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New York’s minimum wage hike has a big catch
ithacavoice.org ^ | May 8, 2023 | Sam Mellins

Posted on 05/08/2023 5:31:19 PM PDT by lowbridge

Legislators clapped politely at several moments in Governor Kathy Hochul’s State of the State address in January, but only one line got a 30-second standing ovation.

“As a matter of fairness and social justice, I’m proposing a plan to peg the minimum wage to inflation. If costs go up, so will wages,” she said to loud and extended applause. “This important change will give over 900,000 minimum wage workers a lifeline.”

New York’s final budget, approved this week, made good on the pledge. New York’s minimum wage — currently set at $15 in the New York City area, and $14.20 upstate — will rise by 2026 to $17 in the New York City area and $16 upstate. Further increases will be tied to inflation, a measure meant to ensure that the lowest-paid workers’ wages keep up with the cost of living.

There’s a catch, though: The automatic increases will be canceled if unemployment is up. If New York’s employment level is lower in July than in January and April, there will be no increase in the next year. The same applies if unemployment is at least half a percentage point higher at the three-month stretch ending in July than the lowest it’s been in any three-month stretch in the previous year — if the average is at 4.5 percent in March and rises to five percent in July, for example, the increase will be called off.

“Like other states that have implemented this policy, we’ll put on guardrails to make sure that employers, the increases are predictable for them,” Hochul said as the applause quieted down.

The cancellations are likely to be triggered fairly frequently:

(Excerpt) Read more at ithacavoice.org ...


TOPICS: Business/Economy; News/Current Events; US: New York
KEYWORDS: hochul; minimumwage; newyork
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1 posted on 05/08/2023 5:31:19 PM PDT by lowbridge
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To: lowbridge

>> “As a matter of fairness and social justice, I’m proposing a plan to peg the minimum wage to inflation. If costs go up, so will wages”

ROFLMAO. This woman is industrial strength stupid.

If I had the misfortune to be living in NY, I’d either move out or stockpile survival food.


2 posted on 05/08/2023 5:34:11 PM PDT by Nervous Tick (Truth is not hate speech.)
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To: lowbridge

Hochul — the ‘D’ is for Death Spiral....


3 posted on 05/08/2023 5:38:27 PM PDT by Still Thinking (Freedom is NOT a loophole!)
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To: lowbridge

If there are no repercussions to raising the minimum wage, then, why not raise it to $100 or more?

Democrats always think think with their rears. No, not with their hearts or minds. If they had hearts or minds, they wouldn’t be so stupid.

Wage increases always start an inflationary domino-effect, just like all other costs that cause an employer to raise their costs to customers. Once prices go up, they stay up, and reducing the wages or stopping the wage increases, won’t bring prices back down.


4 posted on 05/08/2023 5:41:01 PM PDT by adorno
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To: adorno

>> Wage increases always start an inflationary domino-effect, just like all other costs that cause an employer to raise their costs to customers. Once prices go up, they stay up, and reducing the wages or stopping the wage increases, won’t bring prices back down.

Bla bla bla, logic and common sense and math and all that.

If you’re brilliant like Kathy Hochul, you just print up some “Whip Inflation Now” buttons for everyone! Get it? “WIN”? Clever huh!


5 posted on 05/08/2023 5:46:12 PM PDT by Nervous Tick (Truth is not hate speech.)
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To: Nervous Tick
Get it? “WIN”? Clever huh!

Clever, but old; older than 50 years.
6 posted on 05/08/2023 5:48:01 PM PDT by adorno
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To: lowbridge

New Yorkers grovel on their knees in adoration of their communist master...


7 posted on 05/08/2023 5:48:22 PM PDT by SuperLuminal (Where is the next Sam Adams when we so desperately need him)
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To: adorno

>> Clever, but old; older than 50 years.

WHAT??!? No way!!!

;-)

(Maybe old, but it worked GREAT!!! Right?)


8 posted on 05/08/2023 5:50:12 PM PDT by Nervous Tick (Truth is not hate speech.)
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To: lowbridge

Lord Please let me escape from this state


9 posted on 05/08/2023 5:56:00 PM PDT by The Mayor (Though outwardly we are wasting away, yet inwardly we are being renewed day by day.)
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To: lowbridge

All this does is push the accelerator down for more labor saving devices and expert software.


10 posted on 05/08/2023 5:56:16 PM PDT by zeestephen (Trump "Lost" By 43,000 Votes - Spread Across Three States - GA, WI, AZ)
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To: lowbridge

Woman who was at one time the head of the university library where I used to work was an obsessive cheapskate (never heard the term, maybe uncontrollably parsimonious like Scrooge).

