On February 18, a rally was organized to celebrate a directive from the California Labor Commissioner, requiring a McDonald’s franchise to reinstate and compensate workers who had gone on strike over COVID-19 protections.
In November, voters in at least three states will determine whether to increase their state-level minimum wages. According to Sebastian Martinez Hickey, a state economic analyst at the Economic Policy Institute, past trends suggest that the ballot measures in Alaska, Missouri, and California are likely to secure approval, resulting in higher wages for workers. Martinez Hickey noted that since 2014, 12 states have enacted minimum wage increases through ballot initiatives. In many instances, he added, achieving wage increases through a statewide ballot is the most viable option due to conservative legislatures not acting to raise wages. Conversely, Arizona will address a ballot measure aimed at reducing the minimum wage for tipped workers. The implications for minimum wage earners and their employers will be significant in the upcoming elections.
In Alaska, voters will consider increasing the state’s minimum wage to $15 an hour by 2027, after which adjustments will be linked to inflation. Ballot Measure No. 1 proposes incremental wage increases, with the minimum rising to $13 in 2025 and $14 in 2026. Currently, the minimum wage stands at $11.73, and an affirmative vote could benefit approximately 30,800 Alaskans. The measure also includes provisions for accumulating paid sick leave—either 40 or 56 hours—based on company size. Joelle Hall, President of the Alaska AFL-CIO, stated that the measure would support workers and small businesses by incentivizing job retention through secure benefits and fair wages. However, Kati Capozzi, CEO of the Alaska Chamber, expressed opposition, arguing that the measure could adversely affect small businesses grappling with a seasonal economy and economic challenges.
In Missouri, Proposition A aims to progressively raise the minimum wage, starting with an increase to $13.75 an hour in January 2025 from the current $12.30. The wage would reach $15 by 2026, followed by inflation-based adjustments. Additionally, the measure mandates one hour of paid sick leave for every 30 hours worked. Richard von Glahn, campaign manager for Missourians for Healthy Families and Fair Wages, emphasized the importance of the measure, highlighting current wage shortcomings and the lack of paid sick time for many workers.
California’s Proposition 32 proposes increasing the minimum wage to $18 from the current $16. Implementation timelines will vary based on employer size, with larger employers required to comply by 2025 and smaller businesses by 2026. The Legislative Analyst’s Office anticipates that such a change could lead to wage increases for non-minimum wage workers and predicts modest cost increases for consumers. With California having a high cost of living, the measure aims to aid workers in meeting basic expenses.
Massachusetts and Arizona have proposed differing approaches to the minimum wage for tipped workers. Massachusetts is considering phasing out its tipped minimum wage, aligning it with the standard minimum wage by 2029. In contrast, Arizona’s Proposition 138 proposes allowing businesses to pay tipped workers 25% less than the minimum wage if their total wages, including tips, exceed $2 above the minimum wage. Geraldine Miranda from The Arizona Center for Economic Progress criticized this as a regressive step, estimating a potential annual loss of $1,400 for tipped workers. Steve Chucri, president and CEO of the Arizona Restaurant Association, supports the measure, viewing it as protective of Arizona’s restaurant and hospitality sectors against external pressures to adopt different pay systems.
