The San Diego Regional Chamber of Commerce‘s business index turned down in April, with employers saying the imminent increase in the San Diego minimum wage is to blame.
The Business Outlook Index, which surged last month to the highest point since June 2015, reversed and is now back down to where it was in February. The main factors dragging the index down were a waning confidence in hiring and the imminent increase in the minimum wage.
Voters are expected to approve Proposition I in the June 7 primary, allowing the city to proceed with the minimum wage ordinance enacted by the City Council in 2014. The ordinance would raise the minimum wage to $10.50 immediately and to $11.50 on Jan. 1.
“It’s clear from this survey that a rising minimum wage presents across-the-board hurdles to county businesses and there is concern that some of these businesses may leave the state. We understand the pressures mandatory wage increases have on business owners which is why the Chamber has voiced our opposition to proposition I,” said Jerry Sanders, president and CEO of the chamber.
