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South Dakota's minimum wage goes up with new year

SIOUX FALLS (AP) -- The new year comes with a pay raise for thousands of South Dakotans, thanks to a bump in the minimum wage. Voters approved the change in November that takes effect Thursday and includes three changes. It raises the minimum hou...

SIOUX FALLS (AP) - The new year comes with a pay raise for thousands of South Dakotans, thanks to a bump in the minimum wage.

Voters approved the change in November that takes effect Thursday and includes three changes. It raises the minimum hourly wage from the $7.25 to $8.50 an hour, increases the $2.13 hourly tip wage to half the minimum wage and ties future increases to the cost of living.

The hourly increase represents about $50 additional per week for a full-time worker.

A study done last fall estimated the measure could impact 34,000 South Dakotans.

Proponents argued that a wage hike would boost South Dakota's lagging personal income, but business groups said it could trigger layoffs and higher prices for some goods and services.

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