Proposals on table to raise minimum wage - ABC 12 – WJRT – Flint, MI

Proposals on table to raise minimum wage

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(02/13/13) - Two legislative proposals are on the table would raise the minimum wage. President Obama wants a national increase to $9 an hour.

A Michigan lawmaker would boost it to $10 an hour in our state.

Justin Benyo works at a Grand Blanc pizza shop. He's making $7.40 an hour. The state minimum wage. He's heard talk of raising the federal hourly wage to $9 and of a proposal in Lansing to push it to $10. But even Justin is a little leery of that idea.

"From a personal side, I'd be making more money but not really I guess if you look at from another way, you'd be spending more on products and everything else."

Jackie Stratton owns Sun-n-Surf tanning salon. She starts her new hires out at $7.40 If the Federal or state minimum wage goes up in the next few years, Stratton doesn't know if her business can handle it. "It would be a very fine line of keeping doors open with all the other taxes and isurance. It would be very hard to make any profit at the end of the day."

A few doors down from Stratton is Rachel's Hallmark. Owner Bill Freeman also starts out his employees at minimum wage. He says higher payroll costs could have a huge impact on small businesses like his. "If things keep rolling, we do seem to see some increases, it may be ok. But I know there are places that will cut people working for them and they may not carry as many services."

If the state does raise the hourly rate to ten dollars and the federal figure is lower the state wage would take precedence.

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