Washington D.C. council members gave final approval to a job killing bill this past Wednesday. Wal-Mart, a day earlier, warned the passing of this bill would prevent it from opening three planned stores in areas of D.C. that are in a dire need of jobs.
The bill calls for certain retailers, those whose corporate sales surpass $1 billion and operate in spaces of at least 75,000 square feet, to pay its employees a 50% premium over the city’s minimum wage. Employees would earn a minimum of $12.50 an hour, while the city’s minimum wages is $8.25 an hour, already a dollar over the federal minimum.
A bill such as this is killing jobs and preventing growth in areas in great need. It’s not just halting the development of Wal-Mart in the area, but also the small businesses that pop up around these big anchor stores.
Why would anyone approve a bill that is a sure job killer?
Our state legislature here in New Jersey has tried to do just that. They passed legislation that would have raised the minimum wage to $8.25 an hour. Governor Christie vetoed this bill twice saying it would “jeopardize the economic recovery we all seek.” Now an initiative will appear on the ballot in November asking voters to decide on a raise of the minimum wage to $8.25 an hour with a yearly increase tied to the consumer price index.
This initiative will not only dissuade new businesses from developing in New Jersey, but it will further increase the amount of businesses already fleeing the state due to being over-taxed and over-regulated.
The New Jersey legislature is still holding onto the idea of these anti-business bills thinking it will eventually help the state’s economy. It has been a proven failure, year after year for the past decade. In states promoting more open and free economies, as in Florida and Texas, the job markets and economies have flourished.