Because the increase is phased in, the effect on both business and individuals will be most acute in later years, when more people will be receiving a raise.
Already, some restaurants have moved to using iPads instead of servers to save money on labor costs. And a few businesses have blamed the minimum wage increase for putting them out of business. But Mr. Neumark said he’s skeptical to believe the bump is the reason.
“What you really need to keep your eye on is two things: First, is low-skill employment declining or growing less slowly than it would have otherwise?” he said. “And are the benefits of higher wages really going to low-income families?”
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