Many University students said bills passed Wednesday in the state House and Senate proposing to raise the state minimum wage to $5.15 an hour will not affect them.
In Ann Arbor's competitive job market, many said a minimum wage of $5.15 would not boost their income.
"I make more than that," said LSA junior Buffy Beattie. "Most students I know make at least $6 an hour."
The House and Senate bills are similar in the overall minimum wage, with a few minor differences. The Senate bill, proposed by Sen. Loren Bennett (R-Canton) allows a training wage of $4.25 for workers under 20 during the first 90 days of employment.
The House bill, proposed by Rep. Bob Emerson (D-Flint) would raise the minimum hourly wage for tipped employees from $2.52 to $3.87. Some University students who work in restaurants said they hope their minimum wage will increase to give them a more steady flow of income.
"There are many times you don't get a lot of tips when it is a slow night," said Christy Cowden, an LSA senior who waits tables in Touchdown Cafe.
But some legislators said an increase in tipped employees' wages could result in lost jobs for many waiters and waitresses.
"It will just cost the business money," said Sen. Joanne Emmons (R-Big Rapids). "Servers could lose their jobs easily because these are very marginal jobs."
However, some local restaurant owners said an increase in servers' wages would not result in lay-offs.
"Here we would not decrease our workforce," said Eileen Carroll, the manager of Red Hawk Bar and Grill.
Bennett said he is confident the House and Senate will come to a compromise as soon as Tuesday.
"There is not a great deal of difference between the two bills," Bennett said.
Bennett said he admits his bill, which passed in the state Senate 37-1, will not affect many people in the state because the federal minimum wage of $5.15 applies to all businesses that participate in interstate commerce.
"It will not affect a large number of people, but this is to make sure there is a level playing field for all businesses in the state," Bennett said.
Sen. Dale Shugars (R-Portage), the only senator to vote against the bill, said it will only mandate more government control.
"I don't philosophically agree with the government setting the price for labor or anything else," Shugars said. "If one truly believes minimum wage will help them, they should make it $10 per hour."
Shugars said the decrease could be damaging to lower-income people.
"The irony of the whole thing is daycare centers for children will have to pay their employees more, and daycare costs for single parents will go up," Shugars said. "Also, increasing minimum wage will cost jobs."
Rep. Pat Gagliardi (D-Drummond Island), the House majority floor leader, said the minimum wage is a step in the right direction, but he would prefer the increase to be larger.
"I wish we could have a higher minimum wage," Gagliardi said. "I also have kids working to pay for college."
Gagliardi proposed a 13-cent increase in the wages on tipped employees as a compromise between the House and Senate bills.
Rep. Liz Brater (D-Ann Arbor) said that although she would also prefer a minimum wage higher than $5.15, it has been difficult for the Democrat-controlled House and the Republican-controlled Senate to reach common ground.
"Obviously it's tough to support a family on $5.15 an hour," Brater said. "But it was a tough struggle to get this much."
The proposed change would take effect Jan. 1, 1998.
JOHN KRAFT/Daily
Lisa Dubrine, LSA junior by day but a waitress at Good Time Charley's by night, says she makes $2.50 an hour plus tips, a standard wage for area wait staffers.