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Who’d a-thunk it? Following $15 per hour minimum wage in SeaTac
AEIIdeas.org ^ | 6/5/2014 | Mark J. Werry

Posted on 06/05/2014 11:51:16 PM PDT by South40

Full title: Who’d a-thunk it? Following $15 per hour minimum wage in SeaTac, local businesses are adding ‘living wage surcharges’?

Erin Shannon, Director of the Center for Small Business writes on The Washington Policy Center blog that “In SeaTac, Everyone Pays for the $15 Minimum Wage“:

Last week I blogged about SeaTac employers who have responded to the new $15 minimum wage law by reducing or eliminating the benefits workers receive. Employees earning the new wage say they have lost benefits such as 401k, paid holidays, paid vacation, free food, free parking and overtime hours. As one SeaTac worker put it, “It sounds good, but it’s not good.”

But workers aren’t the only ones paying for the high wage. Consumers are also picking up the tab, in the form of increased prices. Many SeaTac businesses have tacked on an additional fee to mitigate the increased cost of labor. On the receipt pictured above, a $6.93 “living wage surchage” was added to a $84.00 parking charge. That is the equivalent of a 8.25% tax.

(Excerpt) Read more at aei-ideas.org ...


TOPICS: Constitution/Conservatism; Crime/Corruption; Government; News/Current Events
KEYWORDS:

1 posted on 06/05/2014 11:51:16 PM PDT by South40
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To: South40

Only Liberals who live in their own make believe world think you can just raise wages!


2 posted on 06/05/2014 11:55:17 PM PDT by fortheDeclaration (Pr 14:34 Righteousness exalteth a nation:but sin is a reproach to any people)
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To: South40

Very smart of Masterpark to show that stupid government policies have consequences. Businesses are forced to pass through expenses to the consumer.


3 posted on 06/05/2014 11:57:39 PM PDT by NYRepublican72
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To: NYRepublican72
The same asinine idea has been proposed here in San Diego. Someone said, "Let's wait and see how it works out in Seattle."

Then there's this...Study: Wage hike bad for SD

4 posted on 06/06/2014 12:02:57 AM PDT by South40 (Liberalism is a Disease)
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To: South40

The Marxists are calling the shots in Seattle and the entire state of Washington. This Seattle minimum wage increase was not even by a vote of the people. The Seattle City Council bullied their way through without a vote.


5 posted on 06/06/2014 12:20:38 AM PDT by jonrick46 (The opium of Communists: other people's money.)
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To: South40

The people making their $15 and hour have to pay those extra charges too. That’s the way government tampering with the economy always works. Inflation gets em’ on the backside.


6 posted on 06/06/2014 12:21:29 AM PDT by pallis
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To: jonrick46

San Diego voters will have a chance to vote in the issue. So while I feel for those in Seattle who oppose this lunacy, I am thankful we will have the experience there to look to when the time comes to consider it. Hopefully, it is revealed to be the disaster so voters here reject it. It appears it already is.


7 posted on 06/06/2014 12:25:01 AM PDT by South40 (Liberalism is a Disease)
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To: pallis
The people making their $15 and hour have to pay those extra charges too.

Yes, but these are the same people who thought that "Free healthcare" meant someone else had to pay for it.


8 posted on 06/06/2014 12:26:58 AM PDT by South40 (Liberalism is a Disease)
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To: South40

I hope the San Diego voters do not get economic reality blurred with Marxist myth. A measure of how successful this ill conceived polity has affected the economy will be the parking revenue around the city. Parking revenue is tied directly to economic activity in the city. When you have to pay for parking and now have to pay for increased prices, fewer will be spending time in Seattle.


9 posted on 06/06/2014 12:45:36 AM PDT by jonrick46 (The opium of Communists: other people's money.)
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To: South40
Walmart in Williston North Dakota is paying $17/hr to start. Ft/PT, either way.

The problem is, rent in the town is off the charts (oil boom) at $2400/month + utilities for a 2 bedroom apt. (or more).

