TRENTON, N.J. (AP) — The Senate Budget Committee voted to give the state's lowest-paid hourly employees a $1.25 per hour raise on Monday, following about two hours of debate over whether a minimum wage increase would spur New Jersey's sluggish economy or kill precious jobs.

The bill heads to the full Senate.

The wage increase bill has been a high priority for legislative Democrats this year. The Assembly passed a bill in May raising the wage to $8.50 per hour and making yearly adjustments. But the measure stalled in the Democrat-led Senate when Senate President Steve Sweeney decided on an alternate route: Letting voters decide in a ballot question whether to hike the wage.

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