I guarantee you if a $15 minimum wage [law is passed nationally], you're going to see a job loss like you can't believe....
On the whole, the study estimates, the average low-wage worker in the city lost $125 a month because of the hike in the minimum.
The University of Washington study indicates that signing SB81 could potentially lead to an even bigger decrease in low wage jobs, with some leaving IL to states with lower labor costs. The study suggests that small companies and even large companies are simply cutting hours and not hiring to meet their budget requirements. In other words, hours worked in low-wage jobs fell because fewer jobs classified as low wage. Studies elsewhere have found employment loss can be severe, especially for low-skilled workers.
Reich argued that comparing a booming economy like Seattle's with other areas in Washington state is not a fair comparison and that there are out-of-state cities with more comparable economies. The better way to raise wages is to create an economy with strong job creation that lowers the costs of employing people, but unfortunately we have pursued policies for the past eight years that took us in the exact opposite direction - especially with ObamaCare and the employer mandate.
A review last week by University of California at Berkeley economists found the law raised pay without hurting jobs in the restaurant industry. He said he mostly supports the city's minimum wage increase, but since the wage hike went into effect, he's reduced hours for some employees.
One opinion did criticize the study's design and came from Michael Reich, another Berkeley economist.
The most recent study analyzes the uptick to $13 and shows the hour cuts from the first paper exacerbated.
A national campaign called "Fight for $15" aims to bring higher wages across the country by worker strikes and demonstrations.
Based on the current data, it comes out to about $125 per month for low-wage earners, Dori pointed out. But it says employment in food service was not affected and that wages increased. They did conclude though that low wage workers were lagging behind even in Seattle even in an economic boom with an increased minimum wage.
Seattle locals have their own take on how the $15 wage is working out.
Former Democratic presidential candidate Sen.
"I would agree with that conclusion", Long said. As a result, past research might be less reliable because the results might reflect many workers who are not paid low wages, said Jacob Vigdor, an economist at the University of Washington and one of the authors of the new study.
A high minimum wage may sound like a simple way to provide a living wage.