Most Businesses Show Support for Increases in State Minimum Wages

The majority of employers are in favor of raising state minimum wages, according to a survey by Careerbuilder, which found that two-thirds of them were in favor of doing so.

CareerBuilder’s poll of 2,188 HR professionals found the top reasons why employers want an increase in state minimum wages:

• It can improve the standard of living: 74 percent
• It can have a positive effect on employee retention: 58 percent
• It can help bolster the economy: 55 percent
• It can increase consumer spending: 53 percent
• Employees may be more productive/deliver higher quality work: 48 percent
• It can afford workers the opportunity to pursue more training or education: 39 percent

Employers were also asked what they thought the minimum wage should be increased to:

• $8 or $9 per hour: 29 percent
• $10 per hour: 29 percent
• $11-$14 per hour: 19 percent
• $15 or more per hour: 7 percent
• No set minimum wage: 9 percent

The one-third of managers who didn’t support the increase were asked why they were opposed to it:

• It can cause employers to hire less people: 66 percent
• It can cause issues for small businesses struggling to get by: 65 percent
• It can cause hikes in prices to offset labor costs: 62 percent
• It can mean potential layoffs: 50 percent
• It can lead to increased use of automation as a replacement for workers: 32 percent
• Wages for higher-level workers may suffer and create retention issues: 29 percent