Ohio's minimum wage is about to rise again, with the rate going up for nontipped employees by 50 cents an hour — from $8.80 to $9.30.Workers who receive tips will get a wage increase from $4.40 an hour to $4.65.That increases are slated to begin on Jan. 1, 2022.The current federal minimum wage is $7.25 per hour. Earlier this year, three Ohio lawmakers, including two from Cincinnati, said they were going to introduce legislation that would raise the state's minimum wage to $15 an hour by 2027.State Sens. Cecil Thomas (D-Cincinnati) and Hearcel Craig (D-Columbus) said they will soon introduce legislation that would incrementally increase the minimum wage. Under their legislation, the minimum wage would be raised to $10 on Jan. 1, 2022, then increase by $1 per hour each year until Jan. 1, 2027, when it reaches $15 per hour. After that, it would be indexed to inflation. The increase also comes as many companies are raising minimum wages for employees. But as wages increase, so does inflation.Wages increased by 1.5% in the third quarter, up sharply from the previous quarter and they're up 4.2% from a year agoA lot of that is driven by huge companies offering higher hourly wages and incentives.“One of the things we have seen that's causing these corporations to being forced to raise the wages is to attract those workers they have to raise wages,” University of Cincinnati economics professor Michael Jones said.He said the trend of companies raising their minimum wages is not new it actually started with Amazon in 2018 and other companies needed to match those offers to attract talent.”Now if you are a smaller company like a restaurant in which labor cost make up a large percentage of your business, this is making it very difficult to compete,” Jones said.One downtown business is defying the odds. Hathaway's Diner has been around for 65 years and is still keeping up with the times.It isn't easy. Owner Danny Holbrook said food cost has increased substantially.
Ohio's minimum wage is about to rise again, with the rate going up for nontipped employees by 50 cents an hour — from $8.80 to $9.30.
Workers who receive tips will get a wage increase from $4.40 an hour to $4.65.
That increases are slated to begin on Jan. 1, 2022.
The current federal minimum wage is $7.25 per hour.
Earlier this year, three Ohio lawmakers, including two from Cincinnati, said they were going to introduce legislation that would raise the state's minimum wage to $15 an hour by 2027.
State Sens. Cecil Thomas (D-Cincinnati) and Hearcel Craig (D-Columbus) said they will soon introduce legislation that would incrementally increase the minimum wage.
Under their legislation, the minimum wage would be raised to $10 on Jan. 1, 2022, then increase by $1 per hour each year until Jan. 1, 2027, when it reaches $15 per hour. After that, it would be indexed to inflation.
The increase also comes as many companies are raising minimum wages for employees.
But as wages increase, so does inflation.
Wages increased by 1.5% in the third quarter, up sharply from the previous quarter and they're up 4.2% from a year ago
A lot of that is driven by huge companies offering higher hourly wages and incentives.
“One of the things we have seen that's causing these corporations to being forced to raise the wages is to attract those workers they have to raise wages,” University of Cincinnati economics professor Michael Jones said.
He said the trend of companies raising their minimum wages is not new it actually started with Amazon in 2018 and other companies needed to match those offers to attract talent.
”Now if you are a smaller company like a restaurant in which labor cost make up a large percentage of your business, this is making it very difficult to compete,” Jones said.
One downtown business is defying the odds. Hathaway's Diner has been around for 65 years and is still keeping up with the times.
It isn't easy. Owner Danny Holbrook said food cost has increased substantially.
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