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Shlomo & Vito's Deli closed, other small business owners struggle to keep up with minimum wage hike

Posted at 5:53 PM, Feb 08, 2017
and last updated 2017-02-08 20:24:24-05

Prop 206, increasing minimum wage to $10, has been in effect for over a month now and local business owners are struggling to adjust to keep their store operating. 

Dean Greenberg, owner of Shlomo and Vito's Deli, says the minimum wage was the last straw before he shut down his business of nine years. 

 

 

Greenberg said he had 43 employees. 

"There are a lot more memories and emotions there then it was doing as a business.  I hired so many kids that I coached, it was like where they got a job you know and so at the end of the day that is what is sad," he said. 

Now other local business owners are trying to adjust to offset the increase of minimum wage. 

"We have already increased our prices and we try to increase little pieces. We raised our cup of coffee so we raised it by $0.20," said Gerard Meurer, owner of Baja Cafe. "So we are trying to do things slightly to see if this is what will offset the rate increases."

He says he increased prices once and will be doing it again soon to make up for what he expects a $95,000 increase in costs between both his restaurants. 

A Tucson Metro Chamber minimum wage survey showed 13% of businesses say they will be closing their doors because of the $10 minimum wage.