The NJ minimum wage is going up again: Is it too high or too low?

💵 Gov. Murphy signed the minimum wage law in 2019

💵 Should the government set salaries and wages?

💵 Defining a fair share from companies

In February of 2019 Gov. Phil Murphy signed legislation that phases-in minimum wage increases of at least $1 a year every January 1, through 2024.

Washington, D.C., currently has the highest minimum wage at $16.10 an hour.

California will raise the minimum wage to $15.50 an hour on January 1.

On Sunday, Jan. 1, the minimum wage in New Jersey will go up by $1.13, to $14.13 an hour.

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The original increase was going to be $1, but the nation’s high inflation rate for 2022 added 13 additional cents.

Michele Siekerka, the president and CEO of the New Jersey Business and Industry Association, said many larger companies are already paying workers in the Garden State at least $15 an hour but “if you are a Main Street, small business retail, etc., every dollar counts and this can be challenging for them."

💵 Gov. Murphy signed the minimum wage law in 2019

In February of 2019 Gov. Phil Murphy signed legislation that phases-in minimum wage increases of at least $1 a year every January 1, through 2024.

Washington, D.C., currently has the highest minimum wage at $16.10 an hour.

California will raise the minimum wage to $15.50 an hour on January 1.

💵 Should the government set salaries and wages?

Siekerka said government should not be setting rules for what salaries should start at.

“From the very beginning, we’ve said let the market dictate minimum wage and it will take us where we need to be, and you can see that happening today.”

Sue Altman, the state director of New Jersey Working Families said raising the minimum wage to $14,13 an hour is a step in the right direction but it’s not high enough.

“New Jersey is extraordinarily unaffordable. Just inflation has gone up as we all know by 10%, 12% in the last couple of years,” she said.

Altman pointed out that earning $14.13 an hour means you’re making about $28,000 a year.

“I would challenge anyone to scroll through Zillow, to look on Craig’s List, to tell me they can live, they can rent, they can buy a home, they can thrive on $28,000 a year in New Jersey.”

💵 Defining a fair share from companies

Altman said companies like Amazon are trying to build warehouses from Sussex County down to Cape May, causing many disruptions in communities, and they do it in the name of jobs.

“If they’re minimum wage jobs, are we really being able to support families in New Jersey with that kind of a salary? I don’t think so.”

She said companies doing well should pay their fair share, not only in taxes but also in wages to their employees

David Matthau is a reporter for New Jersey 101.5. You can reach him at david.matthau@townsquaremedia.com

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