Posted on 05/21/2015 7:09:38 AM PDT by SeekAndFind
"L.A.'s Big Raise For Working Poor," read the Los Angeles Times' front-page headline a day after the City Council passed a $15-an-hour minimum wage. It should have read, "L.A.'s Big Disaster For Working Poor."
The moral preening of the City of Angels' leftist political elites after the 14-1 vote comes with a hefty price tag. Forcing employers to pay what politicians believe is fair rather than what the market says is fair will cost many workers their jobs and force them onto welfare.
"Today the city of Los Angeles, the second-biggest city in the nation, is leading the nation," said Councilman Paul Krekorian, as quoted in the Los Angeles Times. He's right, but it's a dubious distinction. Yes, the idea that mandating higher wages will lift people out of poverty and boost the economy remains broadly popular. But it will do neither.
Instead of paying higher wages for unskilled labor, businesses will hire more highly skilled people whose productivity can justify the $15 an hour and fire those who don't. Some businesses will automate. Others will "outsource" work to young illegal aliens, who even now work for a pittance, tax-free, on the local black market.
The point is, any worker who is unfortunate enough not to be worth $15 an hour in Los Angeles will now be shown the door and unable to find a job. So, those with the least education and training — mainly young minorities — will be victimized by the hike, not helped.
(Excerpt) Read more at news.investors.com ...
I can’t bake that cake - it would offend Muslims.
Telling the LoonLeft Minimum-Wage Hike Is A Job Killer for decades and the LoonLeft screams we're lying.
LOL
The reality is that IF there were big profits going to rich people, those profits are taxed at a tremendously higher rate than the lowest tax brackets. The sales taxes on rich toys are tremendously bigger than sales taxes on McMeals. And as has been shown over and over again, when prices on prepared foods go up, people eat more at home, slashing sales tax revenues from restaurants and more is spent on non-taxed grocery items.
And of course, the biggest eater of incomes for the ‘working poor’ - untaxed rents - will skyrocket as well.
So in a couple years, when the public employee unions have soaked the city for a similar 40% raise, and they don't have the money to pay for the retirements of those who no longer work for him, the problems long put off will come back to roost. Less tax ‘income’, far more expensive public employees who are almost impossible to fire or lay off, demands from retirees for raises in pensions, far more expensive health care, and no where in the budget to hide.
Be careful what you wish for...
From the article: In 2007, Congress passed a series of wage hikes that increased the minimum by 41% — from $5.15 to $7.25 an hour — in 2009. Did it help? No, and it may be a major reason for the economy’s record slow recovery.
A recent study from the University of California, San Diego found that Congress’ wage hikes killed 1.4 million jobs — many held by unskilled minority teens.
SADLY, LIBERALS WHO BOW TO THE KEYNESIAN ECONOMICS THEORIES CAN’T GET A GRIP ON THE COLD HARD FACTS BECAUSE said FACTS KICK THEIR THEORY RIGHT IN THE GROIN!
What better way than to keep blacks especially out of work and dependent on government handouts. Also, a really good way to keep them feeling disaffected and angry so that the race war can be continued and used to the elites advantage.
Which line of insurance? M-1A or AR-15? Decisions, decisions...
That $19.95 “Family Dinner” box only has one quarter pounder in it.
M1A or FAL. Because when they’re packed tight enough, you’ll get a two-fer or maybe even a three-fer. Either way, someone’s not getting back up.
I think that is part of the plan. They seem to want to spark inflation.
Inflation is after all a transfer of wealth from the Middle Class to the Government and the Rich.
It’s not a bug, it’s a design feature!
That $19.95 “Family Dinner” box only has one quarter pounder in it.
And you’ll never have that recipe again....
Blast! Did someone leave it out in the rain again?
The owner of the business said, "I'll pay you what you're worth".
The prospect replied, "I can't live on that".
Minimum wage hike fanatics' solution is to pay them all more than they're worth "just because" and either have no inkling of the damage it will do to Capitalism or they fully intend to destroy Capitalism - not hard to figure it out....
Actually, that might be the tact for bakeries to take.
Muslims are offended by gays, so we don't want to offend Muslims.
Let's see the libs counter that.
Yep
Unions want a raise, so they are financing all of the protests. SEIU is the main one.
If you find a job it will be for 29/hrs.
That $15 will be $435 a week instead of $600 and you get zero benefits which means higher taxes all around for us to pay as gov’t will raise them to pay for programs not needed before.
Naturally the gov’t employess will still get their very high pensions and 100% medical at the rest of the people’s expense.
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