Economy
Study raises red flags about Biden's $15 minimum wage push
President Biden's push to raise the federal minimum wage to $15 an hour as part of a broader coronavirus relief package could be a "death knell" for businesses still reeling from the pandemic, according to a new study published this week.
The report, authored by researchers at the University of Kentucky, Indiana University and Washington University in St. Louis, found that hiking the minimum wage hurts new entrants into the labor market, based on data from six states that increased their minimum rate.
When the minimum wage increased, businesses — particularly those making tradeable goods, such as the manufacturing sector — reduced the number of new workers they were hiring, the study found.