LOUISVILLE, Ky. (WHAS11) – It's a debate that has Louisville business owners divided. Should the city have a minimum wage increase? Paul Neumann, CEO of specialty manufacturing company Universal Woods, says definitely.
"I believe that a higher wage will actually lead to a better city," said Neumann.
Neumann says their company already starts their employees at more than $13 an hour. He thinks it would help strengthen Louisville's economy if the minimum wage were raised to $10.10.
"For us it is a strategic choice in terms of feeling like better wages make for better employees, make for better jobs and ultimately make a better company," Neumann said.
But not all local businesses agree with that model. A survey from the Louisville Independent Business Alliance shows while 34% of their members were very supportive of a minimum wage increase, 42% were very against.
Metro Council is set to vote on the $10.10 proposal Thursday night. In a presentation Wednesday, Mayor Greg Fischer said he believed that a minimum wage of $10.10 would lead to the loss of roughly 2,000 jobs in the community. He suggested a compromise of $8.75.
"I am for a minimum wage increase and I will continue to reiterate that," Fischer said. "The 8.75 not only reflects balance when I talk to our local business community but it's also in keeping with many states that have similar cost of living."
District 11 Council member Kevin Kramer says he and other Republican members on the council feel minimum wage should be a federal issue and plan to vote against this increase.
"The minimum wage itself is not a bad thing. I am in favor of having a national minimum wage, I even recognize the need to raise the minimum wage, nationally. The problem is that we are in a regional economy. We are directly across the river from Indiana which has a considerably different approach to wages," Kramer said.
