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It begins: In wake of California $15 minimum wage, garment firms moving out of Los Angeles
American Thinker ^ | 04/16/2016 | Thomas Lifson

Posted on 04/17/2016 6:21:14 AM PDT by SeekAndFind

To the surprise of nobody but leftists, Governor Brown and the California State Legislature Democrats, jobs are beginning to evaporate visibly in the wake of California legislating a phased-in $15 an hour minimum wage. Even the Los Angeles Times can’t help but notice:

 Last week American Apparel, the biggest clothing maker in Los Angeles, said it might outsource the making of some garments to another manufacturer in the U.S., and wiped out about 500 local jobs.

American Apparel is far from the only firm affected, of course:

Felix Seo has been making clothes for wholesale in downtown for 30 years. His company, Joompy, used to count giant retailers like Forever 21 among its clients. But as prices have gone up in recent years, he said, those fast-fashion peddlers are no longer giving him orders.

"I used to pay $5 to get this sewn, and now it costs $6.50," Seo said, holding up a patterned dress. "But my customer doesn't want to pay that, so I can't sell it anymore."

To survive, Seo, 59, said Joompy may have to start importing goods instead of producing them locally. "It will be impossible to make clothes in Los Angeles," he said.

Unions, of course, are not surprised by this. They see opportunities for a shakedown of employers, and besides, there are so many of their members covered by contracts pegged to X dollars above the mono mum wage, that the fate of lowe income workers is really of no consideration. Put them on the dole, and make them fodder for big government programs and Democrat voters.

(Excerpt) Read more at americanthinker.com ...


TOPICS: Business/Economy; Government; News/Current Events; US: California
KEYWORDS: california; economy; jobs; minimumwage
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To: Steely Tom

Correct, they’re all fat and happy eating their government cheese.


21 posted on 04/17/2016 5:32:33 PM PDT by New Jersey Realist (Home of the Free Because of the Brave)
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Comment #22 Removed by Moderator


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