Another State Caves Into 15$ Minimum Wage After Lawmakers & Unions Strike Deal
It isn’t often that California Gov. Jerry Brown opposes the progressive agenda as shown by his stances on creating a pathway to citizenship for illegal aliens, prioritization of green energy, and imposing higher taxes on the wealthy, but even he has drawn the line at an agreement between state legislators and labor unions that would take the minimum wage to the highest in the nation.
Commenting on the proposal announced by state Sen. Mark Leno (D-San Francisco) increasing the minimum wage to $15 an hour, Brown said such a steep increase would be “incredibly costly.”
The measure would raise the minimum wage in incremental steps beginning in 2017 until 2022 when the rate would reach $15 per hour, although small businesses with fewer than 25 employees would not be required to comply until 2023.
Leno told reporters the proposal would be introduced to the state legislature in Sacramento, rather than appearing on the ballot for voter approval.
The $15 per hour wage amounts to an annual income of $30,000 a year, which liberals claim would provide a living wage and help families move off government assistance, such as rent subsidies food stamps, but the reality in places where the wage has already been increased is disappointing, as employees ask to work fewer hours so as to still qualify for government help.
Seattle’s move to raise the minimum wage has yielded disappointing results and state data does not reflect a shift off welfare programs since the law took effect.
Small businesses like restaurants are passing the hike along to consumers in the form of surcharges added on to restaurant checks, while some have been forced to close.
“It’s what happens when the government imposes a restriction on the labor market that normally wouldn’t be there, and marginal businesses get hit the hardest, and usually those are small, neighborhood businesses,” said Paul Guppy, of the Washington Policy Center.