None of this stuff occurs in a vacuum. For people who allegedly get the concept about a butterfly flapping its wings in one place causing a storm hundreds of miles away, they sure don't get how arbitrarily tampering with the equilibrium in an economy ripples through all sectors.

10 posted on 06/06/2014 12:52:08 AM PDT by Smokin' Joe (How often God must weep at humans' folly. Stand fast. God knows what He is doing.)
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To: pallis

Just wait until that new income tax bracket-shock sets in!


11 posted on 06/06/2014 12:58:00 AM PDT by skr (May God confound the enemy)
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To: South40

Doesn’t every business have a magic bag that contains an infinite amount of money? Why don’t they take it from there? Why would the price go up for customers?


12 posted on 06/06/2014 1:42:31 AM PDT by BinaryBoy ("Immigration Reform" is ballot stuffing)
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To: BinaryBoy

“Doesn’t every business have a magic bag that contains an infinite amount of money?”

That’s the sort of visionary thinking that keeps unions coming back to the bargaining table.


13 posted on 06/06/2014 2:27:05 AM PDT by Artie (We are surrounded by MORONS)
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To: Smokin' Joe

Great point. That is the beauty of free market capitalism. It is fully based on supply/demand. If I were the owners of fast food restaurants in Seattle, I would close shop, and then let the liberals explain why that there were “No” jobs anywhere for the less trained and experienced.


14 posted on 06/06/2014 2:40:08 AM PDT by catfish1957 (Face it!!!! The government in DC is full of treasonous bastards)
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To: catfish1957
Fast food joints are hopping--not enough sit down restaurants--and are paying $14-15 to start. Expect to spend ten bucks on a combo 'meal', though.

When there is more money in an economy, there will be higher prices.

15 posted on 06/06/2014 2:43:43 AM PDT by Smokin' Joe (How often God must weep at humans' folly. Stand fast. God knows what He is doing.)
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To: BinaryBoy
Why would the price go up for customers?

The business owner is going to do his best to juggle that issue. Fast food as an example is predicated on convenience. If a burger-fry-coke goes from $7 to $15, there will be many of their customers who will opt for things like, buying outside the town, or cooking at home.

It's spiral that will likely force many businesses to close.

16 posted on 06/06/2014 2:44:19 AM PDT by catfish1957 (Face it!!!! The government in DC is full of treasonous bastards)
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To: Smokin' Joe

Yep, a boom town mentality that will eventually find it’s level of sanity. Hope the recipients of this good fortune don’t get to used to it.


17 posted on 06/06/2014 2:46:54 AM PDT by catfish1957 (Face it!!!! The government in DC is full of treasonous bastards)
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To: catfish1957
The town is a veteran of the boom/bust cycle. There was an oil boom there in the late 70s and early 80s. When it went bust some people lost their butts.

The popular bumper sticker read "Please, God, give us another oil boom. We promise not to piss it away this time."

The greatest concern is the spending at the State level of oil tax revenue. Seven counties are the main producers in the current boom, but that doesn't stop counties across the state from trying to dig out a share of the money. It is the government expenditures which will have to be paid off or supported in the long run which concern me most, because other sources of revenue will be found to support that--and that means more taxes.

Gov Ed Schafer did a bang-up job of reducing size and cost of government after that first boom went bust, but the current bunch have been spending like sailors on liberty.

18 posted on 06/06/2014 3:03:59 AM PDT by Smokin' Joe (How often God must weep at humans' folly. Stand fast. God knows what He is doing.)
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To: Smokin' Joe
It seems to be happening everywhere, like a collective loss of any sense of right and wrong.

LOL... Exact analogy I was thinking of. The thing is though, drunken sailors on leave use their own money. Congrescritters, use someone else's.

19 posted on 06/06/2014 3:08:39 AM PDT by catfish1957 (Face it!!!! The government in DC is full of treasonous bastards)
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To: South40
Employees earning the new wage say they have lost benefits such as 401k, paid holidays, paid vacation, free food, free parking and overtime hours.

