minimum wage increase signed into law

[francishsu]

http://www.freep.com/apps/pbcs.dll/article...NEWS11/60328005

The law lifts the minimum wage from the current $5.15 an hour to $6.95 an hour on Oct. 1. The hourly base wage will then rise to $7.15 in July 2007 and $7.40 in July 2008.

I also read in another article that the ballot proposal to increase the minimum wage in the state constitution is going to be taken off the table as a result of this legislation being signed into law.

[torgo]

Its going to hurt small businesses in small towns...its a big increase

[Rizzo]

I think you will also see a lot of kids being passed over for adults in your traditional service oriented entry jobs. Why hire a kid when you can get a compenant adult for the same price? There's a lot of people at work beotchin about not seeing a raise, I can't blame them, but then again their only making sandwichs. I preform skilled labor at less cost then a kid making sandwichs, I think its unfair they can "beotch" and I can't even though I am worked to the bone.

This is just stupid politics that could have many ramifications.

[GR8scott]

thats bad news now small businesses loose, less jobs at least part time and overtime. everything is going to go up in price

[torgo]

The part that goes unnoticed alot is that when an employer is forced to pay more, then they also pay more into Soc Sec since they have to match what is withheld. And as gr8scott said, overtime costs more, and for retail there will be fewer hours available for part time workers.

[gvsusean]

a raise in min. wage is a terrible idea! Min. wage jobs are for "kids" or for supplemental income. A rise in min. wage will scare off businesses, increase inflation, increase interest rates, increase costs

(which the employer wont bare they will just pass it on to the customer. this is just f-ing great

[Rizzo]

As with discussion with my employer, expect your fast food to be not so fast as a result. There will be scaling back of hours DRAMATICLY. I'm not an exconomics guru, but from what I am hearing this was so FRIGGIN irresponsible.

I hate to think I could loose my job because Republicans/Democrats want to appeal good in the eyes of the poor working class, NO FRIGGIN WAY. I don't even make the sandwiches and my job is in jeopordy! Geese I make sure the facility is maintained and resported in a proper manner respectable to applicable laws...

All I need from this job is an income to suppliment while I can put more energy into going to college so I can change industries. How in the hell can I do that when my job security is slipping away and almost the whole entry level sector may scale back as a result of this law!? Sounds like this law could create a huge Catch-22 for the younger workers looking to brake into a new job sector.

[GaryP]

As with discussion with my employer, expect your fast food to be not so fast as a result. There will be scaling back of hours DRAMATICLY. I'm not an exconomics guru, but from what I am hearing this was so FRIGGIN irresponsible.

I hate to think I could loose my job because Republicans/Democrats want to appeal good in the eyes of the poor working class, NO FRIGGIN WAY. I don't even make the sandwiches and my job is in jeopordy! Geese I make sure the facility is maintained and resported in a proper manner respectable to applicable laws...

All I need from this job is an income to suppliment while I can put more energy into going to college so I can change industries. How in the hell can I do that when my job security is slipping away and almost the whole entry level sector may scale back as a result of this law!? Sounds like this law could create a huge Catch-22 for the younger workers looking to brake into a new job sector.

Rizz, keep us updated if they actually have layoffs. I'm having a hard time believing that this is really going to have as big an effect as some business owners are saying.

[snoogit]

These are all scaretactics used by companies to avoid having to pay a living wage. Nothing more.

Everybody is looking at this like its a horrible thing, but look at some of the states who have done the same thing:

http://www.dol.gov/esa/minwage/america.htm

Washington, Oregon, California, Minnesota, Wisconsin, Illinois, New York, Vermont, Delaware, New Jersey, Florida, Maine, Massachusetts, Connecticut, Alaska, Hawaii.

All states with varying degrees of economic situations. Infact three of these states, California, Massachusetts, and Minnesota are the #1, #2, and #3 fastest growing economies in the US (In the order given).

[MJLO]

I have to wonder tho, those fast growing economies do you really think they have much to do with a higher minimum wage? Look at Minne, Cali, and Mass, all of the places that are exploding with growth, have tons of developement going on, and require more than ten times the gross yearly income the minimum wage might produce, just to live. The only comparison I can get from these, is they are all progressive thinking places. There generally tends to be a corelation between progressive communities and Growth.

[francishsu]

From what I can tell, there's no strong evidence that increasing the minimum wage leads to an increase in unemployment. In Florida, they put it into the constitution and their unemployment has not gone up (in fact, I think it's gone down). The counter argument is that Florida's economy has been doing well recently, which some critics believe is temporarily (i.e. until the economy takes a turn for the worse) negating the effects of the minimum wage increase.

Proponents, which even includes some business people, believe that the minimum wage increase will result in more spending by the people who see the salary increase and more productivity/less turnover (e.g. the minimum wage jobs become more valuable, so the people who have them will work harder to keep them).

[Rizzo]

Gary I'll keep you posted. I agree also, now that I think about it. I think my employer is trying to scare the employees because they think it will change anything-- nope.

According to some mid level managers around, I should be making 6.75/hr for what I do in the company. Now I see the prospects of being paid more then what I deserve, WOW! Its raining money in River City.

My capacity at the location is maintenance on equipment, heavy labor, bla bla... if skill and education is what determines my wage then so be it. I still earn the same as cook at my job even when I am probably the most active laborer in the shop with complete training of all the equipment. Only one other person at that location is qualified to do that. After I talk with some maintenance people with competitors they make 3 dollars more then I do, and this is even at one other other restaurants a mile or so away! I have a job title, although I'm not trying to add to my job to make it sound ultra important I do add to the work place.

