1851

In the wake of one of the most divisive presidential elections in our nation&rsquo;s history, franchising is on the verge of some <a href="http://1851franchise.com/details/7211/How-the-2016-Presidential-Election-Will-Shape-the-Future-of-Franchising" style="text-decoration:none;" target="_blank">major changes</a>. Among those changes is minimum wage. 

A complex and varied issue, a rising minimum wage has the ability to dismantle franchisees&rsquo; smaller businesses throughout the country. While higher wages puts more money in employees&rsquo; pockets and could decrease national poverty levels, it also has the potential to slow down hiring, raise prices and lead to layoffs. As reported by <a href="http://abcnews.go.com/Business/economists-weigh-pros-cons-15-minimum-wage/story?id=38029809&utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-oval-office-might-sway-minimum-wage-after-november-8th-7365" target="_blank" rel="nofollow" style="text-decoration:none;" target="_blank">ABC News</a>, Arindrajit Dube, associate professor at University of Massachusetts at Amherst, has said wage increases in California are equivalent to a &ldquo;big experiment.&rdquo;

&ldquo;Ultimately, it&rsquo;s a give and take situation,&rdquo; says <a href="https://www.linkedin.com/in/lonniehelgerson?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-oval-office-might-sway-minimum-wage-after-november-8th-7365" target="_blank" rel="nofollow" style="text-decoration:none;" target="_blank">Lonnie Helgerson</a>, franchise consultant and president of <a href="http://franchisemegabrand.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-oval-office-might-sway-minimum-wage-after-november-8th-7365" target="_blank" rel="nofollow" style="text-decoration:none;" target="_blank">Helgerson Franchise Group</a>. &ldquo;So if the prices go up on something, someone&rsquo;s going to have to make up that cost. And unfortunately, that will fall on the consumers and franchisees both&hellip; It&rsquo;s not that [franchisees] don&rsquo;t want to pay their people well. It&rsquo;s just that you have to balance that out with the cost of your product.&rdquo;

The <a href="http://www.franchise.org/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-oval-office-might-sway-minimum-wage-after-november-8th-7365" target="_blank" rel="nofollow" style="text-decoration:none;" target="_blank">International Franchise Association</a> has made great efforts to challenge an increase in minimum wage, such as <a href="http://www.cnbc.com/2016/01/27/franchisees-fight-back-against-15-wages.html?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-oval-office-might-sway-minimum-wage-after-november-8th-7365" target="_blank" rel="nofollow" style="text-decoration:none;" target="_blank">suing the city of Seattle</a> for it&rsquo;s minimum wage increase to $15. Their argument is that the law treats franchise businesses the same as large corporate companies, whereas franchises want to be recognized as smaller businesses. The IFA&rsquo;s lawsuit was thrown out by a federal judge. Government has continued to push and approve legislation raising wages. New York and California are among the other states which have already agreed to work towards a $15 minimum wage in the next couple years. 

The<a href="http://www.nola.com/politics/index.ssf/2016/09/where_do_trump_and_clinton_sta.html?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-oval-office-might-sway-minimum-wage-after-november-8th-7365" target="_blank" rel="nofollow" style="text-decoration:none;" target="_blank"> 2016 presidential election</a> attempts to grapple with the potential pros and cons of raising wages, but both candidates have struggled to maintain or articulate their positions.

Trump&rsquo;s position remains unclear. In the past, Trump appeared to be against increasing minimum wage altogether, but this year he said that while he pushes for minimum wage to be $10 (not $15), states are the ones who should &ldquo;really call the shots.&rdquo; While those against minimum wage increases remain cautiously optimistic about Trump, it&rsquo;s <a href="http://thehill.com/policy/finance/289642-trumps-minimum-wage-two-step-confuses-biz-groups-advisers?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-oval-office-might-sway-minimum-wage-after-november-8th-7365" target="_blank" rel="nofollow" style="text-decoration:none;" target="_blank">difficult to pinpoint</a> what he&rsquo;ll actually do if elected.

Alternately, Clinton might get a <a href="http://www.npr.org/2016/10/29/498425405/supporters-hope-minimum-wage-votes-will-push-democratic-turnout?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-oval-office-might-sway-minimum-wage-after-november-8th-7365" target="_blank" rel="nofollow" style="text-decoration:none;" target="_blank">surge of support</a> on election day from those in favor of increases in minimum wage. She has found middle ground in the heated minimum wage debate by not supporting $15 per hour raise, but rather $12. Even so, Clinton also supports state efforts to raise wages higher than $12. Substantial <a href="http://www.cbo.gov/sites/default/files/cbofiles/attachments/44995-MinimumWage.pdf?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-oval-office-might-sway-minimum-wage-after-november-8th-7365" target="_blank" rel="nofollow" style="text-decoration:none;" target="_blank">research</a> suggests that modest increases, rather than major ones, could diminish unemployment by 500,000 and would raise 900,000 individuals from poverty.

Regardless of Trump&rsquo;s and Clinton&rsquo;s actual positions about minimum wage, there&rsquo;s the chance that many statements made at this point could have more to do with <a href="http://www.pollingreport.com/work.htm?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-the-oval-office-might-sway-minimum-wage-after-november-8th-7365" target="_blank" rel="nofollow" style="text-decoration:none;" target="_blank">voters&rsquo; overwhelming desire for more than $7.25</a>. For those who oppose, hope lies in Clinton&rsquo;s willingness to actually discuss minimum wage options, or in Trump&rsquo;s lengthy business experience.

