As raising the minimum wage is being debated in Connecticut, some small business owners are worried this could ultimately hurt both employees and the consumers, and employees are worried about what that means for their job growth.
“Business is being treated the exact same way whether it’s Walmart or the neighborhood café,” said Brian Jessurun.
Boosting the minimum wage from the current $10.10 per hour to $15 per hour in just a few years isn’t doable for small business, he said.
Jessurun is a managing partner of Green Valley Hospitality Group. He and his brother own The Vanilla Bean Café in Pomfret along with three other restaurants in northeastern Connecticut.
At The Vanilla Bean Café alone he has around 30 non-tipped employees, except for jar at the cash register.
“There’s not a lot of margin. I can’t reach into my business treasury and pay my employees that extra money. It’s just not there,” Jessurun said.
So with a potential wage increase, Jessurun said he might not be able to hire high school students – who are currently paid a little above the current minimum wage. Jessurun said he also pays for their training.
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He might have to scale down the menu as well, since he won’t have the prep staff, and said customer costs would definitely go up.
“We also don’t know the ancillary costs that are going to be passed on by our suppliers as their costs go up. Particularly with the additional taxes and tolls that are being proposed.” Jessurun said.
General Assembly Democrats are looking to raise the minimum wage in stages: $12 in 2020, $13.50 in 2021, and $15 by 2022. Gov. Ned Lamont proposed reaching $15 per hour by 2023.
I’m concerned it will impact my ability to get a raise. I worked very hard and very long to get to where I am,” said Sarah Matteau, an assistant manager at The Vanilla Bean Café and a single mom of two. She’s been working at the café for four years.
“Work so hard to get here and then, you know, one step forward, two steps back,” said head cook Jennifer Coomey.
She’s a single-mom of five and now with her children a little older, Coomey said she can look for a higher paying, salaried position. She doesn’t want to rely on state programs for assistance. But Coomey said she’s afraid what a minimum wage hike means for inflation.
“So where am I going to be? The same place I was when I was 18. Struggling,” Coomey said.
College student Starrie Alemian of Killingly, who is making a little over minimum wage at her job at an unrelated restaurant, told NBC Connecticut it would be nice to take home some extra cash, but she too thinks the cost of everything will go up so she would not really be pocketing more money.
