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Mamdani's $30 minimum wage plan threatens youth jobs

It is not yet known how he will carry it out, since even if the socialist were to win the election, neither the mayor of New York nor the City Council has the power to impose changes in the minimum wage, as that authority rests with the State Department of Labor.

Zohran Mamdani campaigning in New York City. (Photo by ANGELA WEISS / AFP)

Zohran Mamdani campaigning in New York City. (Photo by ANGELA WEISS / AFP)AFP

Verónica Silveri Pazos

The Democratic candidate for mayor of New York CityZohran Mamdani, is pushing one of his main campaign proposals: raising the city's minimum wage to $30 an hour by 2030, well above the current amount of $16.50.

Mamdani, a 33-year-old politician who identifies himself as a "democratic socialist," presents his plan as a victory for workers. However, economists and businessmen warn that the measure could have the opposite effect. According to Fox Business, an increase of this magnitude would make it more attractive for employers to replace low-skilled staff with machines, self-service kiosks or ordering tablets, thereby reducing hiring in areas where traditionally young people and first-time job seekers get a chance.

Data to back up the theory

The data support those concerns. In states that have raised the minimum wage well above the federal level ($7.25), youth unemployment has risen noticeably. California, with a $16.50 minimum, reported a 21.2% unemployment rate in 2025 among workers ages 16 to 19, according to the Bureau of Labor Statistics (BLS). That number is nearly double the national average, which stood at 12.3%.

The situation especially hits teens and entry-level workers, who miss out on vital opportunities to gain job discipline and early experience. One small-business owner in Colorado stated that she used to offer many young people their first jobs, but with wages so high that would be unsustainable: "Paying $25 an hour to a kid who has never worked is too much. It's sad, because they're going to miss out on those opportunities to learn."

Mamdani's proposal has also raised alarm in the real estate sector. According to Fox Business, experts warn that an eventual win by the socialist in the mayoral race could accelerate the exodus of residents and businesses from New York, a phenomenon already growing because of the high cost of living and taxes.

It is important to stress that, even if Mamdani were to win the election, neither the mayor of New York nor the City Council has the power to impose changes to the minimum wage, as that authority rests with the State Department of Labor.

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