Seattle raises minimum wage to $15 an hour

[Chris]

Martina Phelps says the Seattle City Council's historic vote Monday to raise the minimum wage to $15 per hour could change her life.

Phelps, 22, earns $9.47 per hour working for a McDonald's restaurant near downtown. She wants to move out of her mother's South Seattle home, and she wants to go back to school. She says those things could happen now that the city will have the nation's highest minimum wage.

"It's hard right now," she told USA TODAY hours before the midafternoon vote. "I have been trying to save up for school, but I just can't do it. This would mean a lot."

The council unanimously approved the measure before a packed house.

The plan, which includes a lower training wage aimed at teenagers, will phase in the higher, local minimum over three to seven years, depending on the size of the business and benefits they provide employees. Next April 1, when the plan takes effect, every worker will get at least a $1-an-hour raise.

Seattle raises minimum wage to $15 an hour

 

[R.D.]

Surprise! Leftist minimum wage policy backfires in Seattle suburb

 

[Chris]

The business journal Bloomberg Businessweek points out that the country of Denmark has a minimum pay rate of the equivalent of about $20 an hour, but its business climate is sufficiently healthy for the World Bank to ranked it as the easiest place in Europe to do business in 2011, 2012, and 2013. Denmark is also "among the leading countries in income equality and national happiness." Denmark also had a lower unemployment rate (6.8%) and higher labor participation rate (64.4%) than the United States (7.4%, 63.6% as of September 2013) where the minimum wage is far lower ($7.25).

Minimum wage - Wikipedia, the free encyclopedia

 

[TheIceMan]

What's the cost of living in Seattle compared to Gonzalez, TX? Income is relative to cost of living.

All this crying for $15, an hour is BS. The people that sell to those that earn it will adjust their prices accordingly and it'll be same ol' same ol'

 

[Againsheila]

It'll never happen. The law requires franchises to reach the $15.00 rate in 3 years, but allows other small businesses 7 years. There will be a lawsuit and the lawsuit will be successful. Do they do these stupid thing on purpose? I mean, they have to know it won't hold water. Maybe they just want the voters to THINK they are doing something for the people when in reality, they are as in favor of the corporations as ever.

 

[Chris]

70% of the American economy is consumer demand.
Increasing wages increases demand which creates more jobs.

It's called the virtuous cycle.

 

[hadit]

Seattle is a very expensive place to visit, live, and work. This won't help.

 

[TheIceMan]

70% of the American economy is consumer demand.
Increasing wages increases demand which creates more jobs.

It's called the virtuous cycle.

And you believe that? Increasing wages increases pricing. Nobody's going to get ahead. It's a pipe dream.

 

[hadit]

70% of the American economy is consumer demand.
Increasing wages increases demand which creates more jobs.

It's called the virtuous cycle.

That's kind of naïve. What really happens is, increase labor costs to business by 20%, workers at the low end of the pay scale get sent home. This will change that Martina's life all right, she just may not have a job at all any more.

 

[Chris]

70% of the American economy is consumer demand.
Increasing wages increases demand which creates more jobs.

It's called the virtuous cycle.

That's kind of naïve. What really happens is, increase labor costs to business by 20%, workers at the low end of the pay scale get sent home. This will change that Martina's life all right, she just may not have a job at all any more.

As a 1995 paper in the Journal of Economics Literature put it, “There is a long history of empirical studies attempting to pin down the effects of minimum wages, with limited success.” No one found significant employment losses when President Truman raised the minimum wage by 87% in 1950. When Congress raised the minimum wage by 28% in two steps in 1967, businesses predicted large employment losses and price increases. As the Wall Street Journal reported six months later, “Employment and prices show little effect from $1.40-an-hour guarantee.”

Economic research supports raising the minimum wage | Economic Policy Institute

 

[norwegen]

I can't make it on my own. I can't even really function. So what, I'm a loser; that's why I need to get the gubmit to hep me.

 

[Avatar4321]

In completely related news, the unemployment rate in the Seattle areas affected just went up.

 

[Manonthestreet]

and tips and benefits with it

 

[ScienceRocks]

I hope businesses don't raise the price of consumer goods. This is something to consider Chris.

 

[Chris]

Republicans want to reward ownership.

Democrats want to reward work.

That is the way it has always been.

 

[Chris]

I hope businesses don't raise the price of consumer goods. This is something to consider Chris.

As a 1995 paper in the Journal of Economics Literature put it, “There is a long history of empirical studies attempting to pin down the effects of minimum wages, with limited success.” No one found significant employment losses when President Truman raised the minimum wage by 87% in 1950. When Congress raised the minimum wage by 28% in two steps in 1967, businesses predicted large employment losses and price increases. As the Wall Street Journal reported six months later, “Employment and prices show little effect from $1.40-an-hour guarantee.”

Economic research supports raising the minimum wage | Economic Policy Institute

 

[ScienceRocks]

Republicans want to reward ownership.

Democrats want to reward work.

That is the way it has always been.

What's wrong with rewarding both? Both are good for our economy.

 

[Chris]

Republicans want to reward ownership.

Democrats want to reward work.

That is the way it has always been.

What's wrong with rewarding both? Both are good for our economy.

The government pays $1.2 billion dollars in benefits to people who work at McDonalds.

Wouldn't it be better for McDonalds to pay their workers a living wage rather than to have a hugely profitable corporation that sells bad food be subsidized by the taxpayer?

 

[hadit]

Republicans want to reward ownership.

Democrats want to reward work.

That is the way it has always been.

What's wrong with rewarding both? Both are good for our economy.

The government pays $1.2 billion dollars in benefits to people who work at McDonalds.

Wouldn't it be better for McDonalds to pay their workers a living wage rather than to have a hugely profitable corporation that sells bad food be subsidized by the taxpayer?

Are you willing to force poor people to pay 3 times as much for even crappy food?

 

[Chris]

What's wrong with rewarding both? Both are good for our economy.

The government pays $1.2 billion dollars in benefits to people who work at McDonalds.

Wouldn't it be better for McDonalds to pay their workers a living wage rather than to have a hugely profitable corporation that sells bad food be subsidized by the taxpayer?

Are you willing to force poor people to pay 3 times as much for even crappy food?

25 cents more for a Big Mac.

Do a little research.