THOUSANDS OF MISSOURIANS BENEFIT FROM MIMINUM-WAGE HIKE

Millions of Americans received a pay raise this week.

Included among the 3.7 million who got a 50-cent-an-hour increase Tuesday were thousands of Missourians.

The federal minimum-wage legislation, which passed Congress Aug. 2, kicked in the first of two phases Tuesday: a 90-cent increase that boosts the hourly wage from $4.25 to $4.75.

The second phase, which becomes effective Sept. 1, will increase the minimum wage to $5.15 per hour.

The 90--cent increase means an additional $1,800 a year for a full-time, 40-hour-a-week worker.

President Bill Clinton signed the bill Aug. 21.

There are some exceptions in the federal bill: The minimum-wage measure partly excludes workers who receive tips. Their employers will have to pay a minimum of $2.13 an hour, the same as before, and provide more only if the employees don't collect enough tips to earn the new minimum rate.

"Minimum-wage jobs in Missouri are scarce," said Tammy Berg of the Missouri Department of Labor. "Most employers, including several fast-food establishments, are paying over the current minimum wage."

Some fast-food restaurants do start workers at $4.25, but advance them to a higher scale quickly. The new federal minimum-wage rules will still allow that in some cases. A "training wage" holds the hourly rate at $4.25 for employees younger than 20 during their first 90 days on the job.

Latest figures from Berg's office reveal that 71,000 Missourians are at or below $4.25. A third of those workers fall within the employees who receive tips.

However, the number of employees who will realize a raise next September increases dramatically. "There are about 175,000 workers under the $5.15 rate," said Berg.

The newest minimum wage could cost one Cape Girardeau-based company about $800 a day.

"We have eight restaurants," said Jerry Davis of McDonald's Restaurant. "For starters, we do pay minimum wage; however, following performance reviews their wages go up."

Davis estimated that Tuesday's wage increases will cost about $100 per restaurant."

"We won't be laying anyone off," said Davis. "We need more people than we have right now."

Another fast-food group headquartered in Cape Girardeau is already above the new minimum-wage level.

"We're well over the minimum," said Dan Drury of MidAmerica Hotels Corp., which operates 20 Burger King restaurants and will open another next month in Herrin, Ill. "And No. 22 is under construction at Jonesboro, Ark.," said Drury.

The federal minimum-wage increase could have a ripple effect, however, on Burger King employees, said Drury.

"We'll evaluate our workers, and some may receive wage increases," said Drury. "We always evaluate and reward our employees with earned incentives. They're good folks and they're worth it."

The new increase won't bother Wal-Mart Supercenter.

"We've been starting people above minimum wage for a long time," said manager Terry Godwin. "Our minimum over the past two years has been $5."

WAGE HIKES

-- The federal minimum-wage legislation that passed Congress Aug. 2 provides for two wage hikes totaling 90 cents hourly.

-- On Tuesday, the minimum wage went up 50 cents, from $4.25 to $4.75 per hour.

-- On Sept. 1, the minimum wage will go up another 40 cents, boosting it to $5.15 per hour.

-- Excluded are workers who get tips: Their employers will have to pay a minimum of $2.13 an hour, the same as before.