news Seattle Approves $15 Minimum Wage, Setting a New Standard for Big Cities

[Via Garibaldi 8]

The City Council here went where no big-city lawmakers have gone before on Monday, raising the local minimum wage to $15 an hour, more than double the federal minimum, and pushing Seattle to the forefront of urban efforts to address income inequality. The unanimous vote of the nine-member Council, after months of discussion by a committee of business and labor leaders convened by Mayor Ed Murray, will give low-wage workers here — in incremental stages, with different tracks for different sizes of business — the highest big-city minimum in the nation. “Even before the Great Recession a lot of us have started to have doubt and concern about the basic economic promise that underpins economic life in the United States,” said Sally J. Clark, a Council member.

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[peacemak3r]

So if I move to Seattle...my pay-grade should double to...

[RTS CNG Command]

This was something that should've been settled a long time ago, and I'm glad Seattle took the initiative to raise the minimum wage. The minimum federal wage isn't sustainable to live on these days because of inflation, especially in expensive cities like Seattle. The new minimum wage will hopefully combat this problem there.

[Tokkemon]

Good luck keeping it.

[Via Garibaldi 8]

This was something that should've been settled a long time ago, and I'm glad Seattle took the initiative to raise the minimum wage. The minimum federal wage isn't sustainable to live on these days because of inflation, especially in expensive cities like Seattle. The new minimum wage will hopefully combat this problem there.

Yeah well if they're going to pay unskilled people $15.00 an hour to flip burgers or what have you, what should someone with a BA or Master's degree receive with far more responsibilities? Also, if you're happy paying $12.00 for a hamburger at places like McDonald's, more power to you.  I personally think it's insane.  Low-skilled, low waged jobs were never created for people to work them to support their families, and never will.  They were meant for folks in school looking for some pocket change.  Switzerland has a similar set up due to the high cost of living.  Even folks like waiters make crazy amounts of money, and everything there costs a fortune.  A simple hot chocolate goes for $9.00 (not joking either) and a dish of spaghetti and meatballs is the equivalent of $45.00 a plate.  This huge imbalance in prices just means less business.  Companies doing business there will have to cut back somewhere, or they'll have to relocate because the costs will simply be too high.  I could see plenty of small businesses go under as well.

[biGC323232]

Woow...That means most people gonna feel like they don't have to finished school...

[Harry]

Two weeks ago the Swiss government voted down the highest minimum wage in the world at $25 an hour.

[Via Garibaldi 8]

Two weeks ago the Swiss government voted down the highest minimum wage in the world at $25 an hour.

lol... I wonder why.... 

 

---

What's funny is that the Swiss article talks about how many people still can't afford to live off of what they make due to the high cost of living, but what they don't talk about is that the more you increase the minimum wage, the more the prices for goods and everything else increases, so it's an endless cycle.  Their minimum wage is already the highest in the world, and it's still not high enough.

[NY1635]

What's wrong with raising minimum wage?

[Via Garibaldi 8]

What's wrong with raising minimum wage?

For starters, how are employers going to pay for those wage increases? 

[NY1635]

For starters, how do you employers are going to pay for those wage increases? 

With f**king money! The employer will send the employee their checks. Nothing is going to change except how much money the employee is going to take home.

[Via Garibaldi 8]

With f**king money! The employer will send the employee their checks. Nothing is going to change except how much money the employee is going to take home.

Do you really think that's all that changes? LOL If so I have a bridge to sell you.

[West End]

The whole minimum wage issue can really depend on where you're living in the world.  Switzerland's a country where it's rare for parents not to set up a trust fund for their kids.  And even though the cost of living is high, the country as a whole has a higher standard of living than the US.  Other countries like Norway and Sweden have a high minimum wage to correlate with their high tax rates (and universal college education system).

 

Maybe Seattle's cost of living is already high enough that $15/hr is worth it -- goods/supplies in Seattle might already be too pricey for the average person living there.

Take NY for example.  People to transfer to the "NY office" from other parts of the US usually have a salary adjustment (ranging from $5K to $20K) because of how expensive NY is.  Trying to live off of $7.25/hr in our city alone is a joke.  For a full time worker, that's about $15K a year... which I'm pretty sure is less than the national poverty level.  Unless we think of the Dollar Menu as a wholesome meal, New Yorkers could literally starve.  Employers in NY take in enough money in NY to pay their workers more.

[Via Garibaldi 8]

The whole minimum wage issue can really depend on where you're living in the world.  Switzerland's a country where it's rare for parents not to set up a trust fund for their kids.  And even though the cost of living is high, the country as a whole has a higher standard of living than the US.  Other countries like Norway and Sweden have a high minimum wage to correlate with their high tax rates (and universal college education system).

 

Maybe Seattle's cost of living is already high enough that $15/hr is worth it -- goods/supplies in Seattle might already be too pricey for the average person living there.

 

Take NY for example.  People to transfer to the "NY office" from other parts of the US usually have a salary adjustment (ranging from $5K to $20K) because of how expensive NY is.  Trying to live off of $7.25/hr in our city alone is a joke.  For a full time worker, that's about $15K a year... which I'm pretty sure is less than the national poverty level.  Unless we think of the Dollar Menu as a wholesome meal, New Yorkers could literally starve.  Employers in NY take in enough money in NY to pay their workers more.

Well yeah everyone knows New York City is an expensive place to live, but the point is where do you draw the line?  Yes, Seattle is also an expensive place to live, but the problem is from an economic standpoint, as an employer, if I have to now pay someone almost double what I was paying them before, that money doesn't magically appear in my cash register.  It has to come from somewhere.  Do I cut back on staff to make up for that? Do I increase my prices? Do I do both? How do I make up the extra cost?  You also have to factor in Obamacare as well, and if you're a small business (most companies in the U.S. are small businesses, not big companies with Apple, Microsoft, etc. who can afford the higher costs), then you have to say how do I survive to keep the company afloat?  This will have ramifications, and most think it will be negative, because at that price point, you may have many businesses (large ones like the Apples, Microsofts, etc.) relocating to States where the cost to do business is cheaper.  Cheaper salaries, lower taxes and tax incentives are all a draw.  That's precisely why Switzerland vetoed the latest wage increase because they are already losing a ton of business to other countries.  In short, yes the minimum wage should've been increased in Seattle, and should be increased here, but $15.00 is much too high for someone with minimal job skills.  It may look great on the surface, but it can have severe negative effects:

 

-Higher costs for goods (that $5.00 burger could now be $10.00 - 12.00 bucks to pay "Joe" his $15.00 an hour)

-Higher cost of living to offset the higher wages paid ("Joe" now receives $15.00/hr but many of his expenses now go up too, so how much does the $15.00 actually benefit "Joe"?)

-Companies relocating to areas with lower wages

-Lack of jobs due to higher wages

-Higher taxes due to a lack of workers to pay taxes 

 

The other issue is if "Joe" produces about $10.00 worth of business per hour, but I'm paying him $15.00 an hour, I'm losing $5.00 an hour, thus running at a loss already... That doesn't include any healthcare benefits or other expenses associated with "Joe".  

[West End]

I understand your argument, I do.  It's important to keep cities like NY and Seattle competitive, but if we continue with a low minimum wage system, it feeds to "the rich gets richer" argument, and the middle class ends of shrinking.  I'm not necessarily agreeing to $15/hr as the minimum wage, but if subsidies can be given to small businesses to balance it out (as their are in many European countries, some which have the highest standard of living in the world), so be it.  I'm sure these reasons must've been considered before every council member voted in favor of it.

[Via Garibaldi 8]

I understand your argument, I do.  It's important to keep cities like NY and Seattle competitive, but if we continue with a low minimum wage system, it feeds to "the rich gets richer" argument, and the middle class ends of shrinking.  I'm not necessarily agreeing to $15/hr as the minimum wage, but if subsidies can be given to small businesses (as their are in many European countries that have the highest standard of living in the world), so be it.  I'm sure these reasons must've been considered before every council member voted in favor of it.

I understand your comments to, but it's important to understand this issue from both sides of the fence.  This could very well have adverse effects as opposed to helping folks that are struggling to make ends meet.  The very people in favor of such a high wage increase I'm sure won't want to pay substantially more for the food they buy and other goods.

 

I also think that it sends the wrong message for professionals.  For example, in my side work, as a private tutor, I earn as much as $60.00+ for a tutoring session, but I do not charge for my travel time, nor the time I spend prepping for my sessions, so while $60.00+ may seem like a lot, I also put in a lot of work for that 2 - 2.5 hr session.  By comparison, someone at McDonald's can earn $60.00 for 4 hours and do far less skilled work than I do.  

[peacemak3r]

What's wrong with raising minimum wage?

