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Democrats Continue Minimum Wage Song And Dance While We Sing The Inflation Blues

Democrats are singing a happy song today about plans to increase the state’s minimum wage and then index it to inflation starting in 2027.

The problem is this song doesn’t stay happy. As famed singer Billy Ocean once crooned, there will be sad songs that make you cry. And the minimum wage provisions included in the state budget will make people cry no matter how many times Gov. Kathy Hochul and legislative leaders try to convince you we should be singing “Don’t Worry, Be Happy.”

Hochul and legislative leaders agreed to a budget late last week that comes with a minimum wage increase to $16 an hour in New York City and to $15 elsewhere in the state. After that it will be indexed to the rate of inflation.

Inflation is something we should all get used to, because the higher and ever-escalating minimum wage will show up in the cost of food, services, entertainment, utilities and just about anything else you spend money to purchase. Indexing the minimum wage to inflation in 2027 means the cycle will never stop. Higher wages lead to higher costs, which leads to higher inflation, which leads to higher wages. That is the merry-go-round consumers and business owners will find themselves riding until we all get sick.

All of the additional buying power that Hochul and legislative Democrats are singing about today will provide a temporary boost to minimum wage earners. Then prices will catch up and we’ll be in the same position we are now — trying to stretch limited paychecks to pay ever-escalating bills and costs.

Enjoy Albany’s song and dance while you can. We’ll all end up singing the blues.

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