Thousands of Missourians will have more money in their pockets beginning Jan. 1 after voters passed Proposition A last month, increasing the minimum wage to $13.75.
Advocates say that after the passage of Proposition A, fewer parents will have to choose among losing pay, going to work sick and sending children to school while sick. The wage increase will help an estimated 137,000 parents and 338,000 children in the state have more money to access basic necessities like food, housing and medical care, according to the Fairness Project, a nonprofit that supports economic and social justice measures.
Under Proposition A, Missouri’s minimum wage will increase in January 2025 from $12.30 an hour to $13.75. It will reach $15 an hour in January 2026 and be adjusted annually thereafter for inflation.
Richard von Glahn, campaign manager of Missourians for Healthy Families and Fair Wages, said the minimum wage is currently less than $500 a week for full-time workers.
“We know how it's especially difficult around the holidays when parents are maybe wanting to be able to dig a little bit deeper and get something for their children,” Glahn said. “But sadly, oftentimes that's out of the equation for too many families, because the minimum wage has been so low. … We know working people are the drivers of the economy in the state when they're better paid. We're excited for Jan. 1.”
Although the law passed and is set to take effect, business groups challenged the constitutional amendment in a lawsuit filed Dec. 6 with the Missouri Supreme Court. Opposing groups include the state’s chamber of commerce, the Missouri Grocers Association and the National Federation of Independent Business.
Buddy Lahl, CEO of the Missouri Restaurant Association — another opposing group — argues that the proposition violates the Missouri Constitution by combining wage increases and benefits into one ballot initiative. He emphasized that the measure burdens small businesses, particularly those with fewer than 15 employees.
“(The) minimum wage is not really our issue,” Lahl said. “It's the sick pay that is a real problem for us. … There’s eight pages of requirements for an employer to pay sick pay. That's a lot. And for a small-business owner, for one, they can't afford it, and two, they don't have the infrastructure or the payroll processes to adhere to these guidelines.”
Von Glahn said Proposition A raises wages for roughly 16% of the state's workforce. The average wage increase is expected to be around $831 per year, he said.
He added that the raise will benefit one in five Missouri children by lifting household wages.
“I don't ever want to hear again from a parent, ‘I feel like a failure because I can't, you know, I can't provide for my child,’” Von Glahn said. “As a parent myself, that breaks my heart.”