That's probably one of the REAL reasons why governments adopted these high minimum wages in the first place. They've incentivized businesses to eliminate benefits like the ones listed here -- most of which are either non-taxable or are taxed in ways that can't be effectively enforced -- in lieu with a higher base wage that is subject to all of the usual income and payroll taxes.

20 posted on 06/06/2014 3:10:53 AM PDT by Alberta's Child ("What in the wide, wide world of sports is goin' on here?")
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To: South40

I am glad to see this. IMHO, businesses should try to find ways to itemize the costs of taxation on every price tag and receipt.


21 posted on 06/06/2014 3:26:52 AM PDT by sphinx
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To: sphinx

If only our property tax statements did that.


22 posted on 06/06/2014 4:00:44 AM PDT by TurboZamboni (Those who make peaceful revolution impossible will make violent revolution inevitable.-JFK)
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To: Smokin' Joe

How is there more money in the economy?


23 posted on 06/06/2014 4:02:50 AM PDT by Doctor 2Brains
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To: South40
Last week I blogged about SeaTac employers who have responded to the new $15 minimum wage law by reducing or eliminating the benefits workers receive. Employees earning the new wage say they have lost benefits such as 401k, paid holidays, paid vacation, free food, free parking and overtime hours. As one SeaTac worker put it, “It sounds good, but it’s not good.”

The pencil neck liberals and leftists who imposed the wage failed to help businesses prosper by reducing the tax and regulation burdens. Instead they stupidly assume that the businesses can simply pay more out of their obscene profits.

The politicians who impose increased wages should be required to pass Economics 101, instead of helping the poor get poorer. But, of course, the leftists are excused because they have "good intentions."

24 posted on 06/06/2014 4:12:08 AM PDT by olezip (Time obliterates the fictions of opinion and confirms the decisions of nature. ~ Cicero)
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To: fortheDeclaration

Go West Young man. How did that work out?


25 posted on 06/06/2014 4:23:57 AM PDT by billhilly (Its OK, the left hated Bush.)
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To: pallis

“The people making their $15 and hour have to pay those extra charges too. That’s the way government tampering with the economy always works. Inflation gets em’ on the backside.”

These minimum wage hike movements are just de facto acknowledgment that the inflation is already here; the numbers are simply fudged by the government to suppress payouts on entitlements with inflation adjustments. Our overlords will increase the minimum wage to get people to work instead of opting for the dole (that is why these movements are in the areas with the best welfare standards of living), but they are quite content to let our retirees suffer (even offering them the legal option to kill themselves - ala “Soylent Green”).

Scary...


26 posted on 06/06/2014 4:25:50 AM PDT by kearnyirish2 (Affirmative action is economic warfare against white males (and therefore white families).)
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To: Smokin' Joe

I have a small sign hanging on my wall in my office...it says:

“I’m an 82 survivor”

It refers to the financial oilfield disaster that happened in 1982 here in Texas and the gulf coast.


27 posted on 06/06/2014 5:55:59 AM PDT by DH (Once the tainted finger of government touches anything the rot begins)
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To: South40
I can understand a state mandated minimum wage if the goal was to prevent the country from becoming a Third world cesspit where people make 10 cents a day. I can also understand raising the minimum wage to keep up with inflation and the cost of living.

The better solution would be to send people who are willing to work for 10 cents a day out of the country instead of good paying jobs and to stop printing money like it was going out of style.

28 posted on 06/06/2014 6:05:15 AM PDT by Count of Monte Fisto (The foundation of modern society is the denial of reality.)
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To: Count of Monte Fisto
I can understand a state mandated minimum wage if the goal was to prevent the country from becoming a Third world cesspit where people make 10 cents a day. I can also understand raising the minimum wage to keep up with inflation and the cost of living.

