WA Minimum Wage to Jump Again in 2020–Details
Many will be watching the effect this will have on hiring, especially in the service industry area.
Washington state's minimum wage will jump by one of it's biggest margins in 2020, rising $1.50 per hour to at least $13.50. There are different levels, however, of the wage. According to information supplied by KING-5 TV in Seattle, what are considered large companies (such as Amazon etc. who have 501 or more workers) will have to pay at least $16.39, smaller employers $15.75. If the business contributes at least $2.25 per hour towards the worker's medical benefits, OR the worker makes $2.25 an hour or more in tips, then the wage will be set at $13.50.
Either way, you will likely expect price jumps in many sectors of your life. One of them is likely to be at your favorite espresso or coffee shop. We noticed going into 2019, our favorite place went up between $.25 and .50 cents per drink (depending on the type) and we were told (off the record) by workers that it was related to the minimum wage hike.
Smaller companies are those who employ 500 or fewer workers. The $1.50 hike is expected to significantly cut back on hiring, especially in cities and counties who are not doing well economically or booming, like ours. Even in Tri-Cities, you will see price increases 'sneaking' into fast food menus, coffee, and other areas.
As minimum wages rise again, employers and business leaders say they will have to pass at least some costs onto consumers, and hard choices will be made about hiring, and possibly letting some workers go.
According to Investors Business Daily, in 2018 Red Robin restaurants eliminated bus boy positions at their 570 outlets to offset minimum wage hikes. They (IVB) say if $15 minimum wage hikes are eventually implemented nationally in all 50 states, it will eliminate about 1.7 million jobs, mostly in the unskilled service industry.