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Prop A, as passed, could hamstring business and economy

Adjustments to voter-approved measure to ensure prosperity


By State Rep. Sherri Gallick (District 62)

There have been several articles or posts about my bill, HB 567. While some information is accurate, other points have been ambiguous. Let me be clear — I do not question the hard work of those earning minimum wage. I’ve been in their shoes. At one point, I worked three jobs and understand the challenges industries like restaurants face. I also know firsthand what it’s like to experience wage disparities — I once received a substantial raise, only to realize I had been earning significantly less than my male colleagues despite excelling at my job.

 

As a businesswoman, I recognize the complexities of minimum wage and sick leave ballot measures. Businesses create jobs, and measures like these have lasting effects on employment. Business owners across my district — and throughout Missouri — have voiced concerns about unintended consequences.

 

I fully support workers earning strong wages and competitive benefits. However, Proposition A presents significant challenges, particularly for small businesses. Of Missouri’s 115 counties, 87 — roughly 75% of the state — voted against it. Meanwhile, Missouri’s minimum wage recently increased to $13.75 per hour ($6.88 for tipped employees), an 11.7% jump. Raising it to $15 next year would mark a 21% increase. How many businesses will grow their profits by 21% in a year? Very few, if any. Labor is often the largest expense in a business’s budget, making such a sharp increase difficult to absorb.

 

Missouri’s wages are already significantly higher than those in neighboring states: Kansas, Iowa, Kentucky, Tennessee, and Oklahoma remain at $7.25 per hour, Arkansas at $11.00, and Illinois at $15.00 ($13.00 for employees under 18). Missouri ranks 18th in minimum wage but 46th in cost of living — an imbalance that cannot be ignored. While gradual increases are manageable, sudden spikes impose unrealistic burdens on employers.

 

Proposition A’s sick leave provision adds another layer of complexity. The measure introduced eight pages of regulations most voters never had the opportunity to review, and the ballot summary failed to fully explain the impact. Had voters known a "yes" vote could lead to downsizing, higher prices, and potential business closures, would they have made the same choice? Additionally, the measure combined two separate policies — violating state statutes — and originated from out-of-state interests pushing initiatives already rejected elsewhere.

 

Beyond financial strain, Proposition A creates legal challenges for employers. Under its provisions, employees could miss work without notice, and businesses would be prohibited from asking why or when they will return. This unpredictability threatens the stability of businesses of all sizes.

 

I understand that, for some, economic realities will not change their views. However, these concerns matter — to Missouri’s businesses, workers, and economic future. Thoughtful policies — not rushed mandates — are the key to long-term growth and prosperity for all Missourians.

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