Who benefits from minimum wage increase? Not you!
Well hallelujah! Governor Murphy signed the minimum wage increase that he's been trying to get passed since he took office. Now if you're making the minimum wage, you can look forward to an almost 40% pay increase in just a few years and you don't have to do anything. Actually you do have to do something, that is to actually stay employed and that may not be so easy.
Businesses will be approaching the increase by cutting back on their work force. Have you seen the new McDonald's employee taking your order? I hear after work it hangs out with the new cashiers at Walmart, Home Depot, and Target. Yeah that minimum wage increase is a godsend. I hear they may even put an automated turnstile at the pearly gates, but this is about New Jersey.
Businesses can combat the increase by either cutting back on employees or raising prices. Hey, they can even do both. Since the public is expecting a price increase, they'll still be competitive while saving money by using all that new shiny automation they'll have. Whatever the automation can't do, they'll just stick on the employees that are left since they weren't doing much else to begin with right? So the businesses will benefit unless of course they just leave the state entirely.
Then there's the taxman who will benefit from all that extra money you'll be making. They now get a bigger piece and you know who looks good for that? Governor Murphy, who not only made you more money, but brought in much more revenue to New Jersey as well. Isn't he wonderful?
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