Mikaela Schlueter - 12
12/11/2018
In the recent midterm election, Missouri voted on Proposition B, also known as the $12 Minimum Wage Initiative. The Proposition won by a little over 60% of votes.
What this means for Missouri is that over the next five years, the minimum wage will rise by 85 cents each year. By 2023, it will be $12 per hour, a significant difference from the current $7.85. The first increase, which will raise the minimum wage to $8.60, begins in January 2019. Government workers are not included in the initiative.
Prop B was created in hopes of penalizing employers who are paying their employees less than the minimum wage. Raise Up Missouri was the spearhead for campaigning Prop B.
Their supporting argument stated, “No one who works full time should have to live in poverty. Right now, too many Missouri parents who work – often at more than one job – still struggle to put food on the table because they earn just $300 a week. Join our fight to raise Missouri’s minimum wage so parents – not taxpayers – can provide basics like groceries and rent for the 1 in 5 children in Missouri in low-income families.”
Another strong supporter of the Proposition was former Missouri Senator Claire McCaskill (D).
That being said, Prop B has met its fair share of opposition from Missouri’s conservative voters. The Missouri Chamber of Commerce and Industry opposed Prop B because they felt the “ability” of employers to pay workers would decrease, affecting the amount of employees they could have.
This is a common concern for many opponents of Prop B. According to Raise Up Missouri, the extra money created by the larger wage will be “funneled” back into businesses of all sizes in turn, creating economic growth.
Another concern many have is that with this significant increase in the minimum wage, we will also see an increase in inflation. However, in areas where the minimum wage has been raised, there have been no increases in prices as an effect of the wage raise.
The minimum wage was first introduced on the federal level by FDR as a part of the New Deal. It was declared unconstitutional but reinstated in 1938 by the Fair Labor Standards Act.
Over the years, the minimum wage has increased and decreased but has never been adjusted to inflation. The minimum wage today is actually worth less than it was at its peak in the 1960s.
Prop B will not only help adjust Missouri’s minimum wage with inflation, but will also help make sure people are working with a living wage.