Raising Minimum Wage
Raising Minimum Wage
On the other hand, this raised minimum wage has been greatly beneficial and life-changing to many working people. One of these people being Martin Johnson, a man who works three minimum wage jobs. He said that he felt like the increase of minimum wage gave workers dignity and made them feel better about themselves overall. But, the thoughts of the increase in minimum wage is varied amongst workers and business owners. On the economic side of this debate, it seems that economists haven't able to come to a consensus either. Their studies have shown that the effect of Seattle's law have had different effects dependent upon the groups of workers studied. The conflicting studies shown have also brought into light a broader debate about "what a $15 federal minimum wage might do for businesses and workers nationwide."
The increase in minimum wage in Seattle has given businesses many mixed feelings, emotions, and results. When the law first passed, the CEO of Fire and Vine Hospitality, Chad Mackay, began to reevaluate his entire business model. Even though Fire and Vine has paid above the minimum wage for such a long time, the company still moved to a commission-based model. These wage increases also haven't hurt his business, but he's actually doubled in size. While Fire and Vine flourished under the increased minimum wage, some businesses have done the complete opposite. Sitka and Spruce paid workers above the minimum wage, but their lease ran out, the business unsustainable with the rent, fees, and taxes in addition to the increase in minimum wage. This was the same issue that another business owner, Eric Tanaka was dealing with. He decided not to renew the lease on his restaurant, and rather tried to move forward with his other businesses, with less labor-intensive models. In general, the increase in minimum wage, and less people wanting to go into the restaurant industry, are two major factors that challenge both workers and the business owners.
https://www.cnbc.com/2020/01/02/seattle-passed-a-15-minimum-wage-law-in-2014-heres-how-its-turned-out-so-far.html
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