The better solution would be to send people who are willing to work for 10 cents a day out of the country instead of good paying jobs and to stop printing money like it was going out of style.


Thank you. I also have a different take on the minimum wage controversy.

$15.00 is about what the minimum wage would be IF government intervention had not flooded the country with cheap desperate labor in the form of illegals, guest workers, and legal immigrants AND the CPI still represented the cost of a set standard of living.

Raise The Minimum Wage To $14 An Hour Using This One Weird Trick—An Immigration Moratorium!
link

Minimum Wage and Welfare: the Tradeoff
link
29 posted on 06/06/2014 7:02:35 AM PDT by khelus
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To: Alberta's Child
Re:Employees earning the new wage say they have lost benefits such as 401k, paid holidays, paid vacation, free food, free parking and overtime hours.

That's probably one of the REAL reasons why governments adopted these high minimum wages in the first place. They've incentivized businesses to eliminate benefits like the ones listed here -- most of which are either non-taxable or are taxed in ways that can't be effectively enforced -- in lieu with a higher base wage that is subject to all of the usual income and payroll taxes.


An additional bonus is a whole new group of people taxed into a favorable view of dependence upon big government for some of life's necessities, e.g. food and medical care.
30 posted on 06/06/2014 7:06:56 AM PDT by khelus
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To: catfish1957

This is a vote against poor people. Seattle wants to drive them out of town.

You should see it. You can’t touch living there unless you make $150K/year. Between the incubators, the Gates Foundation, Google, MSFT, the Cancer boondoggle there is so much money downtown that every vacant lot has a building going up on it.

It’s as dense now as SF. There’s no open lots at all.

It’s weird. It reminds me of DC in terms of the opulence and all the fake commerce going on. Seattle doesn’t seem to be producing anything. Novo Nordisk is there, producing insulin, and nothing else. Fremont has Adobe (and Google, and a secret agreement not to poach).

Lots of startups and incubators. The schools are among the worst in the state, but nobody with kids is living downtown. Breeders live in the burbs, or at least Greenlake, but better off in Edmonds, Lynnwood, or Everett. The deputy chief of Seattle’s kid goes to school in Everett (Dad must commute, or Mom’s living in Everett).

Seattle is a pretty soulless place. Reminds you of the Capitol in Hunger Games.


31 posted on 06/06/2014 7:18:17 AM PDT by RinaseaofDs (.)
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To: Doctor 2Brains
In Williston, ND? With the oil boom (Bakken/Three Forks) there is money coming in from outside, brought in by the extraction of oil.

First, you have lease fees of up to $4500.00 per acre for mineral rights, and for some who farmed several sections (each a square mile--640 acres), that added up fast.

Add in up to 20% royalty interest for produced oil and gas as well, and the checks were fairly significant.

Then consider the rig count went up to 218, each of which directly employing over 30 people in full time jobs paying from $60,000/yr to $300,000/year. For every job on the rig, consider there are nearly as many in support occupations from truck drivers to equipment operators, sales, specialized oilfield services, cementers (for casing), frac crews, production personnel, supervisory positions, supply companies, and state inspectors, to name a few.

Taxable sales for the county (Williams) exceeded those in Fargo (the most populous city in the state) and environs, the highest of any county in the state.

With unemployment below 3%, in most quarters around 1%, there is more money in the local economy than most areas.

32 posted on 06/06/2014 7:49:56 AM PDT by Smokin' Joe (How often God must weep at humans' folly. Stand fast. God knows what He is doing.)
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To: Smokin' Joe

Oh, my bad. I thought you meant that the minimum wage law had increased the cash.


33 posted on 06/06/2014 9:49:37 AM PDT by Doctor 2Brains
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To: Doctor 2Brains

No, there is no special minimum wage law, it’s all supply and demand. (More jobs than workers.)


34 posted on 06/06/2014 9:58:46 AM PDT by Smokin' Joe (How often God must weep at humans' folly. Stand fast. God knows what He is doing.)
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