Prop 32: Californians vote against raising minimum wage to $18, AP projects
Gap employee Shinju Nozawa-Auclair folds clothes at a Gap store on February 20, 2014 in San Francisco, California. Gap Inc. announced that they will raise their minimum wage for U.S. employees to nine dollars in June of 2014 and to $10 by June of 201
OAKLAND, Calif. - A majority of Californians voted against Proposition 32, which would have raised the state's minimum wage to $18, the Associated Press projected Tuesday. As of 5:15 p.m., 96% of ballots were counted with the majority of voters rejecting the ballot measure.
Currently, the state's minimum wage is $16 an hour for most workers and $20 an hour for fast food workers, among the highest in the nation.
Proposition 32, also known as the Living Wage Act, would have required employers with 26 or more employees to increase wages to $17 immediately and then to $18 on Jan. 1. The measure would have required employers with 25 or fewer employees to delay the increases, raising the minimum wage to $17 on Jan. 1 and to $18 in 2026.
Joe Sanberg, an advocate and entrepreneur, championed the failed ballot measure. He said increasing the minimum wage would allow essential workers and single mothers to cope with California's high cost of living. Sanberg argued that as companies raise the prices of goods, workers would be able to afford their basic needs.
The California Restaurant Association, California Chamber of Commerce, and California Grocers Association opposed the increase. They argued that Proposition 32 would force small businesses to increase prices, leading to inflation and higher living costs that would ultimately hurt working families.