The jury is out on the actual effects.
Some papers find that areas that hiked their minimum wage actually saw job growth, others saw losses. It also varied by industry.
The general consensus I’ve seen is as follow.
High traffic businesses like restaurants, stores, and other commercial services will likely see job growth due to increases spending by the general populace. It is, however, somewhat contingent on the location. Businesses in cities and suburbs will likely see more positives due to higher traffic, businesses in exurb and rural areas may see more negatives as costs may outstrip income. This may be mitigated however, as the same “more money in the pockets” forces will apply.
Lower traffic jobs that still employ minimum wage workers, or workers that would fall below the wage cap, will be more a mixed bag. It will depend on their industry. Factory work, for example, may be hit fairly hard depending on if its a high or low volume industry. But, factories are already being slammed by outsourcing and automation anyway. Other min wage industries like distribution would likely be able to endure it.
This is why I prefer a phased approach, with what constitutes as “minimum” being able to fluctuate per state. I think raising minimum wage to a “range” is better. Giving lower population states more flexibility. It should also be phased in over a year or two.