PREDICTABLE: Minimum Wage Increase In New York City Leads To Job Losses, Price Increases

Dec 2013
33,811
19,364
Beware of watermelons
Democrats continue to insist American cities should increase the minimum wage to at least $15 an hour, even as the progressive cities that have done so have been a model for the job losses that will come as a result of the policy.

The latest example comes from New York City, where an online survey from the New York City Hospitality Alliance – which represents NYC restaurants – found the wage increase has hurt restaurant workers who were supposed to be helped by the higher minimum wage.

The New York Post reported last week that the survey found job losses due to the policy. Andrew Rigie, NYCHA’s executive director, told the Post that in 2018, “full-service restaurants recorded a 1.6 percent job loss, which is the first recorded annual loss in two decades.”

The survey also found that nearly one-third of respondents planned to “eliminate jobs” and a majority would raise prices due to the increased minimum wage, which took effect on December 31, 2018.

While the policy wasn’t in effect when the actual job losses occurred, it was well-known that it was coming, and so it is likely that restaurant owners reacted accordingly in preparation. Further, respondents to the online survey said they plan to continue cutting jobs and hours because of the policy.



“A total of 76.5 percent of full-service restaurant respondents reduced employee hours, and 36 percent eliminated jobs in 2018,” the Post reported of the survey. “Also, 75 percent of limited-service restaurant respondents reported that they will reduce employee hours, and 53 percent will eliminate jobs in 2019 as a result of the wage increases, according to the survey.”


PREDICTABLE: Minimum Wage Increase In New York City Leads To Job Losses, Price Increases




Wait...what? Artificially inflating wages has a negitive effect???

Who would have thought that would happen?

Good job leftists
 
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Apr 2014
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redacted
Democrats continue to insist American cities should increase the minimum wage to at least $15 an hour, even as the progressive cities that have done so have been a model for the job losses that will come as a result of the policy.

The latest example comes from New York City, where an online survey from the New York City Hospitality Alliance – which represents NYC restaurants – found the wage increase has hurt restaurant workers who were supposed to be helped by the higher minimum wage.

The New York Post reported last week that the survey found job losses due to the policy. Andrew Rigie, NYCHA’s executive director, told the Post that in 2018, “full-service restaurants recorded a 1.6 percent job loss, which is the first recorded annual loss in two decades.”

The survey also found that nearly one-third of respondents planned to “eliminate jobs” and a majority would raise prices due to the increased minimum wage, which took effect on December 31, 2018.

While the policy wasn’t in effect when the actual job losses occurred, it was well-known that it was coming, and so it is likely that restaurant owners reacted accordingly in preparation. Further, respondents to the online survey said they plan to continue cutting jobs and hours because of the policy.



“A total of 76.5 percent of full-service restaurant respondents reduced employee hours, and 36 percent eliminated jobs in 2018,” the Post reported of the survey. “Also, 75 percent of limited-service restaurant respondents reported that they will reduce employee hours, and 53 percent will eliminate jobs in 2019 as a result of the wage increases, according to the survey.”


PREDICTABLE: Minimum Wage Increase In New York City Leads To Job Losses, Price Increases




Wait...what? Artificially inflating wages has a negitive effect???

Who would have thought that would happen?

Good job leftists
Agreed. This was also predicted by myself when it happened. The best example of this was the UAW strikes in the 1970s; they drove up wages to the point that it was cheaper to automate, which the auto manufacturers did. When strikers were recalled they had to pass tests to work the new, high tech equipment. Most could not and were forcibly retired. Since McDonalds workers don't have a union, they're just fucked.

FWIW, anyone who thinks flipping burgers is a career job is aiming faaaaarrrrr too low. Managers can eek out a living but for workers it's a "good first job".
 
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Nov 2012
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Lebanon, TN
Agreed. This was also predicted by myself when it happened. The best example of this was the UAW strikes in the 1970s; they drove up wages to the point that it was cheaper to automate, which the auto manufacturers did. When strikers were recalled they had to pass tests to work the new, high tech equipment. Most could not and were forcibly retired. Since McDonalds workers don't have a union, they're just fucked.

FWIW, anyone who thinks flipping burgers is a career job is aiming faaaaarrrrr too low. Managers can eek out a living but for workers it's a "good first job".

