Missouri business groups sue to overturn voter-approved minimum wage hike

JEFFERSON CITY, Mo. (WGEM) – A coalition of business owners and organizations filed a petition with the Missouri Supreme Court Friday, which aims to overturn the voter-approved minimum wage increase and statutory requirement for employers to provide paid sick leave benefits.

In a press release announcing the legal filing, the Missouri Chamber of Commerce and Industry said the measure would “increase prices for consumers and impose significant financial burdens on businesses,” claiming the policy will open the floodgates of “frivolous lawsuits” against employers.

The Chamber was joined by Associated Industries of Missouri, the Missouri Forest Products Association, the Missouri Grocers Association, the Missouri Restaurant Association, and the National Federation of Independent Business (NFIB) in filing the petition.

“While Proposition A is bad policy and will have extreme and detrimental effects on Missouri’s businesses, that is not the basis of this action,” the petition states. “Instead, the election irregularities and the constitutional violations are so significant that the election results must be overturned and Proposition A must be declared invalid.”

The petition challenges Proposition A under the state’s “single subject” rule, wherein petitions are only allowed to ask voters a question with limited scope to one policy area. The group bringing the challenge argues that the rule was broken because Prop A contains both a provision on the minimum wage and on paid sick leave.

The group also accuses the proposition of breaching the equal protection clause by exempting government and education workers.

Organizations that supported Proposition A heavily criticized the filing.

“This anti-democratic move is reprehensible,” said Marilyn McLeod, president of the League of Women Voters of Missouri. “Missouri voters have spoken and this matter should be settled. These special interest groups could have raised their legal concerns at any other point in the process before the measure appeared on the ballot. The voters have overwhelmingly approved the measure. We are appalled that judges will be asked to overturn the wishes of the Missouri electorate, but we are confident that they will see that wages and benefits are clearly part of the same subject on compensation and will reject this lawsuit.”

Unless a court halts Proposition A from taking effect, the new minimum wage will kick in on Jan. 1 and paid sick leave will begin accruing on May 1.

“Voters should know if we work hard, if we talk to our neighbors, if we gather signatures, if a majority of people vote for something then it should be the law,” Richard Von Glahn, who led the Prop A campaign, Missourians for Healthy Families and Fair Wages.

Employers are required to send out written notice to their employees about that paid sick time by April 15.

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