When the government forced her to pay all the student assistants a higher minimum wage one of them was excited because she needed the money.

Then she came back fighting back tears. The boss had figured out how much to cut each worker’s hours to make the money come out the same or less.


11 posted on 05/08/2023 5:57:28 PM PDT by frank ballenger (You have summoned up a thundercloud. You're gonna hear from me. Anthem by Leonard Cohen)
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To: Nervous Tick

Also remember that $15 is the cost of servicing a union members membership. Union dues are generally 1 hours pay per pay period. Now the unions can unionize the minimum wage workers.....


12 posted on 05/08/2023 5:59:13 PM PDT by Billyv ( Ephesians 6:11 for we battle not against flesh and blood...Pray for our leaders and nation )
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To: Billyv
Now the unions can unionize the minimum wage workers...

...and service them. In the animal husbandry sense of the word.
13 posted on 05/08/2023 6:02:33 PM PDT by Nervous Tick (Truth is not hate speech.)
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To: lowbridge

Permanent circular inflation. Meanwhile, workers can’t find jobs. Some go on welfare. Most want to work and flee NY for Red states.

Here in red states, rather than welcome and educate the immigrants from NY who are ripe to dump Blue State ways, we make these immigrants the enemy and make them feel unwelcome and thus the red states turn purple and then blue.


14 posted on 05/08/2023 6:04:46 PM PDT by spintreebob (ki .h g)
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To: lowbridge

When they say “upstate”, I think they mean the counties surrounding NY City. We consider ourselves “upstate”, but I live in the small city of Rome, which sits in central NY State. This area has been economically depressed for a very long time. There is nothing here, but our gas prices are higher than in Syracuse. The one shopping mall, Sangertown Square in New Hartford, just outside of Utica lost all its anchor stores over the years, and I haven’t been there in well over 10 years. Businesses here won’t be able to handle a higher minimum wage without killing their business. They are completing a Starbucks within the parking lot connected to a strip mall not far from me. Because this area is so depressed, I don’t know how they expect people to pay big bucks for their crappy coffee, especially when there’s a perfectly fine Dunkin’ Donuts just across the street. I don’t see it lasting long. This isn’t Starbuck’s country. About 10 years ago, a Five Guys opened up shop here. We went once to see what it was like. The food wasn’t that good for the price they were charging. The business left before the year was out, and a Moe’s eventually took the place. Moe’s has been here ever since. We don’t go there very often, but at least there prices are decent, and they’ve been able to eke out a living here.


15 posted on 05/08/2023 6:39:39 PM PDT by mass55th ("Courage is being scared to death, but saddling up anyway." ~~ John Wayne )
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To: Still Thinking
Maybe they have something here. How ‘bout this: If the unemployment rate goes below a certain level, so do welfare benefits. I would say that would make more sense than this cockamamie scheme.
16 posted on 05/08/2023 6:41:44 PM PDT by fhayek
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To: adorno

Higher wages = Higher tax revenues.

It’s just a scam to move the money from your pocket into theirs.


17 posted on 05/08/2023 6:50:56 PM PDT by Vermont Lt
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To: lowbridge

When minimum wage goes up, many union contracts require union members wages go up. So this is actually a payoff to unions, having nothing to do with “fairness.”

And with every minimum wage hike, thousands of young and/or low-skill workers lose their jobs to automation.


18 posted on 05/08/2023 6:57:29 PM PDT by Chad C. Mulligan
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To: Vermont Lt
Higher wages = Higher tax revenues.

And, higher wages leading to mover tax revenue...

leads to...

Less tax revenue in the long run...

After businesses are forced to close and businesses are forced to lay off people, or businesses are forced to move away.

Notice how that's already happening in California and NY and Chicago/Illinois and other blue states.

Higher tax revenue from higher taxes, ALWAYS leads to lower tax revenue.

Sometimes, even republicans get the repercussions wrong.
19 posted on 05/08/2023 7:16:09 PM PDT by adorno
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To: lowbridge

The minimum wage increases are predominantly for urban America.
The great wealth in this country resides in the big cities, this has been the case throughout recorded human history & isn’t going to change.

The high end urban money class need their servants & doesn’t have a problem with current pricing.

It’s a price they’re willing to pay to keep “the help” from moving out in the provinces.


20 posted on 05/08/2023 7:38:29 PM PDT by unclebankster ( Globalism is the last refuge of a scoundrel.)
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