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NYC restaurants cutting staff hours as minimum wage hits $15
CBS "News" ^ | January 16, 2019 | By Megan Cerullo (D-CBS)

Posted on 01/16/2019 12:55:45 PM PST by Oldeconomybuyer

The legal minimum wage for New York City employers with 11 or more workers rose more than 15 percent on Dec. 31, 2018, to $15 per hour from $13, giving fast-food, retail and other employees a bump in pay. But some New York City restaurant owners say the latest minimum wage hike is forcing them to cut workers' hours just to stay afloat.

It's the third rise in the city's base wage since Dec. 31, 2016, when it went to $11 an hour. The latest increase is part of a plan that phases in minimum wage hikes across New York state, with amounts and effective dates varying by region and industry.

Jon Bloostein operates six New York City restaurants that employ between 50 and 110 people each. The owner of Heartland Brewery and Houston Hall, Bloostein said the effect of the higher minimum wage on payroll across locations represents "an immense cost" to his business.

"We lost control of our largest controllable expense," he told CBS MoneyWatch. "So in order to live with that and stay in business, we're cutting hours."

A New York City Hospitality Alliance survey of 574 restaurants showed that 75 percent of full-service restaurants reported plans to reduce employee hours this year in response to the latest mandated wage increase. Another 47 percent said they would eliminate jobs in 2019. Eighty-seven percent of respondents also said they would increase menu prices this year.

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


TOPICS: Business/Economy; Culture/Society; News/Current Events; Politics/Elections; US: New York
KEYWORDS: minimum; minimumwage; newyorkcity; socialism; unexpected; wage
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Unexpected.
1 posted on 01/16/2019 12:55:45 PM PST by Oldeconomybuyer
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To: Oldeconomybuyer

I’m shocked.

(signed)
Captain Obvious


2 posted on 01/16/2019 1:00:29 PM PST by Quality_Not_Quantity (Even my cat voted Republican)
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To: Oldeconomybuyer

Unexpected.

********************

LOL! Good one.


3 posted on 01/16/2019 1:00:35 PM PST by Starboard
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To: Oldeconomybuyer

——”So in order to live with that and stay in business, we’re cutting hours.”-—

To me that doesn’t make sense. It is in effect saying that to offer the present service, we have more employees than we need. No wonder New York is in such a sad state of affairs

The leftist minimum wage gambit is to force a general rise in prices. If all restraunts raise prices, the competative status quo can be maintained. aving done that, the induced inflation will spread to all business.


4 posted on 01/16/2019 1:01:14 PM PST by bert ( (KE. N.P. N.C. +12) Princess Gray Beaver, for President?)
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To: Oldeconomybuyer

At 15.00 an hour I’m done feeling sorry for them. no tip.


5 posted on 01/16/2019 1:03:25 PM PST by Ikeon (i may be wrong but I'm not lying. .....really....)
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To: Oldeconomybuyer

And when these businesses are FORCED to raise prices to cover costs, many LESS customers will enter their places. As a result, EMPLOYEES would lose their jobs and those still working will take in LESS money.
When the BILL consumes more and more of the “eating out” budget, the extra money will come out of the TIPS.
See what happened to the restaurant industry and its employees in Seattle. Devastation.


6 posted on 01/16/2019 1:03:40 PM PST by CaptainAmiigaf ( N.Y. Times--We print the news as it fits our views)
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To: Oldeconomybuyer

How could this happen? The government promised the workers utopia and wealth.

I remember working as a teenager shelving LPs in a record department. I felt sinfully rich when the minimum wage raised my pay to a whole $1.00 an hour. (Yes, I’m 72 so it was long ago.)

Their plight: 1)Get a whopping $15 an hour to work.
2) no one will hire you.

Can’t DeBlasio confiscate the retail stores and restaurants and then jail the former owners and demand all workers be paid the full hourly wage? Like landlord and apartment buildings? He’s a tough guy, maybe he can do it.


7 posted on 01/16/2019 1:03:45 PM PST by frank ballenger (End vote fraud,noncitizens & illegals voting & leftist media news censorship or we're finished.)
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To: Oldeconomybuyer

No worries. DeBlasio will just pass a law making it illegal to cut their hours.

It’s all quite simple to them.


8 posted on 01/16/2019 1:04:27 PM PST by Buckeye McFrog
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To: Oldeconomybuyer

Now can “CBS” do a segment of new conservative laws in the US?


9 posted on 01/16/2019 1:04:46 PM PST by Ge0ffrey
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To: Oldeconomybuyer
Proving yet again that the real minimum wage is zero - and that raising the legal minimum wage ensures that more (ex)workers will get the real minimum wage.
10 posted on 01/16/2019 1:06:18 PM PST by NobleFree ("law is often but the tyrant's will, and always so when it violates the right of an individual")
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To: Oldeconomybuyer

And then the mayor seized all the office buildings and turned them into communes....

... but, what the heck, no one’s drinking large sodas, so that’s something.


11 posted on 01/16/2019 1:11:00 PM PST by Jack Hammer
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To: Oldeconomybuyer

The minimum wage is always $0.00.


12 posted on 01/16/2019 1:11:38 PM PST by dfwgator (Endut! Hoch Hech!)
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To: Oldeconomybuyer

Dear Servers,
Get in line for the sob stories. Government workers are currently hogging all the screen time.

Sincerely,
The MSM


13 posted on 01/16/2019 1:11:40 PM PST by GnuThere
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To: Oldeconomybuyer
This is my shocked face ...


14 posted on 01/16/2019 1:13:27 PM PST by BlueLancer (Orchides Forum Trahite - Cordes Et Mentes Veniant)
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To: Oldeconomybuyer

Democrats want more of this.


15 posted on 01/16/2019 1:16:13 PM PST by TBP (Progressives lack compassion and tolerance. Their self-aggrandizement is all that matters.)
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To: Oldeconomybuyer

This would be an excellent opportunity to raise the prices, but put a sign in the window that says, “no tipping”.


16 posted on 01/16/2019 1:17:13 PM PST by cuban leaf
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To: Oldeconomybuyer

Even SeeBS!


17 posted on 01/16/2019 1:17:44 PM PST by TBP (Progressives lack compassion and tolerance. Their self-aggrandizement is all that matters.)
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To: Oldeconomybuyer

Your unexpected is exoected.


18 posted on 01/16/2019 1:20:41 PM PST by TexasGator (Z1z)
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To: Oldeconomybuyer
DeBlasio hopes this puts restaurants out of business.

Because then he can seize their buildings.

19 posted on 01/16/2019 1:22:42 PM PST by Lazamataz (McCain's passing ended up being a Net+2 conservative Senators. Kyl, his replacement, and L.Graham.)
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To: Oldeconomybuyer
This is wonderful. Progressive utopia.

Employees now make $15/hour but there's a slight problem.

They don't have jobs anymore.

Isn't liberalism great?

20 posted on 01/16/2019 1:23:17 PM PST by HotHunt (Reagan was good but TRUMP IS GREAT!)
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