WASHINGTON (AP) — Maybe a higher minimum wage isn't so bad for job growth after all.The 13 states that raised their minimum wages at the beginning of this year are adding jobs at a faster pace than those that did not, providing some counter-intuitive fuel to the debate over what impact a higher minimum has on hiring trends.
Many business groups argue that raising the minimum wage discourages job growth by increasing the cost of hiring. A Congressional Budget Office report earlier this year lent some support for that view. It found that a minimum wage of $10.10 an hour, as President Obama supports, could cost 500,000 jobs nationwide.
But the state-by-state hiring data, released Friday by the Labor Department, provides ammunition to those who disagree. Economists who support a higher minimum say the figures are encouraging, though they acknowledge they don't establish a cause and effect. There are many possible reasons hiring might accelerate in a particular state.
Read more @: States with higher minimum wage gain more jobs
More ammo to those who favor raising the wage. They were told if they raise the wage jobs would be loss, in seems that the opposite is happening. Those states who raised the wage are currently creating more jobs.