An anonymous survey sent to businesses across Tucson from the Tucson Metro Chamber gives an inside look at how the minimum wage increase has impacted local businesses.
According to Robert Medler, Vice President of government affairs with the Tucson Metro Chamber tells KGUN 9 that the results are from 53 anonymous business owners.
Forty-nine percent of business owners say the increase has not impacted their day-to-day operations.
Unfortunately, Proposition 206 is affecting the majority:
- 20% are having layoffs
- 32% are reducing hours
- 11% are moving to automation
- 13% are considering closing business for good
- 40% are increasing the prices of goods and services
JJ Esquibel, the owner of "Wings over Broadway," says he has had to increase prices by 15% to make up for lost profit.
Esquibel has been in business for ten years and now has 16 employees.
But the increase in wages isn't just for those making minimum wage - Esquibel had to increase the wages of those who have worked for him for many years.
"The biggest issue that I faced is some of the employees that I have had for years had to have their wages adjusted." Adding, "many employees walking in were making close to what veteran employees make."
Minimum wage is currently $10 and will eventually climb to $12 in 2020.