While Michigan plans to raise the minimum wage by a few dollars, workers in Detroit remain concerned about the cost of living.
The state expects to raise its current wage rate from $10.33 to $12.48. However, those making this amount fear it will still not be enough to combat inflation and the growing living costs. WXYZ, an ABC-affiliated news outlet in Detroit, spoke to workers about what the increase truly means for them. Many of them work multiple jobs to keep themselves afloat.
“I think it could be helpful, as long as we don’t get any more inflation behind it,” said a metro Detroit employee, Howard Hughes.
The exact increase remains unknown, but it is expected to be officialized by Nov. 1. However, workers will not see the change reflected in their paychecks until Feb. 21. Fortunately, the plan also includes annual raises, going as high as $14.97 by 2028. The resolution aims to keep the state’s workforce intact.
Despite supporting the increased pay, another worker believes it “isn’t even enough” only to work one job.
The man, Spud Williams, added, “Even minimum wage, with everything going up, isn’t enough.”
Alan Brikho, a deli owner in the city, says the money would not impact much as rising costs persist. He already raised the pay for his employees and says better wages are necessary for the best staff.
“Prices probably would go up because, at the end of the day, the business margins don’t change,” explained Alan Brikho, who owns Front Page Deli within the Oak Park neighborhood of the city. “In order to get better talent, better employees, you have to pay a little extra because everyone was competing for that same employee.”
The federal minimum wage remains at $7.25, with states like Michigan adopting higher rates to cushion living standards. However, Detroit workers fear that the marginal increases will still leave them unable to afford daily expenses. While inflation steadily cools down, workers’ concerns signify that more is still needed for the minimum to suffice.