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People who earn minimum wage in Albuquerque will make $1 more every hour beginning January 2013.
The Albuquerque Minimum Wage Ordinance, which passed with 66.23 percent of the vote, will increase minimum wage from $7.50 to $8.50 and will increase wages each year as the cost of living increases. It will also increase wages for employees who receive tips from $2.13 per hour to 45 percent of minimum wage, about $3.82 per hour. In 2014, wages for employees who receive tips will increase to 60 percent of the minimum wage.
But the wage increase will not affect employers who spend $2,500 annually for employees’ child or health care benefits.
The ballot measure proved controversial as some voters felt increasing the minimum wage would hurt small businesses by raising labor costs, which in turn would hurt New Mexico’s economy.
UNM student Forrest Pitts said he disagrees with the increase. He said it will raise unemployment, which will make it harder to get hired in the future.
“I can’t get a job right now. I just want a job even if I only get paid $5 an hour,” he said. “I just want to be able to afford to eat at Frontier, not Tucano’s.”
But UNM student Jacob Klien said increasing the minimum wage is crucial due to the increase in the cost of living in Albuquerque.
“I make minimum wage right now,” he said. “You can’t make a living that way.”
UNM student Jaclyn Serru, who works as a waitress part time to pay for school, said the increase in the tipped wage will benefit people like her.
“When the cost of living increases, we can’t work more hours because we’re focusing on school,” she said. “I’m tired of getting paid $2.13 an hour. People don’t always understand how much we depend on tips.”
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