Contrary to Perception, Small Businesses Do Back a Minimum-Wage IncreaseAn activist from the small business community makes the case for today's ballot initiatives in Arizona, Colorado, Maine and Washington State.

ByHolly Sklar

Opinions expressed by Entrepreneur contributors are their own.

Shutterstock.com

Today, voters in four states will decide on minimum-wage initiatives calling for an increase, by 2020, to either $12 (Arizona, Colorado and Maine) or $13.50 (Washington State).

And, contrary to popular perception, plenty of small-business leaders -- of household names like Ben & Jerry's and Wetzel's Pretzels, to Main Street mom-and-pops -- are backing those increases. They're saying that higher wages will be good for businesses, customers and the economy.

AsCNN wrote last week, "The pendulum seems to be swinging in favor of higher wages nationally, where 29 states and Washington, D.C., now have minimum wages above the federal level of $7.25 an hour."

The CNN report in fact characterized these states as a counterpoint to the "stagnant" federal minimum wage that the Obama administration has been countering with the big changes it's put into place for overtime regulations: On December 1, salaried federal workers earning $23,660 to $47,476 a year will be eligible for overtime pay.

Both presidential contenders, moreover, want an increase in pay for Americans of modest means: Donald Trump supports $10 an hour, and Hillary Clinton, $12 or $15, depending on the economic feasibility of a hike in the city or municipality affected.

Along with these political moves, our own organization,Business for a Fair Minimum Wage, has been active on the minimum wage front from a business perspective. We're a national network of business owners, executives and business organizations that believe a fair minimum wage makes good business sense.

In this regard, we asked small business owners to weigh in. Here's some of what we heard back.

Gary Johnson, president and CEO ofAFI Contractorsin Toledo, Ohio:"When the minimum wage is set too low, it's bad for workers and their families who are under constant financial stress, it's bad for customers; and it's bad for businesses and our economy, which is fueled by consumer spending," said Johnson. "By raising the minimum wage, we wouldn't just lift the floor under workers, we would lift the floor under our economy."

Bill Phelps, co-founder and CEO ofWetzel's Pretzels, a national chain based in California:"We've experienced strong sales growth after minimum wage increases," Phelps said. "The increased cash circulating in the economy goes a long way in offsetting the higher hourly minimum. And businesses see other offsets as well, such as reduced employee turnover and increased productivity. Raising the minimum wage is good for our bottom line."

Edwin Zoe, owner ofZoe Ma Marestaurants in Boulder and Denver:“我是一个在财政上持保守态度的共和党since I was a young man, and that's why as a business owner, I support Amendment 70 to raise Colorado's minimum wage to $12 by 2020," Zoe said. "Amendment 70 will reward work, encourage self-reliance and strengthen the free market by expecting businesses to compete fairly and not count on taxpayers to subsidize them through public assistance for employees who are paid too little to live on. Raising the minimum wage is good business and good government."

Margo Walsh, owner ofMaineWorks LLCin Portland, Maine(and Maine's 2016 Small Business Person of the Year): "The current minimum wage is keeping workers stuck and struggling in poverty," Walsh said. "Raising the minimum wage to at least $12 is vital to making a living even possible. When employees are compensated fairly for their work, they're more productive; and our businesses, our customer base, our tax base and our communities are healthier."

Michael Lastoria, co-founder and CEO of&pizza(which has a growing number of locations across Virginia, Pennsylvania, Maryland and Washington, D.C.): "&pizza is a company that has been, and will continue to be, built on the shoulders of our tribe -- our employees," Lastoria said. "Fair pay is a vital ingredient in our company's success and culture and the well-being of our more-than-400 employees. That is why we chose to provide a starting wage that is significantly above the minimum. It's a simple, but critical concept: Take care of your people and they will take care of your customers."

Rick Altig, chairman ofAltig-Orlovic American Income Life(with offices throughout Washington State): "Our investment in employees, including good wages and healthcare, is key to their investment in our success as a business," Altig said. "Raising the minimum wage is a vital step in ensuring that Washington workers -- who are also our customers -- make a living wage. That's good for workers, businesses and the entire community."

The business case

Since our organization's founding in 2006, we've made the business case for the 2007 federal minimum wage increase that ended the longest period in history without a raise. The last step in that increase was the July 2009 increase to $7.25. Now, there is growing public awareness that raising the minimum wage yet again will help businesses and the economy.

Unfortunately, Congress has not raised the federal minimum wage since 2009, despite strong public support. Meanwhile, more than 1,000 businesses and business organizations have signed theBusiness for a Fair Minimum Wage statementsupporting a federal minimum wage of at least $12 by 2020. A growing number of cities and states -- including those on today's ballot -- have taken action through legislation and ballot initiatives.

Minimum-wage ballot wins today will increase the momentum building across the country to raise the minimum wage in more states, and nationally. We look forward to action in Congress to raise the federal minimum wage so all Americans can benefit from a decent wage floor wherever they live or do business.

Wavy Line
Holly Sklar

Founder and CEO, Business for a Fair Minimum Wage

Holly Sklar is the founder and CEO ofBusiness for a Fair Minimum Wage, a national network of business owners, executives and business organizations that believe a fair minimum wage makes good business sense. Sklar serves on the board of directors of the American Sustainable Business Council and is the co-author ofRaise the Floor: Wages and Policies That Work for All of UsandStreets of Hope: The Fall and Rise of an Urban Neighborhood.Her op-eds on public policy for the McClatchy-Tribune News Service and American Forum have appeared in hundreds of newspapers and magazines. She is author of the regularly updated Business for a Fair Minimum Wage report,Research Shows Minimum Wage Increases Do Not Cause Job Loss.

Editor's Pick

Related Topics

Business News

'Awful Advice': Barbara Corcoran Slammed For 'Tone Deaf' Business Advice to Interns

The "Shark Tank" star shared tips on social media about how interns can increase their chances of getting hired full-time, but the public reaction didn't go as planned.

Business News

这是米y Life Now': Man Hysterically Documents Elon Musk's 'X' Sign Blaring Flashing Lights Into His Bedroom Window

The sign, reportedly put up without a permit, is shining bright at X HQ in San Francisco.

Money & Finance

Want to Become a Millionaire? Follow Warren Buffett's 4 Rules.

企业家是不能过度指狗万官方望太多a company exit for their eventual 'win.' Do this instead.

Business News

An 81-Year-Old Florida CEO Just Indicted for a $250 Million Ponzi Scheme Ran a Sprawling Senior Citizen Crime Ring

Carl Ruderman is the fifth senior citizen in the Miami-Fort-Lauderdale-Palm Beach metropolitan area to face charges in connection with the scam.

绿色企业家狗万官方

Phoenix Has Hit 110 Degrees for a Month, But This One Invention Is Cooling Things Down a Tad

For the Arizona city amid a record-breaking heat wave, cool surfaces bring a modicum of relief.