Effects of Min. Wage in Seattle

bobm

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" The Columbian " newspaper July 30, 2016 ... Seattles' minimum wage was $9.96/ hr. then jumped to $11.14/ hr. Although workers were earning more, fewer of them had a job than would have without an increase. Those that did work had fewer hours than they would have without the wage hike. Reaserchers found that the minimum wage hike actually caused total weekly earnings to drop - by as much as $5.22 a week.Increasing the minimum wage inreases the costs of hireing workers. As a result, employers must accept reduced margins or customers must pay steeper prices. If employers cannot stay in business while paying their staff more, they will either hire fewer people or give their wokers fewer hours. As a result, even if wages per hour increase, workers' total hour decrease , workers' total earnings could decline. If it becomes easier for employers to replace their workers with machines, they will be more likely to respond to wage hikes by making fewer hires. Earlier this year , the Governors of California and New York signed laws that will increase the minimum wage in both states to $ 15.00 per hour. Our personal experience of this action started by our son, who lives in Cal. , has a wife and 3 small children, is in pharmacy school, and works for a company that supplies pizza to the entire school district. His aparment immediately saw a 20% increase in rent for the comming school year, so he moved to a cheaper one, but we had to co- sign the lease. His pharmacy school has cut down on staff , so he isn't able to get all of his needed classes, which means he will have to increase his time in school another year. A month later, his employer decreased hours to all of his emplyees by 30% resulting in a jolt in his earnings that then has us liable to pay for his rent. This employer has a contract to supply pizzas at a sertain price that he cannot increase the price on . So he now buys the pizza dough from another company instead of making it on site and all of the employees have to do is add the toppings and bake the pizzas, package them and ship them off to the schools.Resulting in the need for former hours the workers had to work . We just received a PAY CUT in having to pay son's rent on top of our own expenses Don't you just LOVE the bleeding hearts ? :rant :barnie :he
 

seedcorn

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Really don't believe a minimum wage hike affects a pharmacy school. Their tuition rates arent based on minimum wage-none of the pharmacists I know work for double minimum wage.

But a fast food worker doesn't need $15--except in some very expensive cities. School teacher in Chicago makes 3X what they make in the sticks here. That said, I wouldn't work in a huge city for any amount of $$$$$$. If an area gets too expensive, leave.
 

bobm

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Last night's Ch. 2 in P ortland. Ore. evening news ... the Oregon voters resently passed a minimum wage increase proposition. The reporter showed his bill for his meal from a chain restaurant. It showed the price of the meals, a printed NEW FEE for the increase of the new minimum wage to be placed in an account untill the implementation of the minimum wage for the specified date, AND a space for patron to fill in for the tip, and the space for the total. This to benefit the pundits to show that there is NO INCREASE in prices. Fun isn't it. :caf
 

Smart Red

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It should be a no-brainer. You raise the price of making/serving a product, the price of the product will go up (or the quality will go down). Then customers will accept the higher prices or the company will close. Once the business closes, minimum wage could be $100 an hour, it won't help the displaced workers.

No-brainer!

Why do those in power not see that?
 

thistlebloom

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It should be a no-brainer. You raise the price of making/serving a product, the price of the product will go up (or the quality will go down). Then customers will accept the higher prices or the company will close. Once the business closes, minimum wage could be $100 an hour, it won't help the displaced workers.

No-brainer!

Why do those in power not see that?


They do see it, but they get a lot of votes from the No-Brainers at the polls.
 

aftermidnight

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We have a family type restaurant close to us that used to be really good, good food, generous portions and VERY reasonably priced. On a Friday night people were practically lined up to get in. They did very well, because they were packed all the time and made their profit on good wholesome food and volume. The restaurant sold, the new people who bought it, got greedy, cut the portions down, fired half the staff and put the prices up thinking they had a gold mine, within a month business had dropped to the point where they put it up for sale, the original family bought it back, I'm sure for a lower price than they sold it. Once the word was out it once again was one of the busiest restaurants in town.
They have since retired, sold once again, prices up, portions down. The odd time we still go there we might be the only couple in there. Does this tell you something?

Annette
 

so lucky

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Well, clearly raising the minimum wage for everyone across the board is not the answer, but what is?
With every wage adjustment, people on fixed incomes take a "pay" cut. It takes years for the government to decided to do a COLA, and then the index they use is worthless. The cost of yachts and alligator hide cowboy boots hasn't increased, so we aren't going to give disabled folks an increase to buy those things with. Never mind the fact that the price of groceries and medicine has doubled. o_O
 

digitS'

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640px-History_of_US_federal_minimum_wage_increases.svg.png


It's isn't as though the minimum wage and periodic increases are new. Since 1938.

Steve

Department of Labor
CPI: Bureau of Labor Statistics
 

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