Effective Wednesday, New Jersey’s minimum wage will rise by $1 to $8.25 an hour, boosting the paychecks of more than 250,000 New Jerseyans and bumping up costs for businesses with low-wage workers.
While the wage increase is immediate, the reaction by businesses may take longer to assess – especially in light of the automatic annual increases voters approved in November, guaranteeing minimum-wage workers future raises.
Businesses will “over time decide how they’re going to deal with it,” said Thomas Bracken, president of the New Jersey Chamber of Commerce. “I don’t think there’s going to be any huge impact in 2014 on employment statistics or anything of that nature.”
New Jersey is one of 13 states that will raise their minimum wage Wednesday, according to the National Employment Law Project, a nonprofit that advocates for raising the wage.