MADISON – In the wake of the Madison City Council approving a local minimum wage that will escalate to $7.75 an hour and be linked to inflation, WMC will ask the Legislature to ban local minimum wages. “Madison’s local minimum wage is a dangerous precedent for Wisconsin,” said James A. Buchen, vice president of government relations for Wisconsin Manufacturers & Commerce. “First it passes in Madison, and then the proponents will fan out across the state to raise the minimum wage in Milwaukee, Stevens Point, Green Bay, Marinette, West Bend, Sheboygan and La Crosse. They won’t stop at Madison.” Earlier this month, Governor Jim Doyle vetoed a bill that would have banned local minimum wages. Doyle had previously said he was opposed to local minimum wages. Doyle supported raising the statewide minimum wage to $6.50 an hour from the current $5.15. WMC supported the ban on local minimum wages vetoed by Doyle. WMC had supported Doyle’s state minimum wage hike with the understanding that local ordinances would be banned. “We cannot allow the Madison City Council to drive up the cost of doing business in our state,” Buchen said. “We can’t support a higher state minimum wage and a series of local minimum wage hikes. That would terrible for small businesses.” With a local minimum wage higher than the state, Madison’s wage ordinance will create constant pressure to raise the state minimum wage. Virtually all economists agree that raising the minimum wage results in job loss and reduced opportunities for entry-level workers, Buchen said. “In the end, workers with little experience and low skill levels will lose opportunities,” Buchen said. “The people they are trying to help will be hurt.” For Further Information Contact: James A. Buchen, (608) 258-3400 -- 30 --
Posted: March 31, 2004
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