Publication: The Dominion Post; Date: Apr 20, 2006; Section: Front Page; Page: 1
State, businesses uncertain just who will receive raises
The vast majority of West Virginia's workers won't see fatter paychecks from a new state minimum wage law going into effect in June, officials said Wednesday.
The new law would increase the state's minimum wage from $5.15 to $7.25 an hour over two years, starting with a 70-cent raise on June 30. Gov. Joe Manchin III signed the bill into law earlier this month.
The Division of Labor estimated that only about 2,000 people will be eligible for the increase, said Commissioner James Lewis, but even state officials don't know exactly who will be getting more money. That's because the federal minimum wage law, not the state law, applies to most businesses.
"This law is probably as confusing as any that we have," Lewis said. "We really don't have a handle on who this does cover. We've found that it covers a very small percentage of people who work in West Virginia."
The state law applies only to workplaces with six or more employees and less than $500,000 in revenue, Lewis said. It includes 19 categories of exempt workers and applies only to employees not already covered by the federal minimum wage law.
The federal exemption covers anyone who is involved in interstate commerce. Anyone who works at a business that takes credit cards or stocks shelves from a truck, for example, is covered by federal law rather than state law.
Other exemptions include students working part-time, people employed by an immediate relative, or workers receiving on-the-job training. Traveling salespeople, theater ushers, farm workers, professionals or managers, newspaper carriers and golf caddies are also exempted.
The law did extend the minimum wage to all state workers, Lewis said. But he said that most, if not all, state employees make more than the minimum wage already, so they would not see an increase in their wages.
Dennis Manning, co-owner of Pita Pit in downtown Morgantown, said he didn't know the wage increased had been passed, and wasn't sure if the increase would have any effect on his business.
Most of his employees already make about $6 an hour, which is more than the minimum wage. But if the new minimum wage were to be implemented on his business, it would significantly raise his costs.
"If it impacted the food business, it would be a big impact," Manning said. "Our wages are pretty competitive, but to go up $1.25 an hour would be a lot."
Marlene Robinson, owner of the Cobbler's Bench in downtown Morgantown, said she would like to see a minimum wage increase, but she is concerned about the size of the increase. She said that as a smallbusiness owner, she doesn't have a lot of extra money to raise wages.
"I pay my people more than the minimum wage," Robinson said. "On the other hand, right now I'm trying to generate promotions to get more people to come in and buy shoes."
Jeanne Hagan, owner of Pinocchio's Books & Toys, said she thinks raising the minimum wage is a good idea.
Her business is small and has mostly part-time employees, and increasing the minimum wage might make it harder for her as a business owner. But her children could use more money from their lowwage jobs.
"I personally think it's a great idea," Hagan said. "I have young adult children who are making minimum wage or a little bit over, and it's hard for them to pay their bills. It's overdue, I think."
"There are already legislators that will open that up a little larger during the next session, hopefully," Beach said. "I think they should open it up in the entire state."
Delegate Charlene Marshall, DMonongalia, said she supported the bill because she thinks minimumwage earners need to make more money. She said that even though the law won't have much of an effect, it's important for the Legislature to do what it can for low-income workers.
"At least it's a step in the right direction," Marshall said. "We don't always need to wait for the federal government to do something."
Sen. Mike Oliverio, D-Monongalia, said his vote for the bill was a way to send a message to the federal government that it's time to increase the federal minimum wage. He said that since the federal minimum wage is what covers most workers, it's better to set policy for the entire country at once.
"I think ... mine was more symbolic," Oliverio said. "West Virginia is making a statement to the federal government to review federal minimum wage law. Really that's where it's appropriate to establish minimum wage standards."
Delegate Cindy Frich, R-Monongalia, was one of a handful of legislators who voted against the minimum-wage law. Frich said she thought the law was "a farce and a charade" designed to give legislators something to campaign on this year.
"They wanted to paint a target on the few bold members who would vote against a sham," Frich said. "I'm not there to play politics. I'm there to make a difference and make good laws and good politics."
Sen. Roman Prezioso, D-Marion, said he didn't know which businesses in his area would be required to pay a higher wage. But he said it's important for local businesses to pay people enough to make a living.
"It's almost ridiculous to work at that particular wage," Prezioso said. "Businesses need to be more cognizant of the fact that people need to make a decent wage."