Half of Seattle Businesses Will Slash Labor Costs if Minimum Wage Rises to $15

[Toro]

A recent survey of employers by the Seattle Metropolitan Chamber of Commerce reveals what decades of research has already established—increasing the minimum wage comes with a cost.

The majority of the 283 employers that responded to the Chamber’s survey asking how raising the minimum wage to $15 an hour would affect their business say it would result in reduced employee benefits, reduced employee hours and positions, and increased prices.

Fifty percent of companies that participated in the survey said they would increase prices to offset a $15 minimum wage, while 43% said they would reduce or eliminate employee benefits. Sixty percent of companies said they would likely incorporate multiple changes in response to the higher wage, such as reducing or eliminating new jobs, raising standards for entry level positions, as well as reducing or eliminating employee benefits and increasing prices.

Seattle Employers Warn $15 Minimum Wage Will Come With a Hefty Price Tag | Washington Policy Center

Not surprising.

 

[Rshermr]

A recent survey of employers by the Seattle Metropolitan Chamber of Commerce reveals what decades of research has already established—increasing the minimum wage comes with a cost.

The majority of the 283 employers that responded to the Chamber’s survey asking how raising the minimum wage to $15 an hour would affect their business say it would result in reduced employee benefits, reduced employee hours and positions, and increased prices.

Fifty percent of companies that participated in the survey said they would increase prices to offset a $15 minimum wage, while 43% said they would reduce or eliminate employee benefits. Sixty percent of companies said they would likely incorporate multiple changes in response to the higher wage, such as reducing or eliminating new jobs, raising standards for entry level positions, as well as reducing or eliminating employee benefits and increasing prices.

Seattle Employers Warn $15 Minimum Wage Will Come With a Hefty Price Tag | Washington Policy Center

Not surprising.

What is not surprising is that if you ask a right wing "think" tank to do a survey on raising the minimum wage, they will come up with the findings that this Seattle based conservative think tank came up with.
If, on the other hand, you ask a labor friendly source to do the same study, they will come up with the reverse findings. Studies made by colleges not bought and paid for generally come up with little to no effect on unemployment rates as a result of minimum wage increases. But what I am pretty sure of is that a raise to $15 is a pretty major raise, and the results will be INTERESTING. My guess is it may have a small negative initial impact on employment which will go away within the first month.
That business will scream like banshees about increased minimum wage rates is unquestionable. They always do. So, the outcome of the referenced study were knowable before any questions were asked. What will be interesting is if the study is predictive in any way.