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Minimum wage proposal fuels debate in Washington state

July 7, 2016

A minimum wage initiative in Washington state isn't getting any big endorsements from the business sector.

The state proposal, called Initiative 1433, would increase the current minimum wage of $9.47 to $11 on January 1, 2017 and continue climbing to $13.50 per hour by 2020.

Many business groups are opposed, stating it would prove disastrous to small employers, service jobs, and the agriculture industry. For younger workers, the initiative may make it harder to find employment.

"A law to increase the minimum wage without providing support for starting jobs, or those that get young adults their first work experience will hit farming operations, particularly smaller ones, and their employees hard. Agriculture is one of the largest economic drivers in the state and the top job-creation engine in rural parts that need the employment opportunities the most. This initiative puts those job opportunities at risk." said John Stuhlmiller, CEO, Washington Farm Bureau, in a release. 

The initiative could also hurt the hospitality industry as it may prompt labor cuts and boost prices of services.

"This initiative doesn't factor in what construction employees ask for, nor does it allow for thoughtful exemptions of parts of the initiative, such as the sick-leave component. A one-size-fits-all approach in the state and across all industries is the wrong approach," said Jerry VanderWood, chief lobbyist for the Association of General Contractors, in a release.

The public will vote in November on the initiative. See how the minimum wage is affecting more than just Washington by clicking here.