By Catherine Clifford
APRIL 10, 2013 — From raising the minimum wage to cutting paperwork on government-backed loans, the new White House budget includes a number of proposals likely to be of interest to small-business owners.
Obama’s 2014 budget, released today, months later than it should have been, has already met stiff opposition from both sides of the aisle. In an effort to bring Democrats and Republicans to the table, Obama included provisions that both sides strongly dislike. While the budget as it was stands today is not expected to pass, it does serves as a key launch pad for negotiations.
Here is a rundown of what is included in the budget that could affect your business:
1. A minimum-wage increase. Obama reiterated his intent to raise the federal minimum wage to $9 an hour, up from $7.25 where it currently stands. Many small-business advocates, including the right-leaning National Federation of Independent Business, do not support raising the minimum wage. The NFIB says raising the minimum wage would disproportionately impact small-business owners who employ the majority of minimum-wage employees and who also don’t have the capital reserves to absorb an increase in labor costs.
2. More than a dozen innovation-manufacturing centers. Obama proposed a one-time investment of $1 billion to launch fifteen advanced-manufacturing centers across the country. In his State of the Union address, Obama pointed to the 3D-printing manufacturing innovation hub in Youngstown, Ohio, as an example of the kind of innovation epicenter he wanted to emulate.