Thousands of workers in St. Louis will likely see smaller paychecks starting Monday, when a new Missouri law takes effect barring local government from enacting minimum wages different than the state minimum.
Employers in the city will no longer be bound by the local ordinance that mandated a minimum wage of $10 an hour. A state law passed on the final day of the 2017 legislative session overrides the St. Louis ordinance and lowers the floor to $7.70 an hour.
Now workers are in limbo and employers face the uncomfortable choice of keeping a higher payroll or cutting employee wages back to a lower minimum. Some do plan to reduce wages, but many are planning to keep the raise for the time being, said Brad Kafka, an attorney who heads Polsinelli’s labor and employment practice.
It’s unclear how many businesses will actually reduce wages. A spokesman for area McDonald’s franchisees, often the target of protests organized by the Fight for $15 group that has long pushed for higher wages, did not return requests for comment.