New York Gov. Andrew Cuomo and lawmakers reached a tentative deal Thursday to increase the statewide minimum wage to $15 an hour over a few years.
The Republican majority in the state Senate was the biggest obstacle until the two sides came to a tentative agreement which only needs an official vote by the legislature, sources said to Reuters.
Republicans have been most concerned over the economic stress such a high minimum wage could have on the state. They reached a compromise with supporters that includes a longer phase-in period with more rural areas having more time to adjust. New York City will have six years to reach $15 an hour.
The deal will also include an automatic pause when the increase hits $12.50 in five years to allow policymakers to assess the impact. Small businesses will be given more time compared to larger businesses and will be granted a number of tax cuts. The state minimum wage is currently $9.00 an hour.
Cuomo has put the $15 minimum wage at the forefront of his agenda. He introduced a proposal Sept. 10 designed to phase-in the increase statewide over a few years and has since traveled the state to advocate for his plan. While low-income workers may end up earning more money, employers may also cutback on their workforce to overcome the added cost of labor.
The nonpartisan Congressional Budget Office has found both positive and negative results when it looked at minimum wage increases in the past. It found any increase in the minimum wage will likely result in at least some job loss. The higher the increase, the more impact it will have.
The union-backed Fight for $15 movement and other advocates have claimed the $15 minimum wage must be passed. Oregon recently passed a measure designed to phase in a $13.50 minimum wage by 2022. The California State Assembly approved the $15 minimum wage Thursday which now goes to the state Senate.
Cuomo proposed and implemented a number of tax cuts to help relieve costs for small businesses in the state. He has found ways to unilaterally and partially enact the policy by utilizing his executive authority. He bypassed the state legislature to raise wages for fast-food workers, state university workers and state employees.
All content created by the Daily Caller News Foundation, an independent and nonpartisan newswire service, is available without charge to any legitimate news publisher that can provide a large audience. All republished articles must include our logo, our reporter’s byline and their DCNF affiliation. For any questions about our guidelines or partnering with us, please contact licensing@dailycallernewsfoundation.org.