Raising minimum wage is now much less a question of if, but when and how. Will federal or state government control these increases? Will franchisees have to abide by all the same regulations as their parent corporations? What will this do to our nation&rsquo;s overall economy and franchise industry? 

Factors such as the 2016 presidential election, ensuing research and observations of the economic changes in California, New York and Seattle will all play a role in both the nation&rsquo;s and individual states&rsquo; steps toward wage increases. For now, Helgerson suggests that those in franchising, especially franchisees, pay to attention to their local and state races. 

&ldquo;I believe that&rsquo;s the battle ground for where minimum wage is going to be fought,&rdquo; Helgerson said.

<div>&nbsp;</div>

How The Oval Office Might Sway Minimum Wage After November 8th

1851 Franchise

Rocked by uncertainty and increases in minimum wage, the franchise industry looks to the 2016 presidential election for a clearer - and cautiously hopeful - future.  

how-the-oval-office-might-sway-minimum-wage-after-november-8th

Layne's Chicken Fingers

Layne's Chicken Fingers - VP of Culture Operations - Cuyler Esposito - 1851 Franchise

Layne’s Chicken Fingers Appoints Cuyler Esposito as Vice President of Culture Operations

laynes-franchise-cuyler-esposito-vp-culture-operations

Jollibee

Jollibee Franchise - EOY 2025 - Momentum 2026 - 1851 Franchise

Jollibee Closes Out Landmark Year With Strong Franchise Momentum Across the United States and Canada

jollibee-franchise-expansion-2025-north-america

Fitness Premier

Fitness Premier Franchise - Looking Ahead to 2026 - 1851 Franchise

Building a Fitness Business With Staying Power: Why Fitness Premier Is Looking Ahead to 2026

fitness-premier-franchise-2026-growth-strategy

Fresh Coat

Fresh Coat Painters - Seph Duggan - Lakeland Florida - 1851 Franchise

Multigenerational Contractor Seph Duggan Launches Fresh Coat Painters of Lakeland, Florida

fresh-coat-painters-franchise-lakeland-seph-duggan

Fresh Coat Painters - Mary Steele - Franchisee Feature - 1851 Franchise

How a Major Life Pivot Led This Military Spouse to Open a Fresh Coat Franchise in Melbourne, Florida

fresh-coat-franchisee-mary-steele-melbourne-florida

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Development Website Builder

Franchise Resources

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

Domino's Franchise - North Pole - Dec 2025 - 1851 Franchise

Domino’s Pizza Brings Delivery Cheer to North Pole, Alaska

dominos-pizza-franchise-north-pole-alaska

California Pizza Kitchen’s Sale Is the Latest in the Era of PE-Backed Turnarounds in Franchising

california-pizza-kitchens-sale-is-the-latest-in-the-era-of-pe-backed-turnarounds-in-franchising

Buying a fitness franchise, people exercising

Boutique vs. Big Box Gym Franchises: Which Offers Best ROI in the $7 Billion Fitness Market?

buy-fitness-franchise-boutique-big-box-comparison

Pieology Pizza Enters Chapter 11 Following Costly Bid To Save Struggling Stores

pieology-pizza-files-chapter-11-bankruptcy

CNBC: McDonald’s Will Assess if Franchisees Are Offering Value for Customers Under New Standards

mcdonalds-franchise-standards-value-metric

Bed Bath & Beyond - Franchise Expansion - Retail Strategy - 1851 Franchise

Bed Bath & Beyond Launches Franchise Model as Part of Comeback Strategy

bed-bath-beyond-franchise-expansion-retail-strategy

Paris Baguette Welcomes Zac Sulma as New Chief Operating Officer

new-coo-zac-sulma

Senior Entrepreneurship - Franchising - 1851 Franchise

Senior Entrepreneurship Is Rising — And Franchising Is a Key Outlet

senior-entrepreneurship-franchising-silver-startups

AI-related job cuts, October U.S. job cuts, American job cut record

AI-Fueled Layoffs Reshape the U.S. Job Market — And Highlight Franchising’s Resilience

ai-job-cuts-franchising-path-forward

Photo of group of dogs standing together in day care facility

Top Pet Boarding and Day Care Franchise Opportunities for 2025

top-pet-boarding-daycare-franchises

Do You Qualify? A Look at the Chick-fil-A Franchise Requirements

do-you-qualify-a-look-at-the-chick-fil-a-franchise-requirements

The Top 15 Pet Supplies and Retail Franchises for 2025

the-top-15-pet-supplies-and-retail-franchises

Christmas Decor Franchise Costs, Fees, Profit and Data for 2025

christmas-decor-franchise-costs-fees-profit-and-data

The 15 Top Pet Grooming Franchises To Consider for 2025

the-15-top-pet-grooming-franchises-to-consider

The Top 15 Pet Wellness and Vet Care Franchises for 2025

How The Oval Office Might Sway Minimum Wage After November 8th

MORE STORIES LIKE THIS