Workers in Missouri who made minimum wage last year will be getting their first paycheck of the year soon, with and extra 75 cents an hour added thanks to a minimum wage increase, approved by voters last year.
At the Hannibal YMCA, officials say they employ dozens dozens of minimum wage workers, making up 50% of their workforce.
Jordan Kinsel, a worker at the Y, says he understands why many young people appreciate the wage increase.
“Especially being a college student, it’s kinda essential that you can at least pay your insurance, pay your car bills, whatever bills you may have,” said Kinsel.
But he’s weary of the long term impact on organizations like the Y.
“I can already see there will be some drawbacks with our budget, especially with us being a non-profit organization,” said Kinsel.
Kinsel isn’t the only one concerned about the long term impact, officials here at the I said it’s already something that’s on their minds
“For this year alone fiscally it was a $20,000 increase in payroll,” said Hannibal YMCA CEO Eric Abts, adding that while he’s not opposed to the minimum wage increasing, it’s something they have to react to, “we’ll have some plans in place to address that, we are working hard to avoid any kind of membership or program fee increases.”
But he admits it is a possibility long-term, and is concerned that less money will be going back to the organization because of it.
“Back into the facility, back into programs, back to the community, if that surplus is smaller obviously we can do less,” said Abts.
Concerns Kinsel said some members have already voiced…
“I’ve already talked to some people who are members who are kinda frustrated with that,” said Kinsel.
Y officials said if they have to increase prices on any of their services, members will have at least a month notice before it happens.
The minimum wage in Missouri is set to increase by 75 cents every year on January 1st until 2023, when the minimum wage will be $12 an hour.