President-elect Joe Biden proposed increasing the federal minimum wage from the current $7.25 to $15 an hour as part of his coronavirus relief package announced Thursday night. Such a dramatic increase would exacerbate the devastating impact economic lockdowns are having on small businesses, while doing great harm to 10.7 million Americans who are unemployed.
The situation is so desperate for struggling small businesses that Congress recently increased the total funds available under the Payroll Protection Program to nearly $1 trillion to help them pay their employees and stay afloat.
In other words, most businesses can't meet their current payroll. So what are we doing increasing the cost of payroll by changing the minimum wage?
