According to a new survey, nearly 70 percent of small businesses say that they might have to raise their prices because of costs associated with the recent increase in the federal minimum wage, and 60 percent of small business owners predict they won’t be able to offset the cost of the wage increase.
The survey, conducted by the U.S. Chamber of Commerce, also found that more than 20 percent of small employers said they expect to scale back hiring plans due to anticipated costs from the higher minimum wage. And, about one-third of small businesses reported experiencing other, non-wage related cost increases as a result of the new rate.
The HR Management & Compliance Report: How To Comply with California Wage & Hour Law, explains everything you need to know to stay in compliance with the state’s complex and ever-changing rules, laws, and regulations in this area. Coverage on bonuses, meal and rest breaks, overtime, alternative workweeks, final paychecks, and more.
The federal minimum wage received a boost from $5.15 per hour to $5.85 per hour on July 24, 2007, and it will go up two more times by 2009. Employers in California aren’t directly affected by the change because California’s minimum wage remains higher.
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