Minimum wage increase raises financial concerns for Bronx diner
The owner of a Bronx diner says he may have to raise the price of food on his menus because of the minimum wage increase expected to be in next year's New York state budget.
Peter Tsibidis has been the owner of Crosstown Diner on Bruckner Boulevard for over 35 years, and with a staff of 40 employees, he says, paying them more might cost customers a little extra.
On Thursday, Gov. Andrew Cuomo and New York lawmakers came to an agreement on a plan for a statewide minimum wage increase of $15.
State lawmakers say they have agreed to include the bill in the state budget in 2017, and the bill includes statewide $15 minimum wage and 12 weeks of paid family leave.
Tsibidis says he's afraid that if he doesn't raise prices that he'll be forced out of business by the new law, but he also says if he raises the prices, he fears customers will stop coming in.
It's a fear many business owners in the Bronx have, he says. Although, he admits he just hopes the money will go back into small businesses.
State lawmakers have also agreed to include unprecedented investment in education, middle class tax cuts and record spending on infrastructure statewide.
The plan says that minimum wage will raise to $11 an hour by the end of 2016 and then an additional $2 each year after.
The increase of $15 won't take effect until 2018, according to lawmakers.