The Bitter Lesson From Seattle's Minimum Wage Hike

[gotbeer]

The Bitter Lesson From Seattle's Minimum Wage Hike

But I'm sure it will work in LA.  I'm sure those homeless are just full of skill. 

[halobob]

34 minutes ago, gotbeer said:

The Bitter Lesson From Seattle's Minimum Wage Hike

But I'm sure it will work in LA.  I'm sure those homeless are just full of skill. 

Saw that one coming, good article.

[wopphil]

Don't see how anyone could have predicted this. I am sure things will get better as the MW goes even higher in the coming years.

[AngelsLakersFan]

If the minimum wage is such a great idea, why not make it $30 an hour? 

[mtangelsfan]

Shocking

[Catwhoshatinthehat]

I don't even need to bring up the previous minimum wage thread to know the vast majority predicted this would happen.  Anyone who has taken econ 101, owned a business or has the slightest idea how business works knows this is why raising the minimum wage backfires.  The only people who pushed for it either didn't believe it, didn't care, wanted to push feel good legislation or were buying votes.    

[Adam]

At some point the government is going to force business to spend X percent of their revenue on labor. 

[Amazing Larry]

2 hours ago, Catwhoshatinthehat said:

The only people who pushed for it either didn't believe it, didn't care, wanted to push feel good legislation or were buying votes.    

Unions.

[AngelsLongBall]

3 hours ago, Adam said:

At some point the government is going to force business to spend X percent of their revenue on labor. 

Guessing California 

[Jason]

Seattle deserves what's coming to them and their economy. Sucks for the small mom and pop business though

[Tank]

22 hours ago, Catwhoshatinthehat said:

I don't even need to bring up the previous minimum wage thread to know the vast majority predicted this would happen.  Anyone who has taken econ 101, owned a business or has the slightest idea how business works knows this is why raising the minimum wage backfires.  The only people who pushed for it either didn't believe it, didn't care, wanted to push feel good legislation or were buying votes.    

"Increasing the minimum wage increases the costs of hiring 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 workers fewer hours. As a result, even if wages per hour increase workers' total earning could decline."

[ten ocho recon scout]

I bet the price on all the heroin up there is up now, too. And the locals are like "make it 15 an hour, quick!" Not realizing that the tar will reach the white china prices. 

[Rico]

Seattle's unemployment rate is at 4.00%.  The same that it was the year before.  We are not seeing all the job losses people keep screaming about.

  https://ycharts.com/indicators/seattle_wa_unemployment_rate

[mtangelsfan]

3 hours ago, Rico said:

Seattle's unemployment rate is at 4.00%.  The same that it was the year before.  We are not seeing all the job losses people keep screaming about.

  https://ycharts.com/indicators/seattle_wa_unemployment_rate

Except it isn't doing what it said it was going to do.  They really aren't seeing an increase in pay.

[Jason]

People may still have jobs but they will spend less time at them as a result of the wage increase. 

[Amazing Larry]

I love when people quote the unemployment rate. Talk about a manipulated meaningless stat.

[AngelsLakersFan]

7 hours ago, Rico said:

Seattle's unemployment rate is at 4.00%.  The same that it was the year before.  We are not seeing all the job losses people keep screaming about.

  https://ycharts.com/indicators/seattle_wa_unemployment_rate

People aren't getting laid off by things like this, they just aren't getting hired, or are getting their hours reduced. 

[Amazing Larry]

Libs avoiding this thread like the plague. 

[Vegas Halo Fan]

Significant jumps in wages are going to result in significant jumps in prices and reduced hours. They don't have the advertised impact on the people who they are supposed to help.

It amazes me when people who work fast food say that they deserve $15 per hour for getting our orders wrong. Here's a thought: If you want to be paid more, try getting a marketable skill. Knowing to pull the fries out when the buzzer goes off doesn't qualify.

[Rico]

19 hours ago, Angels N Skins said:

People may still have jobs but they will spend less time at them as a result of the wage increase. 

Even at fewer hours, the average worker is still making more weekly than they were before the wage increase.  So there has been no real negative effect to the wage increase and the biggest complaint is that it should be working better.  I'll take that.  

Meanwhile Seattle's economy as a whole is absolutely flourishing.  

 

[Stradling]

5 hours ago, Rico said:

Even at fewer hours, the average worker is still making more weekly than they were before the wage increase.  So there has been no real negative effect to the wage increase and the biggest complaint is that it should be working better.  I'll take that.  

Meanwhile Seattle's economy as a whole is absolutely flourishing.  

 

Sure they make more money in less hours, but that more money they make is less valuable, so they make the same or less.

[Ray McKigney]

Walmart is going to offset the raised wages here at home by ensuring that the workers at their garment manufacturing plants in Bangladesh only make 25 cents an hour, instead of the cushy 35 cents they make now.

[AngelsLakersFan]

5 hours ago, Ray McKigney said:

Walmart is going to offset the raised wages here at home by ensuring that the workers at their garment manufacturing plants in Bangladesh only make 25 cents an hour, instead of the cushy 35 cents they make now.

THEY CAN ALWAYS QUIT!!!!

[Ray McKigney]

23 hours ago, AngelsLakersFan said:

THEY CAN ALWAYS QUIT!!!!

That's difficult to do in Bangladesh. That country's unemployment benefits only pay 12 cents a year. Hard to make a living on such a small amount.

[AngelsLakersFan]

1 cent per month?... TO DO NOTHING!?!?!?!