Meanwhile, as you can see in the chart below, Washington leads all states in job-growth acceleration, despite having a minimum wage of $9.32, the highest state minimum wage in the country. And Seattle has the second-best job-growth rate among major cities.
Many small businesses already pay more than minimum wage to attract better workers, so a higher minimum wage isn't necessarily something that would restrict their hiring. In fact, most small-business owners are in favor of raising the minimum wage.
Most minimum-wage workers are employed by large corporations like Walmart and McDonald's, not your local mom-and-pop burger joint or clothing store.
Still, these numbers suggest that higher minimum wages won't necessarily snuff out economic growth, as opponents of raising the national minimum wage claim. And an earlier report in Bloomberg reinforced the message of the Paychex data, suggesting overall job growth in Washington state outpaced the national rate.
“It’s hard to see that the state of Washington has paid a heavy penalty for having a higher minimum wage than the rest of the country,” Gary Burtless, an economist at Brookings Institution, told Bloomberg.
These numbers are especially relevant as President Obama has proposed raising the federal minimum wage to $10.10, a proposal that congressional Republicans have blocked.
Source: huffingtonpost.com by Emily Cohn