Seattles Minimum Wage Hike May Have Gone Too Far

[Honeycombe8]

3. So the companies are spending LESS on wages than before?

If the "negative impact" is more than the extra money from increased wages, that means that the companies are spending LESS on wages than before. They are not just making necessary business decisions to cut back enough to make their wage costs stay the same. Temper tantrum, maybe?

Second, even though that may have been too much too soon. But generally, my thoughts are that if a business can't afford to pay a living wage to a full time worker, then is that business really a viable, successful business? Or is it getting by on the backs of low-paid workers in combination with welfare benefits those "employees" are eligible for because of their low wages.

That's a trick that WalMart perfected. Pay low wages so that you push other local businesses out of business, since all people will shop for lowest cost items. Then let the workers claim welfare benefits like food stamps and Medicaid, thus funding your own business costs! Nifty!

I am sympathetic with small businesses, but my understanding is that these min. wage laws don't apply to small businesses. A small business is a totally different thing from a large corporation. A worker doesn't get paid much by a small business, and there are usually no benefits. So if someone has a troubled work history, you might choose to work for a small business, or there may be a more flexible work schedule, or it may be close to home so you can walk or ride a bike there.