Ark., Mo. on verge of raising minimum wage

Voters in Arkansas and Missouri will decide Tuesday whether to significantly raise the minimum wage in their state. The two states, both of which went heavily for President Donald Trump in 2016, offer a test case of whether there is appetite in solidly red states for a mini- mum wage above $10.

Arkansas will vote on whether to gradually raise its current minimum wage of $8.50 an hour to $11 an hour by 2021. Missouri voters are deciding whether to steadily increase the state’s minimum wage of $7.85 an hour to $12 an hour by 2023. Arizona is the only other red state with a higher minimum wage (voters there approved raising the state’s $10.50 min- imum wage to $12 an hour by 2020).

There’s a good chance that Arkansas and Missouri will approve the higher wages, even though most Democratic candidates in the two states support it and most Republican candidates do not. Since 1996, no state has voted down a minimum wage increase that has appeared on a statewide ballot, a sig- nal of the appeal for raises across the political spectrum.

The federal minimum wage — $7.25 an hour — hasn’t been increased since 2009, which is why many states and cities are raising the floor on pay on their own. The Labor Department reported Friday that wages are growing at their fastest clip in almost a decade, but not all workers are feeling it, especially as rent and gas expenses rise.

A University of Arkan- sas poll released last week showed that 67 percent support the wage increase. A poll at the end of October by Mis- souri Scout, a private news service, found 58 percent in favor. Numerous people interviewed for this article said that while their states are conservative, people are very aware of the poverty around them and want to find ways to help.

“Everyone knows people living on the minimum wage who can’t live. It’s their sister, mother, father or friend down at the deer hunting camp. They get it,” said the Rev. Steve Copley, executive director of Interfaith Arkansas and a supporter of the minimum wage increase.

The ballot initiatives in both states have faced strong opposition from the business community, with some business owners arguing that increasing the minimum wage will make these states less competitive,compared with their neighbors such as Kansas, Oklahoma, Iowa, Kentucky and Tennessee, all of which have a $7.25 minimum wage.

There are also concerns that business owners might not hire as many workers, especially teenagers, formerly incarcerated and other lower-skilled workers who usually have a difficult time getting jobs.

“The big problem if this passes is going to be for young people, especially minorities. They’ll have a tougher time finding their first jobs, and it’s going to encourage automation,” said Randy Zook, president of the Arkansas Chamber of Commerce, which fought to have the ballot measure removed but lost in court.

Zook says he has heard from business owners and even nonprofits who say that they hire three high-schoolers at the $8.50 hourly wage but would hire only one or two at $11 an hour.

Studies in other states that raised their minimum wages have generally not shown large job losses, but the concern is that Arkansas is poised to increase the minimum wage a lot higher than most states and cities have so far, both in nominal terms and relative to the median pay in the state.

Some business owners say they are willing to pay the higher costs to see their state, which is the sixth-poorest in the nation, improve.

“It matters to me, because it’s the right thing to do. More income means they’ll have more to spend, which will be good for the overall economy,” said Meg Sebastian, owner of Sebastian Tech Solutions in Jonesboro, in northeast Arkansas.