Minimum-wage increase may take time

Governor's working group recommends further study of issue

Published: Wednesday, Jan. 18, 2006 9:43 p.m. MST
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An increase in the state's minimum wage may be appropriate at some point but not necessarily this year, a group appointed by Gov. Jon Huntsman Jr. has concluded.

The governor's Minimum Wage Working Group on Wednesday released four recommendations on the issue, key among them being an in-depth study of the estimated 19,000 Utahns currently working at or below minimum wage.

The series of studies would identify who would benefit most from an increase beyond the current rate of $5.15 per hour and likely improve the chances for future legislative success, group chairwoman Pamela Atkinson said.

"I'm not against increasing the minimum wage. It's just that I don't think we have sufficient information to get it through the Senate and the House," Atkinson said. "It's hard to go to legislators with inconclusive data."

The policy paper does not take a position on legislation now before the Utah Legislature to increase the state's minimum wage to $7 per hour. SponsoringSen. Ed Mayne, D-West Valley City, said Wednesday it should not be seen as a conflict with his efforts to pass SB43 this year.

"I think these things just reinforce what we're saying," Mayne said. "What we're going to find out . . . it isn't teenagers (earning minimum wage). It's single heads of households. It's women. It's families that are working three or four jobs just to make ends meet."

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To delay passage of a bill that will help people in need now is "not acceptable," he said.

"In the real world, people are saying, 'Increase the minimum wage,' " Mayne said, pointing to a November Deseret Morning News poll showing that 77 percent of those surveyed either strongly or somewhat favored an increase in Utah's minimum wage. Twenty-one percent of the 400 Utahns questioned by Dan Jones & Associates opposed the measure.

Even though there is public pressure to act, Senate President John Valentine, R-Orem, said Wednesday he wants to see evidence action is needed. The strength of Utah's economy has helped drive up wages, he said, citing fast-food jobs in Utah County that are no longer minimum-wage jobs.

"They can't find enough people to fill the positions at minimum wage," the Senate leader said. "The robust economy is having the effect of raising (pay scales) above the minimum wage."

Fifteen states and Washington, D.C., have increased their minimum wage beyond the federal rate of $5.15 per hour. It has been eight years since Utah increased its wage.

According to Wednesday's report, 6,000 Utah workers make $5.15 per hour and another 13,000 are paid less than the minimum wage, likely in positions that earn wages plus tips.

"We really need to find out, No. 1, the characteristics of these people, and No. 2, how many of them are earning minimum wage and accessing public assistance," Atkinson said.

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