The Las Cruces economy, and in particular restaurants and small business, are facing an extremely uphill battle. Our community received a devastating wake-up call with news of the sale of the local Pic Quik convenience store chain in December 2021.
The loss of local ownership of nearly all of our local convenience stores does not bode well, the owner was dedicated to this community. I observed him patiently explain to the Council over the years, along with many other business owners, that too-high minimum wage harms the workers most. He predicted that the out-of-control min wage was going to drive him out of business at some point. Now it's happened.
One real and possible small positive step is to drop the LC Minimum Wage ordinance now, namely the Tipped wages which are higher than the State Tipped wages. Marci Dickerson tried in vain to convince the LC Councilors in late 2020 year to drop the LC Ordinance because the State Min wage was taking over.
Since then, things have changed for the worse dramatically, a small Mexican restaurant cannot even start out in LC. There is no reason why LC businesses must face the additional tipped wages penalty.
At the start of the pandemic min wage was $10.10, now it's $11.50. Tipped wages are now $4.60 per hour, with the rest of the State paying a reasonable $2.80. Competent waitresses make much more than minimum wage. A local restaurant owner cannot even open a business here, now only out-of-town franchises can afford the automated equipment required to survive in business.
Small business is the engine of the economy, and convenience stores and restaurants are in real danger of extinction in Las Cruces.