I hate “I told you so.” I hate it because it usually comes just after something terrible has happened. It is a phrase used when a prognosticator sees something bad coming, but can’t convince others of the danger. Usually, it’s because the others lose sight of what is really important, and by the time they realize the consequences of their actions, it is too late. We just saw it locally as manufacturers have been demanding lower energy costs, and now without them, more than 200 people will be out of work from Madison Paper Industries and dozens of families will need a new source of income. They told legislators, “This is what we need,” but legislators were focused on other things. We could say, “I told you so,” but what is that worth to them now?

The same thing is happening with the minimum wage.

The Maine People’s Alliance sponsored a petition to the raise the state minimum wage to $12 an hour by 2020, along with cost-of-living indexing increases and elimination of the tip credit. This $12 proposal will be a referendum vote on the November ballot. If the referendum passes, Maine will have the highest statewide minimum wage in the United States. The $4.50 increase over four years is the largest increase in U.S. history.

Many of my local businesses reached out to me and said that $12 is not sustainable. I created a survey, figuring if businesses are to foot the bill for the minimum wage increase, maybe we should be the ones to ask their opinions. The numbers were staggering from the 200-plus respondents statewide:

• 6 out of 10 respondents (60.32 percent) said they would be less likely to hire new employees if minimum wage gets to $12 an hour.

• 4 out of 10 (43.39 percent) said they may have to lay off current employees if it passes.

Advertisement

Dozens of issues arose, including the increased costs for all items, increased unemployment/underemployment, more automation to replace people at checkouts, no more teenage employees, and much more.

A competing measure has been put forth to legislators from a coalition of business organizations who studied the business survey responses, and they have created a business-friendly $10 option. The option, called a competing measure, would increase the minimum wage to $10 an hour by 2020, with no cost-of-living increases and no tip credit elimination. Three out of four businesses (75.90 percent), when asked about a competing measure as opposed to the $12 option, supported the competing measure.

The competing measure went to the Maine House of Representatives last Thursday, and lost by nine votes. This week, it lost by 11 votes. The businesses are saying, “We can’t afford $12 an hour” and, “We will have to cut hours or people,” and the Legislature essentially said, “We don’t even want to put your voice on the ballot to give you an opportunity to be heard.” The businesses aren’t asking for an endorsement — they are simply asking for an opportunity to get their compromise to the citizens.

Let me be crystal clear on this topic — if you don’t believe me or this survey, then go ask any business owner you know. Each Mainer knows at least two to three business owners. Ask them. Ask a restaurant what eliminating the tip credit would do to them. Ask a mom-and-pop shop what raising the minimum wage would do. Ask a manufacturer how many people would need to be laid off if $12 an hour goes through by 2020. Ask what is more sustainable, the $12-an-hour option or the $10-an-hour option. Ask them. They will tell you.

I long for a Legislature that can find compromise. I’m tired of the fighting and the gridlock, and we need a Legislature that will listen to all voices and do what is right for the citizens and the businesses of Maine, and not just for the few groups they want to get support from in November. We can unite on this issue — but you have to want to unite. Getting to $10 an hour is still the fifth largest increase to minimum wage in U.S. history.

If businesses are saying that $10 an hour is a more sustainable number for staying in business, and it’s a jump of 33 percent to the current minimum wage, why wouldn’t you want that, over an option that businesses say will cripple them and force them to close? It is pretty simple – do right by everyone, be brave, so that a year from now, none of us says, “I told you so.”

Cory King is the executive director of the Skowhegan Area Chamber of Commerce. He has no party affiliation, and is registered as unenrolled.

Copy the Story Link

Only subscribers are eligible to post comments. Please subscribe or login first for digital access. Here’s why.

Use the form below to reset your password. When you've submitted your account email, we will send an email with a reset code.

filed under: