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Seattle to boost wage floor to $15 per hour

  • The city council in Seattle approves an increase in the minimum wage to $15 per hour.
  • Mayor Ed Murray is expected to sign the measure into law today.
  • The pay floor will be implemented over several years with the specific time-frame depending upon the size of a business.
  • Fast-food restaurant chains (MCD, BKW, WEN, JACK, YUM, SONC, PLKI) are expected to feel the biggest pinch from higher minimum wage levels.
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Comments (49)
  • Gary Jakacky
    , contributor
    Comments (2554) | Send Message
     
    It got voted down in the Peoples Republic of Amherst, Massachusetts. Someone asked one of the "advocates" what THEY PAY THEIR workers....after fifteen seconds of bumbling idiot gibberish they got laughed off the podium. Too bad the news media in Seattle are so browbeaten.

     

    Go seahawks!
    3 Jun, 09:03 AM Reply Like
  • Cheesehusker
    , contributor
    Comments (310) | Send Message
     
    In other news, unemployment spikes in the Seattle area....
    3 Jun, 09:05 AM Reply Like
  • Dealerdeb1
    , contributor
    Comments (287) | Send Message
     
    After they go for their $15 Latte they can pay $12 for a Big Mac............yeah that'll work
    3 Jun, 10:19 AM Reply Like
  • Topcat
    , contributor
    Comments (435) | Send Message
     
    http://1.usa.gov/1osR80x

     

    Economy booming in Seattle, attracting (too many!) people moving here from all over the country, for the opportunities. Many businesses supported and helped negotiate the gradual increase. They realized that they need customers that have money to spend to buy their products. The current minimum wage, due to inflation erosion, only supports buying power in the 1970s level.
    3 Jun, 12:03 PM Reply Like
  • phildevoyd
    , contributor
    Comments (119) | Send Message
     
    Fast food eateries will completely surround the city. Buy commercial real estate just outside the city limits now.
    3 Jun, 09:07 AM Reply Like
  • SivBum
    , contributor
    Comments (1819) | Send Message
     
    Meanwhile SF has the highest MW and businesses have never been more profitable, not even during the dot-com boom days. Big businesses should take Obama's $10.10 proposal instead of fighting in cities where most of their customers are:

     

    The measure, which would take effect on April 1, 2015, includes a phase-in of the wage increase over several years, with a slower process for small businesses. The plan gives businesses with more than 500 employees nationally at least three years to phase in the increase. Those providing health insurance will have four years to complete the move. Smaller organizations will be given seven years.
    3 Jun, 09:09 AM Reply Like
  • Cheesehusker
    , contributor
    Comments (310) | Send Message
     
    Gosh, if this is the case, then SF should immediately raise the MW to $25 an hour - heck - why stop there? Let's go to $100 an hour. No - make it a cool grand.....just think how profitable it'll be!
    3 Jun, 09:12 AM Reply Like
  • Ocean Man
    , contributor
    Comments (552) | Send Message
     
    Sometimes you see intelligent discussions in the comments, and other times you see this^.
    3 Jun, 09:21 AM Reply Like
  • SivBum
    , contributor
    Comments (1819) | Send Message
     
    cheese, The argument makes no sense, just as the idea to lower the minimum wage to $0 as days of slavery. The point is that MW had not kept up with inflation since it has not been raised by empteen years. Get it?
    3 Jun, 09:45 AM Reply Like
  • Cheesehusker
    , contributor
    Comments (310) | Send Message
     
    @Siv - You're correct - your argument makes no sense. You seem to be trying to make an assertion that a higher MW leads to increased profits - if this were so, then raise the MW to absurd levels.

     

    At least you recognize that this IS some level at which raising the MW is counterproductive.

     

    Nice strawman with slavery, btw - so cute.

     

    Where is it written that MW has to keep up with inflation? Why should MW be the same across the US when the cost of living varies so greatly? Etc etc etc

     

    Get it?
    3 Jun, 09:51 AM Reply Like
  • Dealerdeb1
    , contributor
    Comments (287) | Send Message
     
    My opinion is there should not be a minimum wage lets let the free market decide.
    3 Jun, 10:21 AM Reply Like
  • SivBum
    , contributor
    Comments (1819) | Send Message
     
    cheese,

     

    It makes no sense to drop MW to zero or raise it to $100. Seems we are in agreement.

     

    SF's $10.xx rate appears to be a happy rate for its economy. That's all I was trying to point out. Of course no one can survive in SF on $10 an hour, or $15 ... when rent for a one bedroom apartment is well over $2K a month.
    3 Jun, 10:29 AM Reply Like
  • acesfull
    , contributor
    Comments (352) | Send Message
     
    Just lower the maximum amount a landlord can charge for a one bedroom apartment in SF to $500 a month. Problem solved.
    3 Jun, 10:57 AM Reply Like
  • 1980XLS
    , contributor
    Comments (3333) | Send Message
     
    They tried that. (rent control)

     

    In NY.

     

    There was even a movie showing how that turns out

     

    "Fort Apache, the Bronx"
    3 Jun, 11:01 AM Reply Like
  • New Low Observer
    , contributor
    Comments (2122) | Send Message
     
    Greetings SivBum,

     

    Isn't SF the city where buses for employees at Google, Adobe, Apple (companies involved in conspiracy to not compete for higher paid employees) meant to reduce pollution were being protested because their high income was making affordability in the city too difficult for MW earners?

     

    It goes without saying that those housing projects that the City and HUD tore down never went back into housing the same people that they "guaranteed" would be able to move back in from 1987 to 1998. They moved out the undesirables that weren't homeless with hollow promises and shipped them to the East Bay, resulting in higher crime rates for places like Oakland and Richmond.

     

    The Tenderloin manages to avoid full-on gentrification due to rent control. While avoiding development, crime, drugs and prostitution reign in the area. The Mission District is an active battle ground between high income earners and low wage immigrants. Visitation Valley, once a district where "blue" collar and minimum wage earners could afford to buy a first home is now completely out of reach for first-time home buyers. All that is left is Hunters Point and Sunnydale.

     

    Clinging to the view that a higher minimum wages has improved the situation for everyone in SF is simply whistling past the graveyard. It especially hurts those that the increase is touted to "assist."

     

    Regards.
    3 Jun, 01:10 PM Reply Like
  • acesfull
    , contributor
    Comments (352) | Send Message
     
    Yea. They can impose rent controls just as easily as they can impose a $15 minimum wage. All they need is a pen and a telephone.
    4 Jun, 08:17 AM Reply Like
  • 1980XLS
    , contributor
    Comments (3333) | Send Message
     
    They asked for it.

     

    Here's their Hope & Change.

     

    http://bit.ly/1pCuer9

     

    http://bit.ly/19F7qeG
    3 Jun, 09:19 AM Reply Like
  • Michael Bryant
    , contributor
    Comments (5616) | Send Message
     
    I'm moving to Seattle.
    3 Jun, 09:22 AM Reply Like
  • acesfull
    , contributor
    Comments (352) | Send Message
     
    Me too.
    3 Jun, 10:57 AM Reply Like
  • Learn2LoveLife
    , contributor
    Comments (2) | Send Message
     
    I don't understand why minimum wage needs to even be raised. I thought these are first time jobs. This should not be a career choice. My first job paid me $4.25 an hour and I felt like I had it good. If someone can explain, I would appreciate it. (No sarcasm please)
    3 Jun, 09:31 AM Reply Like
  • SivBum
    , contributor
    Comments (1819) | Send Message
     
    learn2, When was that when you got paid $4.25? You surly had it good in 1970 as a Texas resident when cars go for $2K with aircon and homes selling for $20K.
    3 Jun, 09:47 AM Reply Like
  • Ocean Man
    , contributor
    Comments (552) | Send Message
     
    It didn't go above $3.35 until 1990.
    3 Jun, 09:51 AM Reply Like
  • Michael Bryant
    , contributor
    Comments (5616) | Send Message
     
    Inflation adjusted, it was $15 in the 1960s.
    3 Jun, 12:04 PM Reply Like
  • jdadyfinance
    , contributor
    Comments (119) | Send Message
     
    The only winners here are the politicians and union reps ( they need to get elected too )
    the workers and consumers lose.
    The jobs will go and be replaced by technology, prices will go up and in the end we will still have the same issue. If raising the min wage was the magic bullet it's obvious the problem would not exist. Education is was and always will be the answer. Do we really want a society where workers are content to rely on the govt to set wages ? Is it not infinitely better to have skill and knowledge that forces employers to pay to get at those skills ? If the wage is set what incentive exists to rise above the median ? If you want to see that system at work sadly one need only look at the EU. Argue if you must but no economic growth, no population growth, no real immigration to speak of why? It's just not competitive compared to our traditional model. People still want to come here, be here, have children here. Education, hard work , risk taking, failing and trying again ! This works there is no arguing the point. Minimum wage just is another tool used to keep us divided and away from demanding a fix for the real issues. Should there be a minimum wage absolutely but not one that enslaves us to mediocrity and blinds us to the real problem. Educate early and often re apply as necessary.
    3 Jun, 09:41 AM Reply Like
  • SivBum
    , contributor
    Comments (1819) | Send Message
     
    jd, How do you watch over your kids education making and living on $7 an hour in most US cities? Only way to survive is to work 2 or 3 jobs while let your children run with the environment ... just hope they would do their home work and get help with algebra problems while you are gone 7am to 10om 7 days a week, unless you would put them to work after school flipping burgers as well?
    3 Jun, 09:52 AM Reply Like
  • Heem
    , contributor
    Comments (88) | Send Message
     
    SivBum, living on $7 an hour with kids is your game plan? Seriously, get motivated and find a good paying job. That may mean leaving the kids with a relative and searching the country till you find one. They are out there but the problem is $7 an hour people don't have the vision to make things happen and take control of their lives. I would not have any kids without a good paying job. You are already behind the 8ball and have a lot of ground to make up.
    3 Jun, 12:34 PM Reply Like
  • 1980XLS
    , contributor
    Comments (3333) | Send Message
     
    Anybody that only earns (or aspires to earning) only $7 per hour and only working 40 hours, should probably avoid having kids.
    3 Jun, 12:36 PM Reply Like
  • SivBum
    , contributor
    Comments (1819) | Send Message
     
    Heem,

     

    Did you skip over the part that I said working 2 or 3 jobs? And now you meant to tell high school grads who can't handle partial differential equations that they should not marry, and if they do and make sure no child will come from them? Also, what do you tell those crazy teens who got pregnant because they are teens?
    3 Jun, 01:41 PM Reply Like
  • Heem
    , contributor
    Comments (88) | Send Message
     
    SivBum -

     

    What do you tell them??? Life's tough when you screw up. Don't ask me to pay for your screw ups. Accept personal responsibility - if you can't afford kids do not have them. We have an extreme version of this with the welfare class "income checks for kids program". Now you want to reward people for not applying themselves in school and life. That is what $15 min wage does.
    3 Jun, 02:01 PM Reply Like
  • SivBum
    , contributor
    Comments (1819) | Send Message
     
    heem,

     

    Right, tell those teens: "you can't afford kids -- DO NOT HAVE THEM" or else you are out in the street and on your own. No reward to y'all and no second chance in USA.
    3 Jun, 02:06 PM Reply Like
  • Heem
    , contributor
    Comments (88) | Send Message
     
    Personal responsibility, almost dead in America. Last one out turn off the lights.
    3 Jun, 02:09 PM Reply Like
  • acesfull
    , contributor
    Comments (352) | Send Message
     
    At $15 an hour, why not?
    4 Jun, 08:25 AM Reply Like
  • jacklove
    , contributor
    Comments (2) | Send Message
     
    Yum is smart by focusing growth outside of U.S.A. As far as minimum wage goes it needs to be a local issue with the Fed's hand off. Cost of living across U.S.A. is not uniform. Let each locality decide it's own economic fate.
    3 Jun, 10:14 AM Reply Like
  • SivBum
    , contributor
    Comments (1819) | Send Message
     
    jack,

     

    That's exactly happening, major cities are setting their local MW rates.
    3 Jun, 10:31 AM Reply Like
  • New Low Observer
    , contributor
    Comments (2122) | Send Message
     
    SivBum,

     

    Setting the minimum rate is only occurring because, as mentioned earlier by JDadyfinance, politicians and unions want the most votes and power possible. It is not being done with the long-term interests of those that they claim to be helping. There is no better way to bankrupt the system than by offering competitive minimum wage increases.

     

    This is similar to GM and Chrysler unions demanding higher wages and pension benefits until GM, Chrysler (though they made bad cars as well) and Detroit are bankrupt. In addition, the factories ended up moving to the south with little or no union involvement.

     

    A saving grace, for Seattle, might be all the Buffett money that is going to pour in through the Gates Foundation. It may not directly support small businesses. However, some companies (i.e. non-profits) might move there just to have better access to contracts associated with the Gates Foundation.

     

    Regards.
    3 Jun, 01:33 PM Reply Like
  • jdadyfinance
    , contributor
    Comments (119) | Send Message
     
    It can be done, it is done every day! I grew up in a crappy neighborhood , went to a crappy public school and worked every crappy job I could get. It was education that led me to a better path and success. My parents made sure we had what we needed and never ever relied on the "system". There were no suits in my fathers closet he was a working man, youngest of six. Don't talk about a life most only see on TV we lived it and we all wanted to get out and knew education not a higher min wage was the answer. Minimum wage is not the answer and if you ever worked for min wage you would never want to be stuck there or God forbid see your children on that path. We need to fix our educational system and give workers the tools to demand higher wages ! Min wage is a dis incentive for education at 15+ an hour. Why spend the money and time and risk of being out of the labor force getting an education ( college) if you can make the same money that entry level positions require with out the education? Why stop at 15 why not make it 20 or 30 ? Let's just scrap the whole idea of education and give everyone a wage that ensures a nice comfortable lifestyle? I am sick of people with no understanding of what it means to be in the lowest level economically of this country droning on about min wage.
    Clearly they don't understand and that is a good thing but walk a mile in a mans shoes before you tell him what he needs.
    3 Jun, 10:39 AM Reply Like
  • SivBum
    , contributor
    Comments (1819) | Send Message
     
    jd,

     

    Kudos to you and I and millions of others blessed with wonderful parents and schooling etc. Of course our own experiences does not represent the other millions. This minimum wage debate has been exhaustive in other forums, more or less like the OWS, 47% vs 2%, and income inequality debates.

     

    Good luck.
    3 Jun, 10:52 AM Reply Like
  • New Low Observer
    , contributor
    Comments (2122) | Send Message
     
    JDadyfinance,

     

    I had a similar experience growing up (homeless first 14 years) and completely agree with your comment.

     

    Regards.
    3 Jun, 01:36 PM Reply Like
  • zagman
    , contributor
    Comments (41) | Send Message
     
    Well I will not be traveling to Seattle now!
    3 Jun, 11:50 AM Reply Like
  • 1980XLS
    , contributor
    Comments (3333) | Send Message
     
    Dollar Menu will be under heavy pressure, methinks.
    3 Jun, 11:52 AM Reply Like
  • Heem
    , contributor
    Comments (88) | Send Message
     
    $5 value menu on the horizon. Way to go Peoples Republic of Seattle. Why learn anything in school, or go to college, when you can vote for Demoncrats who will legislate a comfortable life style for you. The country is heading down the Greece path thanks to professional politicians who will do anything to stay in power and rob the system.
    3 Jun, 12:42 PM Reply Like
  • SivBum
    , contributor
    Comments (1819) | Send Message
     
    heem,

     

    Hate to barge in. How do you figure making $15 hourly in 2020 affords a comfortable life style for anyone?
    3 Jun, 01:21 PM Reply Like
  • Heem
    , contributor
    Comments (88) | Send Message
     
    SivBum

     

    You are arguing that minimum wage should be set to support a family. Minimum wage is , , , minimum. It was NEVER a career choice, it was a part time job until you got a real job. Everyone, this is what happens when you open doors you shouldn't. NOW we have people saying the min wage needs to be set to support a family!! Just like . . "Oh the poor people sneaking across our border looking for work. Let them be." Fast forward and now we have a NWO King who wants no border, illegal alien Democrat voters for life, and payed for by holding a gun to working Americans heads.
    3 Jun, 02:59 PM Reply Like
  • crimsonbey
    , contributor
    Comments (541) | Send Message
     
    In some sense the number is irrelevant. All of this is simply infrastructure for the wage/asset price spiral support. It is a variation on the median play vis a vis asset prices. Ergo if Median Income per family goes from 50 to 100 but the buying power is the same while asset prices are held at bay the perspective is that the nominal of paper on the ground is stable while the problems in underwater mortgages and banks go away via purchasing power increase relative to assets only.

     

    Its inflation affordability for housing but not food which will float upward. Ergo that $2.5-3.5 a lb chicken goes to $7 but the house will stay at the 6-700k level.
    On municipal/state/federal level the debt becomes more sustainable because notional monetary churn can become more sustainable via asset price exchange fees and taxes.

     

    Its a monetary velocity push in some sense.
    3 Jun, 12:54 PM Reply Like
  • abujordan
    , contributor
    Comments (113) | Send Message
     
    It is going to be very interesting to see how this works out. I don't care much for McDonalds, but I will watch the price of a deluxe, a cheese, & a fry carefully. Currently $6.20 before tax. http://www.ddir.com/menu
    3 Jun, 02:01 PM Reply Like
  • RLLH
    , contributor
    Comments (493) | Send Message
     
    I think McDonalds will be fine. Order taking kiosks already exist, as well as burger making robots. And payment can be made via plastic cards read into machines. The only ones hurt will be small businesses and former minimum wage workers turned into unemployed workers.
    3 Jun, 04:29 PM Reply Like
  • 1980XLS
    , contributor
    Comments (3333) | Send Message
     
    RLLH,

     

    But wasn't it for the minimum wage workers in which politicians used other people's money to buy their votes?

     

    Either somebody's stupid, or somebody's lying.

     

    Somebody either deserves to feel pain, or somebody needs to go to jail.

     

    Guess which ones will win?
    3 Jun, 04:35 PM Reply Like
  • Uain53
    , contributor
    Comments (1492) | Send Message
     
    "....The city council in Seattle approves an increase in the minimum wage to $15 per hour..."

     

    How lovely it must be to live in the trust fund world. Teenage years spent on safaris or exotic "eco-tourism".. step into a six-figure job after college .. advocating...doing nothing of lasting importance.

     

    Yeah, I am jealeous.....
    3 Jun, 10:24 PM Reply Like
  • Uain53
    , contributor
    Comments (1492) | Send Message
     
    Clueless trust funders strike again.
    4 Jun, 12:59 AM Reply Like
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