Wage proposal too much, too fast

To the editor

By:
   Recently, acting Gov. Richard Codey gave his State of the State Address. He proposed raising the minimum wage by 38 percent over a two-year period, to $7.15 per hour.
   The New Jersey minimum wage was increased by 18 percent in 1992 and by 2 percent in 1999. The minimum wage should be raised, but not by such a large amount.
   I earn less than $7.15 per hour and am among the 200,000 people who would be affected by this change.
   Everyone would like to make more money — but what about the people currently making $7.15 per hour, people who have worked years to get up to that amount?
   They are back to making minimum wage, the same as a person hired two years after them.
   Furthermore, if the minimum wage were to be raised, businesses would face a sudden increase in payroll costs. They could raise prices, but that would completely defeat the purpose of the increased wage.
   If businesses could not raise prices, they will either make current employees work harder or fire the least skilled workers, the exact group this increase is supposed to help. Businesses will not pay workers $7.15 for a job that is only worth $6 per hour.
   New Jersey has a strong and growing economy, with over 4 million jobs and low unemployment (4.4 percent).
   Clearly, a smaller increase over a longer time would better help the people making the least money.

Sean Phillips


Wescott Road