NJBIA: Christie Finds Reasonable
Compromise on Minimum Wage
January 28, 2013
Governor Chris Christie’s conditional veto of A-2162/S-3 represents a reasonable compromise that recognizes the difficulty of raising the minimum wage under current economic conditions, NJBIA Assistant Vice President Stefanie Riehl said today.
“The Governor has found a reasonable compromise to a difficult and contentious issue,” Riehl said. “The conditional veto recognizes that many small businesses are struggling in this economy and facing the daunting task of rebuilding after Sandy and are not in a position to absorb a 17 percent wage increase all at once.
“By phasing the increase in over three years and eliminating the automatic cost-of-living increases in the future, the Governor’s conditional veto would provide businesses with the time and predictability they need to prepare for this increase.
“This opportunity to address the issue statutorily should also put a stop to a plan to increase the minimum wage through a constitutional amendment,” Riehl said. “The constitution’s purpose is to establish our system of government and secure fundamental rights. It should not be used to institute what is effectively a wage contract.”
Currently, the minimum wage in New Jersey stands at $7.25 per hour. Christie’s conditional veto decreases the proposed $8.50 minimum wage increase included in A-2162/S-3 to $8.25 per hour and phases it in over three years, beginning March 1. The minimum wage would increase 25 cents this year, 50 cents next year, and then another 25 cents 2015. The veto would also remove a provision of the bill that would increase the minimum wage automatically each year according to increases in the Consumer Price Index.
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New Jersey Public Policy Collection
