SPOKANE VALLEY, Wash. – As communities across Washington state continue to face affordability crises, the state’s annual cost-of-living adjustment to its minimum wage seeks to offer respite in the New Year.
But owners of some Spokane area businesses say the new minimum wage will force them to make some adjustments, and even threaten the sustainability of their operations.
Gage Lang, the owner of Breaüxdoo Bakery in Spokane Valley, says that since opening three years ago, 2023 was the worst year yet.
“We almost closed several times,” said Lang.
With the state-wide minimum wage set to increase on Jan. 1, 2024, small businesses like Breaüxdoo Bakery will have to cough up a lot more dough.
“Everything skyrockets, so really nobody’s making more you’re just spending more.”
The state minimum wage is set to increase to $16.28 an hour, a ¢.54 increase from 2023. It’s part of an annual process of minimum wage increases set by the Washington Department of Labor and Industries that began with a law passed in 2019.
Lang says it costs him $62,000 a month, all expenses included, to run his business, and although he wants to give his employees a livable wage, he now has to change the way he runs his business.
“We’re now getting into machinery to lower that labor cost and to, you know, stretch that margin,” Lang said.
Lang added that since opening his business, he has had to increase prices yearly, and customers sometimes have a sour response to the cost of their sweet treats.
“Customers do come in here and complain about the prices – nobody wants to spend $6 on a cookie,” Lang said.
Although there may be a rocky road ahead, he is ready to weather the storm.
“We’re just going to hang on tight,” Lang said. “I’ve got a really good team that has put up the fight with me, so we just keep marching for given our all.”
