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The Nebraska Legislature is considering a bill to roll back a 2022 voter approved initiative that would raise the minimum wage in the state.

Business groups say the bill would create hardships for small companies.

Legislative Bill 258 would undo the voter-passed measure, which would raise the hourly minimum wage by a $1.50 until it reaches $15 in 2026.

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LB 258 would also create a lower minimum wage for 14 and 15-year-old workers.

Nebraska Appleseed Economic Justice Director Ken Smith said the bill would make it harder for Nebraska working families already struggling to make ends meet.

"This is coming from a group of business interests who did not oppose the initiative when they had the chance to oppose the initiative," said Smith, "and instead of doing that are trying to use the Legislature as a means of rolling back these increases."

The bill was sponsored by state Senator Jane Raybould, D-Lincoln, whose family owns a series of small grocery and convenience stores.

Raybould resigned her post as company vice president the day debate began on LB 258. She filed a conflict of interest statement earlier this session.

Supporters of the bill say increasing the minimum wage makes it harder on their bottom line, but Smith countered that higher minimum wages in other states have proven benefits outweigh those concerns.

"There are business benefits to having a more productive workforce," said Smith. "There are business benefits to having lower employee turnover, and there are benefits to having consumers with more buying power."

Three hundred businesses across the state approved the 2022 initiative to raise the minimum wage. The bill awaits action in committee.