 

What's wrong with it? What about some of us here making more than minimum wage and worked for that pay? Do we get a raise too to compensate the raising of the minimum wage? If my current pay was near the $15 minimum, I'd freaking just demote myself just to make more money doing less crap. Selfish yes, but to me, I don't see it fair for people that worked for the higher wages.

[Via Garibaldi 8]

I understand your comments to, but it's important to understand this issue from both sides of the fence.  This could very well have adverse effects as opposed to helping folks that are struggling to make ends meet.  The very people in favor of such a high wage increase I'm sure won't want to pay substantially more for the food they buy and other goods.

 

I also think that it sends the wrong message for professionals.  For example, in my side work, as a private tutor, I earn as much as $60.00+ for a tutoring session, but I do not charge for my travel time, nor the time I spend prepping for my sessions, so while $60.00+ may seem like a lot, I also put in a lot of work for that 2 - 2.5 hr session.  By comparison, someone at McDonald's can earn $60.00 for 4 hours and do far less skilled work than I do.  

Meant to say too*... 

 

 

What's wrong with it? What about some of us here making more than minimum wage and worked for that pay? Do we get a raise too to compensate the raising of the minimum wage? If my current pay was near the $15 minimum, I'd freaking just demote myself just to make more money doing less crap. Selfish yes, but to me, I don't see it fair for people that worked for the higher wages.

I wouldn't go as far as to say that minimum wage jobs are easy, but they don't require you to have any specialized skills.  That's the difference that needs to be noted.

[YankeesPwnMets]

What's wrong with raising minimum wage?

Nothing, but not to $15 an hour. Salting fries and flipping burgers gets you $10 an hour max. Now they're going to be kids thinking that they can quit school and salt fries for a decent amount of money.

[peacemak3r]

I wouldn't go as far as to say that minimum wage jobs are easy, but they don't require you to have any specialized skills.  That's the difference that needs to be noted.

 

Noted, you said it better than I tried to.

 

Nothing, but not to $15 an hour. Salting fries and flipping burgers gets you $10 an hour max. Now they're going to be kids thinking that they can quit school and salt fries for a decent amount of money.

 

This post, for the win.

[553 Bridgeton]

Nothing, but not to $15 an hour. Salting fries and flipping burgers gets you $10 an hour max. Now they're going to be kids thinking that they can quit school and salt fries for a decent amount of money.

Agreed! Its probably going to serve more bad then good.

[NY1635]

Nothing, but not to $15 an hour. Salting fries and flipping burgers gets you $10 an hour max. Now they're going to be kids thinking that they can quit school and salt fries for a decent amount of money.

No one is going to quit school to work at a fast food restaurant just because Seattle raised the minimum wage to $15 an hour. The principals, guidance counselors, and parents will still encourage kids to get into college and get a degree, no matter what minimum wage is.

[Via Garibaldi 8]

No one is going to quit school to work at a fast food restaurant just because Seattle raised the minimum wage to $15 an hour. The principals, guidance counselors, and parents will still encourage kids to get into college and get a degree, no matter what minimum wage is.

The people trying to raise a family on these jobs are the very people that did just that and now they're trying to convince people that their laziness and misfortunes due to their own lack of drive should be "forgiven" by giving them $15.00 for a minimum wage job.  It's really pathetic.  Don't get me wrong... I've had all sorts of minimum wage jobs from high school through college, but once college was over, I hit the pavement and started looking for a real job.  My current generation and the kids growing up now have no drive whatsoever.  They think everything is handed to them, and that life is this splashy easy set up.  Nothing of the sort.... If you want to be successful, 9 times of out 10 you have to huzzle and get what you want and not expect someone else to solve your problems, but this is where we're headed now...

 

 

Maybe articles like this will convince some people on this forum to go out and actually get a job.

LMAO!

[peacemak3r]

Maybe articles like this will convince some people on this forum to go out and actually get a job.

 

I must say, I totally 'rofl' at that comment. Though, I bet those 'people' went elsewhere, other than a job.

[realizm]

So.. In reading this article, I would say that I am happy for the residents of Seattle. It can be said that the increase in the wage, which will be implemented in a series of steps, will increase the costs of goods and services, ok I would think thats a valid argument. However, at the same time: We do have people trapped in low wage jobs. For that reason I am thrilled at the news, as a person instilled in humanitarian beliefs. 

 

Care to discuss? Looking forward to it...