At the start of the year, the Seattle suburb of SeaTac raised the area’s minimum wage to $15, and the consequences are now starting to be felt. And it’s not just the unions who championed the effort, or those who still have jobs, that are feeling them.
It’s starting to look like the business owners, who resisted the law due to the complexities within it or the prospect of higher labor costs, were right.
Over the last few months, a few things have happened:
- Managers have taken more responsibilities on themselves, instead of hiring more workers.
- Businesses have laid off workers, or eliminated their plans to hire more.
- Area parking now comes with an added “living-wage surcharge.”
- Hotels have cut employee benefits, free food, and overtime.
Shocking: when bad ideas are put into place, there are consequences.
The one thing that you won’t read in any of the articles published since the law took effect: stories about businesses hiring more people. Business owners have reported a marked increase in job applications, presumably from those hoping to benefit from the higher minimum wage, but that has not translated into an increase in employment.
Read the full article at IJReview.com.
