Minimum wage increase has been the buzz in Congress over the last few weeks and the proposal of a $2.10 raise in the minimum wage could mean higher wages for ISU students, or worse, fewer job opportunities.

The minimum wage increase will have a huge impact on the marketplace, said Thomas Chacko, professor and chairman of management. “[Yet] it should not have a huge negative impact nationwide.”

This impact could be seen in almost any business in the Ames community that currently pays their workers below the proposed wage increase to $7.25.

Calli Ellsworth, senior in child, adult and family services, worked at Hot Topic in North Grand Mall for eight months, starting off at the current minimum wage of $5.15.

It wasn’t until she took the position of key holder that she was given a raise.

As a key holder, Ellsworth had responsibilities such as floor control manager, covering employee breaks, opening the store and counting registers.

“It was very difficult to pay the bills. Even if I worked 40 hours a week, I would be under the poverty threshold,” Ellsworth said.

It’s people like Ellsworth who would feel the effects the most with an increase in the minimum wage.

“[The] major impact would be for people working full-time,” Chacko said.

However, the bill proposing the minimum wage increase might find some hang-ups in the Senate. Even though the bill swiftly moved through the Senate’s Finance Committee, the entire Senate still needs to approve it.

According to a USA Today article, the Senate, which is more likely to favor tax breaks for small business owners, will likely try to inject some ideas into the bill.

The U.S. House of Representatives, however, voted 315-116 on Jan. 10 in favor of the new wage increase without any extenuating tax breaks for business owners.

If enacted, the plan for the increase would be stretched out over a two-year time frame with three increments. Each increment would add another 70 cents to the current minimum wage until it reaches $7.25 in 2009.

“Right away it won’t [affect us], but eventually if it does, our base prices will have to increase,” said Chris Martin. Martin is the general manager for Pizza Hut, located at 436 S. Duff Ave.

With increased prices falling on the shoulders of consumers, the benefits of the proposed minimum wage increase might appear to be canceled out for some.

“If we are paying more for things, then making more [money], it won’t really matter,” said Ryan Tuggle, sophomore in pre-business. “I’m sure it will help out some people but I shouldn’t ever have to worry about minimum wage again after college.”

But when increased wages are put aside, will ISU students really be the ones benefiting from the legislation?

“Immediate impact [on the market] could be cutting back on the number of people they employ to keep their labor rate in check,” Chacko said.

So instead of seeing the rewards of the legislation, students could find it harder to find a job if the bill is passed. However, there are businesses that already pay employees above the minimum wage.

“Right now we start our employees out above minimum wage, with exception of our servers who start out at server base pay,” Martin said.

The Student Job Board on AccessPlus also posts multiple jobs, located both on and off campus.

These jobs pay much more than the current minimum wage. Ranging from clerical work to food preparation, the jobs listed on the Student Job Board pay between $5.50 to more than $8 an hour.