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City business owners decry Wolf's push for hike wage

They say large increase would hurt everyone

Several city entrepreneurs say a large increase to minimum wage could break the backs of small businesses.

Businesses are wary of Gov. Tom Wolf's movements in the area of minimum wage.

In search of providing everyone with a livable wage, Wolf is proposing increasing the minimum wage to $12 per hour this summer, then raising that by 50 cents each year through 2025, when it would reach $15.

But a bigger minimum doesn't mean everyone will get a bigger paycheck.

Karen O'Donnell, owner of the Snack N' Pack at the corner of Jefferson and Monroe streets, said even raising the minimum wage by $1 or $2 per hour would hurt her small business.

“Typically anytime that goes on we have to cut back on hours,” O'Donnell said. “We don't make that up ever.”

Vince Tavolario, owner of Natili's restaurants on Main Street in Butler, said while a $15 minimum would threaten his business, he sympathizes with people who can't make ends meet at the current minimum. He said he is reminded of this every time he visits a grocery store.

“I understand that people need more money,” Tavolario said. “I think minimum wages should be raised, but you can't go from $7 to $15.”

Too drastic a change would force him to make cuts to hours, employees and even the menu choices, according to Tavolario.

He said the government needs to talk to small businesses more when it makes these changes and not think solely in terms of big corporations. He said he'd invite any politician, even the governor, to sit in one of the booths in his restaurant to talk about the minimum wage and small businesses.

“There's a balance somewhere,” Tavolario said.

O'Donnell said many small businesses are dealing with expense increases across the board and, especially for restaurants, owners can only raise prices so much, before customers stop buying.

“It's tough to make money now as a business owner,” O'Donnell said. “When you're charging for a sandwich, how much can you raise the price of a sandwich.”

O'Donnell said a raise to $15 per hour would be impossible. She said she has talked to fellow small business owners who voice the same sentiment.

She said even the mere rumor has driven people from the thought of buying into a small business, which at one time was thought to be the American dream.

“That's a big deal. I'm getting almost to retirement, and anyone that I talk to who wants to buy the business or take over the business, that's a big factor for them,” O'Donnell said. “It scares them to death.”

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