My readers at South Dakota Magazine may not think minimum wage workers deserve any consideration, but fortunately, the are in the minority. Thanks to the good sense of 55% of South Dakota voters, minimum wage workers will get a raise on January 1, from $7.25 to $8.50 an hour.
But what about all the jobs ALEC says we're going to lose? South Dakota's going to end up a wreck like Minnesota, where they raised the minimum wage even more this summer, right?
On August 1, Minnesota hiked its minimum wage for small employers from $5.25 to $6.50 an hour and for large employers from $6.15 to $8.00. Those are hikes of 24% and 30%, respectively. South Dakota's upcoming increase is 17%.
Let's look at what has happened to employment in Minnesota since then, with some numbers from the whole past year for context:
|Source: Minnesota Department of Employment and Economic Development|
Three months after imposing a higher relative increase in costs on minimum-wage employers than South Dakota's increase will, Minnesota has 17,157 more jobs. Unemployment ticked down two tenths of a percentage point in August, in September, and again in October.
The last three months continue a steady upward economic trend in Minnesota that has taken place under a strong regime of Democratonomics that the Republicans are acknowledging they probably aren't going to overturn with their new State House majority.
Minimum wage goes up; job growth hums along. Minimum wage decriers, cry away.7 comments