New Jersey’s minimum wage will increase from $10 per hour to $11 per hour beginning today, January 1st. The rise is the second in a planned series of wage increases in New Jersey, with the goal of reaching a $15 minimum wage by 2024. The first wage hike went into effect on July 1st of this year, with the next increase expected to take place in 2021.
Analysts estimate that over 500,000 people will benefit, directly and indirectly, from the minimum wage increase in New Jersey. Governor Murphy has made higher minimum wages a priority for his administration, in an attempt to assist low-income individuals and households survive in the high cost of living state of New Jersey.
But critics say that a rising minimum wage ultimately hurts workers by increasing the cost of consumer goods and motivating employers to hire fewer low-wage workers. They point to studies which show that workers ultimately gain nothing from the increases.