.85 an hour to $ 15 for a substantial portion of the workforce will have benefits to the for most workers by 2024 , it made New Jersey a leader in the local economy , such as through increased purchasing power . movement to match wages with the cost of living . “ From an employer’s perspective , having this apply across the “ It is a responsible and progressive plan that will put New Jer - board to most New Jersey employers , all businesses will be in the sey in the forefront of the national movement to build a high wage sameboat in terms of competing for workers at the lower end of the economy , ” says Senate President Steve Sweeney , in a recent pay spectrum , ” he continues . “ Further , paying employees a higher statement regarding the increase . “ It will provide gradual , steady wage may have positive effects on employee retention and status . ” increases over a number of years that would reach $ 15 by 2024 Despite the hopeful gains of the increase , there are defi - for the vast majority of minimum wage workers , with moderated nitely just as many concerns . increases for a number of job sectors . It recognizes the unique cir - “ Some are concerned the bill goes too far too quickly , ” says cumstances of the state’s agriculture industry and small busi - Jennifer Laver , partner at law firm Weber Gallagher . “ There is nesses and it includes special provisions that support job training concern that the legislation puts too much stress on small and jobs for the disabled . ” businesses , forcing them to raise prices , cut hours , slash benefits Upon signing the bill , Gov . Murphy released a statement or let employees go . saying he hopes the wage change will transform the lives of “ These concerns would then lead to rising costs that would thousands of New Jersey residents for the better . affect the most vulnerable citizens for whom the bill was created “ For far too long , too many of our fellow New Jerseyans to protect , ” she continues . “ While the bill does note that small have been struggling to survive on wages that have not kept up business employees or seasonal workers won’t reach the mini - with the cost of living , ” he says . “ I am incredibly proud to sign leg - mum wage of $ 15 until 2026 , many feel that the two years won’t islation that raises the minimum wage to $ 15 per hour , ensuring make a significant difference . that the most vulnerable among us will have the means to put “ Even more concerning is that this will not only increase the food on the table , while growing our economy and addressing minimum wage for low earners , but those already making mini - priorities of the small business community . ” mum wage will demand a higher pay based on the increase to New Jersey is actually the fourth state to join the $ 15 an hour those with less experience , qualification or time with the com - pany , ” Laver adds . “ Employers won’t be forced just to increase a portion of their workforce but across the board . ” From an employment standpoint , over 60 percent of the members of the Southern New Jersey Development Council ( SNJDC ) believe the increase will negatively impact busi - nesses , according to SNJDC President Marlene Asselta . That’s not to say the SNJDC and its members don’t applaud the changes the state is looking to make by incorporating the bill . It’s simply that all possible out - comes should be taken seriously . “ The Southern New Jersey Development Council , with our 300 - plus members , can see both the positive and negative impact that increasing the minimum wage , as currently drafted , will have on the economy of Southern New Jersey , ” Asselta says . “ One major concern is that businesses will be forced to reduce staff , hours and benefits to absorb the added costs of the associated wage hike ; however , the business owner will be able to invest in its workforce and be rewarded with higher employee retention and a long - term employee . “ The phase - in of the increases will allow businesses to better plan for how they will address the costs as well as 16 | SOUTH JERSEY BIZ | VOLUME 9 ISSUE 2 | SouthJerseyBiz.net