We'll see if this is a good idea or not. The most likely effect will be an
increase in the cost of living in Seattle. Those $1 or $2 hamburgers will become
$4 hamburgers. A better solution (if Seattle wants to force people to spend more
money to support low income workers) would be to provide education (technical or
academic) to low income workers so that they can get out of low income jobs.
Even better would be to make the money available through low interest loans that
can be paid back once a new job with a higher wage is procured (i.e.,
microcredit - but this would be more sizable than most microcredit loans).
People need skills more than they need more money.
Opportunity, and wage gap?Cancel free trade agreements, and bring
jobs back to America.Competing with slave labor of other countries
is not healthy.
Some people come out of college with a degree and don't make $15/hour
($31,200/year). My initial thought is that an employee with no experience and
no degree doesn't deserve to make that much money, but it will be
interesting to see how the local economy is affected. My guess is that
employers who hire a lot of minimum wage employees will leave town and setup
shop somewhere else. Then there will be fewer jobs to be had, and unemployment
will go up. It's a great economic experiment for sure.
To "Neuron" the hamburgers won't jump that high. They put in a
clause for teenagers that allows the teens to be paid less than the adult
workers. What you are going to see is more automation and fewer kids older than
18 work in the burger shops.
@ NeuronActually, studies have shown that you could literally triple
the min wage and the price for hamburgers would only increase a few cents.The anti-min wage folks are the 1 percent. They're not basing their
opinions on fact but on power. They'd rather treat their employees poorly
and have control than to ever concede in giving them min wage.
@ The Real MaverickPlease provide a link to the study your citing.
As the owner of a mom and pop burger joint, I can tell you that if we were
forced to pay our staff 15$ an hour we would be out of business, or have to
raise our prices at least 15%, probably more. 30% of a restaurants take goes
straight into staff wages. Unskilled labor should not be earning 15$ an hour.
The vast majority of people who apply at our store are either young and lack
basic skills, or older and have major issues. The young people can't do
things like count change or spell. We end up teaching them skills they should
have learned in elementary school. The old people are either mentally ill,
criminals or drug addicts. These folks need tutoring, therapy or rehab, not
raises they haven't earned.
@The Real MaverickSince you know so much about minimum wage
economics, I'm sure you won't mind answering a couple of questions for
me.1. Since raising the minimum wage is such a great thing, why did
Seattle stop at $15/hour? Why not make it $20/hour, or $100, or $200? What is
the "right" minimum wage?2. The federal minimum wage has
been raised 38 times in the history of this nation. None of those have
succeeded in eliminating poverty or closing the income gap. In fact, during
that time, both poverty and income gap have grown. So what makes you think the
39th time will be the charm?
We are already seeing the fallout of the minimum wage raise. Employees are
losing their ancillary benefits, such as free food, 401k, commission/tip
sharing, etc. More than likely, if they had insurance, they will likely be
dumped into the exchanges of Obamacare (Can you say VA on steroids?) They may be
celebrating in Seattle but they are whistling past the graveyard.
@ Real Maverick.Seriously, provide the evidence please. I'm
unsure what the best idea is. Certainly Walmart, Mc Donald's, Starbucks,
etc shouldn't be paying someone a wage that requires them to be on welfare.
I don't know about other places, but here in Omaha, there are NO teenagers
at McDonald's. All 30 year olds and up.
If a $15/hr minimum wage is such a good idea, then, why not $30/hr? If a $15/hr
minimum wage is such a good idea, why is it being phased in? Why not start
enforcing the $15 minimum wage tomorrow?
I applaud Seattle. I love these posters that think raising the minimum wage is a
bad idea. It's interesting to see some calling out others for evidence that
high minimum wage helps while never providing evidence that it hurts either. Is
anyone aware that Seattle already paid one of the highest minimum wages in the
nation even before this recent hike? And remember how high minimum wages kill
jobs? Turns out Seattle is one of the fastest growing cities. It looks like
their higher minimum wage has worked. I look forward to the positives this new
hike will bring.
@GmaxD"If a $15/hr minimum wage is such a good idea, then, why not
$30/hr?"Think of it like the Laffer curve. At some point you go
too high and start creating a net harm.
As with all things liberals do, they will end up hurting the very people they
claim to be helping. Raising the minimum wage for entry level jobs will be no
different. This ridiculous, feel good legislation will have several negative
consequences:1) Prices for goods will increase. Employers are not
just going to take this on chin and eat these costs. They will indeed pass them
on to the consumer. When prices for a combo meal, or some other product goes up
to a certain level, people will simply not purchase it. With today's lousy
unemployment and overall poor economy, people will give up those "little
extras" like eating out at fast food restaurants. 2) Employers
will reduce the number of staff. Employers are in business to make a profit.
If they are now mandated to pay these ridiculous wages for entry level jobs,
they'll simply reduce their staff accordingly.This really is a
no-brainer. This will hurt the people who depend on these jobs.But
as with all things; liberals must never be judged by their results, only their
According to the Congressional Budget Office, increasing minimum wage rates
lowers employment. (http://www.cbo.gov/publication/44995)
Well.. then Real, no evidence means I remain unconvinced and slightly on the
side of gov't can't force the minimum wage up without worse