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Ohio Republicans introduce bill to stop proposal to increase minimum wage to $15 in November election

Advocates are preparing to put a proposal on the November ballot to increase Ohio’s minimum wage to $15, prompting state Republicans to introduce their own wage raise bill to “fend off” the constitutional amendment.

Ohioans have been debating the minimum wage for years.

“I think everyone should make at least $15 an hour,” Akron resident – said Brandon Haverlick.

That’s something Haverlick wishes could happen now. Currently, the minimum wage in Ohio is $10.45 for non-tipped workers and $5.25 for tipped workers.

Policy Matters Ohio economist Michael Shields said something needs to change – and it’s state law.

“This is a measure that will both bring us closer to the cost of living in terms of what everyone takes home and make our labor market fairer,” Shields said.

He is part of a movement that is trying to raise the minimum wage to $15 for both non-tipped and tipped workers.

While the group Raise the Wage collects signatures to get on the November ballot, state Sen. Bill Blessing (R-Colerain Township) has introduced fresh legislation that he says is an attempt to stop constitutional change.

“I think it was in good faith that the General Assembly decided to say, ‘OK, let’s meet the voters where they are, even if it’s something that otherwise wouldn’t happen,’” said Blessing, a moderate Republican. .

The idea of ​​the bill was raised at the discussion forum, he said, adding that he would look into it and seek a balance for each side. He shared that restaurant groups wrote the wage portion of the bill, but he’s still trying to find a middle ground.

Senate Bill 256 will raise the minimum wage for non-tipped workers to $15 and to $7.50 by 2028.

He believes everyone, including tipped workers, would choose this over the amendment.

“Why would they want to support your legislation instead of one that would give them more money?” he was asked.

“That’s a great question – apparently there are plenty of servers out there making significantly more than the potential $15 minimum wage. They see it this way: “Well, if you get rid of tipping, even if you do it slowly, people won’t be willing to tip,” the lawmaker responded.

Akron resident Wil Cabrera understands that argument because servers can earn more than just $15 in tips, he said.

“They probably make over $38 an hour on a good day,” he said.

WEWS/OCJ talked to many servers who actually make more than $40 an hour, but Shields says these servers are an anomaly.

“Waiters and waitresses in Ohio make $13 and the average difference,” he said, citing his recent research in tipped work. “While tips do provide people with earning potential, currently their employers can claim a portion of these tips as compensation.”

Mariah Ross, manager of the Raise the Wage in Ohio and One Fair Wage campaigns, said the Senate bill is just a “trick” to “confuse people.”

“At the end of the day, Ohioans are not stupid,” Ross said. “They know what is happening in their country; they know what they are currently experiencing and they know what is happening now – the pay is not sustainable.”

He explains that tips for servers do not decrease as servers earn more, citing a study conducted in Minnesota.

Some in the restaurant industry fear that raising the minimum wage could change the tipping culture and impact operations.

As they told us in January, the Ohio Restaurant and Hospitality Alliance disagrees with this amendment.

“They don’t want to eliminate tipping. This makes a huge difference to their business,” said John Barker, president and CEO.

Barker said restaurants are still trying to stay in business after the pandemic and inflation. If wages increase, some companies will have no choice but to increase menu management costs.

“The ramifications of this are really going to be felt by consumers and they’re upset about it… as they’re trying to provide good value to their customers right now,” Barker added.

timing

Blessing has support in the Senate, he said. While Shields is glad Blessing cares about the issue, he said an amendment is the better option. He argued that people must take the issue into their own hands – through the Constitution – because lawmakers cannot change it. Lawmakers can always change the bill if they want.

“[They can] come in and take away the wage protections that Ohio voters want and support,” Shields said.

The timing is also “eloquent,” he added.

“The reality is that the state legislature has the ability to pass a higher minimum wage at any time — they haven’t used it,” he said. “A measure is introduced in the state legislature every legislative session to raise the minimum wage.”

State Sen. Kent Smith (D-Euclid) introduced the bill in question in 2023. While he respects Blessing for not lying about the intent of the bill, he said that if Republicans didn’t have “sketchy motives,” they would co-sponsor his legislation.

“They are concerned about losing another ballot initiative,” Smith said.

The Ohio GOP as a whole was 0-3 in terms of electoral success in 2023. Of course, many Republicans fell away from the masses on each issue, but it was a year of major losses for them. They lost on changing majority rule, abortion access, and marijuana legalization.

Smith said he doesn’t trust his party not to change the legislation if it passes.

Good point, Blessing replied.

“They’re right, it could happen,” the Republican said. “I think something like this would get on the ballot, and if the General Assembly could find a way to do it at the legislative level and avoid it by recognizing where Ohioans typically stand on issues like this, I don’t think they would repeal it,” he said.

But Ohioans have recent evidence that the arguments are wishful thinking, House Democrats told me.

The Senate dramatically changed the recreational marijuana bill after voters passed it, so much so that the House refused to touch the legislation because it is “against the will of the people.”

“We’re talking about showing leadership and passing something that will resonate with voters at their current level or as close to it as we can imagine,” Blessing said. “And fending off a potential ballot initiative in the process.”

What else will we find in SB 256?

Blessing added a refundable earned income tax credit (EITC), modeling it after the model in Oregon, a deep blue state.

Everyone is eligible for a 9% EITC credit, but if you have a child under the age of three, you will be eligible for a 12% credit.

However, Ohio currently has a non-refundable EITC rate of 30%, so the bill provides an opportunity to choose what is better for the taxpayer.

“They may choose this option because for some people the EITC amount is on the higher end of the EITC curve,” Blessing explained.

What’s next?

“Could the bill be passed so quickly?” he was asked with the election six months away.

“I won’t mince my words, it would be very difficult to get something like that through,” Blessing replied, adding that there is “confusion” in the House of Representatives right now.

House leaders hate each other and bipartisan bills don’t even get passed.

However, I hope that it will start some dialogue, he added.

Both Haverlick and Cabrera, despite their comments about high tips, said they would vote in favor of the amendment in November if it becomes law.

“I think we all deserve to be there right now,” Cabrera said.

By July, the “Raise Wages” appeal requires approximately 415,000 valid signatures. Ross said they’ve already passed the 400,000 mark and still have two months to get much more.

To learn more about the proposal, click or tap here.

This article was originally published on News5Cleveland.com and are published in the Ohio Capital Journal under a content sharing agreement. Unlike other OCJ articles, it is not available for free republication on other news outlets because it is owned by WEWS in Cleveland.

Follow WEWS statehouse reporter Morgan Trau X AND Facebook.

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