How Would Continued Minimum Wage Hikes Impact Car Washes?

HB 395, a Virginia bill aimed at gradually increasing the state’s minimum hourly wage to $15 an hour cleared a major hurdle earlier this month, passing through the Virginia House along a party-line vote of 55-45.

The most immediate impact would come on July 1 of this year, when the bill, first introduced by Del. Jeion Ward, would see the state’s minimum wage raised to $10 an hour.

The state’s current minimum hourly rate is the same as the federally mandated minimum wage, which sits at $7.25 an hour and hasn’t been altered since the jump to that level in 2009, more than a decade ago.

Though HB 395 is a step closer to the governor’s desk, SB 7, introduced by Senator Dick Saslaw, could be the bill to actually reach that desk for potential passage.

That bill would see minimum wage work its way up to $15 per hour, then be allowed to rise further depending on the consumer price index and other regional factors.

Recent conversation around the bolstering of minimum wage rates has been polarized, with proponents pointing to cost-of-living increases and the potential boost for consumer spending that would come along with more money being injected into workers’ pockets. In theory, proponents also argue that higher wages would lead to less turnover and boosted employee satisfaction.

However, opponents of a hike say there could be unintended consequences of a measure that seems straightforward on the surface, arguing that higher wages could lead to employers absorbing costs through layoffs, elimination of entry-level positions, and other measures.

The car wash industry is certainly not immune to a spike in minimum wage, particularly a nationwide one that could follow on the heels of decisions in states like Virginia. Prices could jump, requiring specific communication to customers as to why to keep them receptive. Other benefits, such as express lanes, loyalty programs, and more could help offset these rising costs.

It’s also critical to continue to research and stay abreast of ways to invest in innovations and technology that can propel your business forward without requiring a significant boost in expenses, and other ways of saving money, such as water conservation, will prove key.

To learn more about how operators have already adjusted to minimum wage hikes, check out the Foundation for Economic Education’s look at the impact of such a spike on car washes in New York here.

To read more about tips, trends and equipment from the car wash industry, be sure check out Iron Fox’s blog.

Follow us on social media for the latest updates in B2B!
Twitter – @MarketScale
Facebook – facebook.com/marketscale
LinkedIn – linkedin.com/company/marketscale

Follow us on social media for the latest updates in B2B!

Image

Latest

DXpedition
Icom Powers 3Y0K : Ham Radio’s Most Ambitious DXpedition to Remote Bouvet Island Part 1
July 11, 2025

Bouvet Island sits at the edge of the world. It is frozen, uninhabited, and almost impossible to access. Fewer people have set foot there than in space. That level of remoteness is exactly what makes it so valuable to amateur radio operators. The island ranks tenth on ClubLog’s list of Most Wanted DXCC entities,…

Read More
entrepreneurial success
The Hidden Key to Entrepreneurial Success: Build Momentum Through Personal Branding and Authentic Networking
July 10, 2025

What if the biggest pivot of your career started with a conversation?  In this episode of Professional Quotient, host Jason Winningham welcomes Fanny Dunagan, CEO and Content Strategist of PathLynks, LLC. Fanny shares her journey from high-pressure consulting in Singapore to founding her own media and branding company — and why learning to network…

Read More
Q2 2025
RM Q2 2025 Wrap Up
July 9, 2025

Rogue Marketing continues to lead with intention in a space often driven by noise. Q2 2025 reflected a strategic focus on substance, where each initiative supported long-term brand growth. The team transformed internal recognition efforts into enduring brand assets and refined event strategies through immersive, results-driven experiences. Website launches during the quarter balanced visual…

Read More
amateur radios
Hamvention Spotlight: Emergency Preparedness Led PrepHam Paul to Amateur Radios and a Rising Voice in the Field
July 9, 2025

PrepHam Paul (K5VLP) celebrated his first visit to Dayton Hamvention by marking a major channel milestone. He hosted a giveaway of the  IC-2370B mobile radio from Icom to thank viewers for helping him reach 10,000 subscribers. His passion for emergency preparedness, rooted in his experience as an Eagle Scout and later studies in emergency management,…

Read More