I need a raise, but realistically if it's all the hell my employer is making it to be then I can hang in there for a little more without one. I am there to help my employer while making an appropriate wage, I will do my damdest to make sure they are taken care of and then we can talk money business.

I grew up in a non union family-It was instilled in me that you do what you can to earn your way. My dad started getting greedy when he worked for Steelcase.

He became undeserving and ungrateful,

He was laid off in 2001.

[snoogit]

I have to wonder tho, those fast growing economies do you really think they have much to do with a higher minimum wage? Look at Minne, Cali, and Mass, all of the places that are exploding with growth, have tons of developement going on, and require more than ten times the gross yearly income the minimum wage might produce, just to live. The only comparison I can get from these, is they are all progressive thinking places. There generally tends to be a corelation between progressive communities and Growth.

Florida is far from a progressive community

But wouldn't it be normal to assume a progressive community would be advocating for a higher minimum wage also?

[MJLO]

yes snoog, it would be normal

[hood]

Gary I'll keep you posted. I agree also, now that I think about it. I think my employer is trying to scare the employees because they think it will change anything-- nope.

According to some mid level managers around, I should be making 6.75/hr for what I do in the company. Now I see the prospects of being paid more then what I deserve, WOW! Its raining money in River City.

My capacity at the location is maintenance on equipment, heavy labor, bla bla... if skill and education is what determines my wage then so be it. I still earn the same as cook at my job even when I am probably the most active laborer in the shop with complete training of all the equipment. Only one other person at that location is qualified to do that. After I talk with some maintenance people with competitors they make 3 dollars more then I do, and this is even at one other other restaurants a mile or so away! I have a job title, although I'm not trying to add to my job to make it sound ultra important I do add to the work place.

I need a raise, but realistically if it's all the hell my employer is making it to be then I can hang in there for a little more without one. I am there to help my employer while making an appropriate wage, I will do my damdest to make sure they are taken care of and then we can talk money business.

I grew up in a non union family-It was instilled in me that you do what you can to earn your way. My dad started getting greedy when he worked for Steelcase.

He became undeserving and ungrateful,

He was laid off in 2001.

If you are working at minimum wage job you will not be making more than you deserve, you will still be making less than what you could live off of, even if working full time. The minimum wage should provide people with enough money to live off of if they were to work full time, minimum wage wasn't raised for too long, and it is ridiculously low. Nobody could live off it. I don't want to here any college or high school students complain, even if it is harder to get a job, because the people who depend on that income to live need it, if it's only your supplemental income and you lose it, too bad. You just have to deal with it, if it's supplemental you shouldn't need it badly, it will simply be an inconvenience rather than a matter of putting food on the table or not.

[Rizzo]

^It's there to put food on the table... No one is supporting me but myself, its not an income to sumplement anything because its my only income. And I'm trying to get into college, so are you saying that I shouldn't complain if I loose my job?! Or are you saying that kids and adults who are in college and being supported by some kind of system need not complain?

[snoogit]

^It's there to put food on the table... No one is supporting me but myself, its not an income to sumplement anything because its my only income. And I'm trying to get into college, so are you saying that I shouldn't complain if I loose my job?! Or are you saying that kids and adults who are in college and being supported by some kind of system need not complain?

I think he is talking about kids who still live with their parents.

[Rizzo]

I was thinking the same... Just had to throw that out there.

[Vertigo]

$7.15/hour a reasonable starting off point for an employee? I think so. Give an employee this much I think. The minimum wage has not been changed in what, 20 years? It's time for this change. I don't think the price of the sandwich you order will change me thinks.

[6th Gen local]

Who absorbs this additional cost to employers? Do the owners lower their profits or do their customers pay for the increased cost? What about the employees that were earning 8-9 and 10 dollars an hour, has their buying power just been reduced by the change in the minimum wage?

[NorthEnder]

Who absorbs this additional cost to employers? Do the owners lower their profits or do their customers pay for the increased cost? What about the employees that were earning 8-9 and 10 dollars an hour, has their buying power just been reduced by the change in the minimum wage?

There are some statistics out there, but 70% of people on minimum wage live in a home with a median income above 50,000, or something along those lines, meaning, most everyone on minimum wage is a teen, living at home with parents.

The legislature passed the minimum wage reform 33-0, in order to take it off of the constitutional amendment. If the amendment had been passed, minimum wage would have been indexed for inflation, which would have made it FAR worse for the business owners.

Lesser of two evils.

[torgo]

$7.15/hour a reasonable starting off point for an employee? I think so. Give an employee this much I think. The minimum wage has not been changed in what, 20 years? It's time for this change. I don't think the price of the sandwich you order will change me thinks.

The last raise in minimum raise to 5.15 was in 1997, so its been 9 years. I am ok with a modest increase, but I think to raise it almost 2 dollars right off the bat is too steep. It will be harder on small "mom and pop" stores.

[snoogit]

Who absorbs this additional cost to employers? Do the owners lower their profits or do their customers pay for the increased cost? What about the employees that were earning 8-9 and 10 dollars an hour, has their buying power just been reduced by the change in the minimum wage?

not at all. You're forgetting that prices have already inflated out of the range of someone who works on minimum wage. What these types of legislation do is make the prices for goods somewhat reasonable for those on minimum wage.

Minimum wage increases throughout history have never affected inflation to such an extent it becomes unbearable.

When the feds raised the minimum wage, it was followed by some of the fastest growth in deacdes. If anything Minimum wage increases seems to help the economy almost immediately after they take effect.