DELAWARE- Gov. John Carney signed a Senate bill early Monday morning that will gradually raise the state's minimum wage to $15 an hour. The minimum wage will increase over the next five years from $10.25 to $15 by 2025.
The minimum wage will increase to $10.50 in 2022, $11.50 in 2023, $13.25 in 2024, and $15 an hour in 2025.
"Our overall goal is to make sure everybody has a job and income for the ability to support themselves and their families," said Carney.
Many minimum wage workers in Delaware said they are excited for the pay bump.
"That's exciting. That's really good," said Emily Bell, an employee at Pizza King in Laurel, Del. "Cause I know a lot of people around here, like the Laurel area, struggle a lot with the low pay and stuff like that. It's hard to get a good job that pays, ya know without experience, without a college education."
By raising the minimum wage, many companies, especially small local businesses, are faced with new financial complications. Businesses struggle to keep cost down while trying to pay all their employees at the new rate. A raise in wages often results in layoffs, business closures or the elimination of "unnecessary" positions.
Owner of Cafe On The Circle in Georgetown, Michael Oxbrough, said a higher minimum wage could result in businesses cutting their workforce.
"Then they are just going to eliminate the business," said Oxbrough. "I've talked to many businesses that are going to do and make a counter service. So, there you go. Look at Royal Farms. Minimum wage is already effecting Royal Farms, and super markets and Food Lions etc. How many self checkouts do you have there?"
Although the bill was signed into law Monday morning, businesses are not required to increase minimum wage until January 2022.