Unions push for minimum wage increases, Why you ask, you see when the minimum wage increases the union wages increase proportionally or indirectly proportionally with the minimum wage. This way unions get a raise without a strike or contract renegotiations.
 
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Feb 2019
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nunya
Democrats continue to insist American cities should increase the minimum wage to at least $15 an hour, even as the progressive cities that have done so have been a model for the job losses that will come as a result of the policy.

The latest example comes from New York City, where an online survey from the New York City Hospitality Alliance – which represents NYC restaurants – found the wage increase has hurt restaurant workers who were supposed to be helped by the higher minimum wage.

The New York Post reported last week that the survey found job losses due to the policy. Andrew Rigie, NYCHA’s executive director, told the Post that in 2018, “full-service restaurants recorded a 1.6 percent job loss, which is the first recorded annual loss in two decades.”

The survey also found that nearly one-third of respondents planned to “eliminate jobs” and a majority would raise prices due to the increased minimum wage, which took effect on December 31, 2018.

While the policy wasn’t in effect when the actual job losses occurred, it was well-known that it was coming, and so it is likely that restaurant owners reacted accordingly in preparation. Further, respondents to the online survey said they plan to continue cutting jobs and hours because of the policy.



“A total of 76.5 percent of full-service restaurant respondents reduced employee hours, and 36 percent eliminated jobs in 2018,” the Post reported of the survey. “Also, 75 percent of limited-service restaurant respondents reported that they will reduce employee hours, and 53 percent will eliminate jobs in 2019 as a result of the wage increases, according to the survey.”


PREDICTABLE: Minimum Wage Increase In New York City Leads To Job Losses, Price Increases




Wait...what? Artificially inflating wages has a negitive effect???

Who would have thought that would happen?

Good job leftists
A federal minimum wage is 7.25 dollars. This would make an adult with 2 children live thousands of dollars below the federal poverty threshold. I think raising the minimum wage to 12 dollars would be good. It would lift 4.5 million people out of poverty and give 35 million people a raise.

apparently, 80% of business executives and 60% of small business owners support raising the federal minimum wage. The average cost of replacing an untrained worker is about 16% percent of their usual salary. Lowering recruitment and training costs and helping businesses. It increases productivity and lessens the amount of time employees are absent from work.

I don't know how a 15 minimum would work, but a 12 minimum seems to benefit everyone. I don't know why you would oppose this. Because a few restaurants have to lay off workers? bullshit.
 
Dec 2014
28,255
15,874
Memphis, Tn.
Democrats continue to insist American cities should increase the minimum wage to at least $15 an hour, even as the progressive cities that have done so have been a model for the job losses that will come as a result of the policy.

The latest example comes from New York City, where an online survey from the New York City Hospitality Alliance – which represents NYC restaurants – found the wage increase has hurt restaurant workers who were supposed to be helped by the higher minimum wage.

The New York Post reported last week that the survey found job losses due to the policy. Andrew Rigie, NYCHA’s executive director, told the Post that in 2018, “full-service restaurants recorded a 1.6 percent job loss, which is the first recorded annual loss in two decades.”

The survey also found that nearly one-third of respondents planned to “eliminate jobs” and a majority would raise prices due to the increased minimum wage, which took effect on December 31, 2018.

While the policy wasn’t in effect when the actual job losses occurred, it was well-known that it was coming, and so it is likely that restaurant owners reacted accordingly in preparation. Further, respondents to the online survey said they plan to continue cutting jobs and hours because of the policy.



“A total of 76.5 percent of full-service restaurant respondents reduced employee hours, and 36 percent eliminated jobs in 2018,” the Post reported of the survey. “Also, 75 percent of limited-service restaurant respondents reported that they will reduce employee hours, and 53 percent will eliminate jobs in 2019 as a result of the wage increases, according to the survey.”


PREDICTABLE: Minimum Wage Increase In New York City Leads To Job Losses, Price Increases




Wait...what? Artificially inflating wages has a negitive effect???

Who would have thought that would happen?

Good job leftists
Gee, that's funny according to New York Business in an issue dated April, 12, 2018 the figures for New York City resturants are as follows:

2013...25,123
2014...25,305
2015...25,815
2016...26,110
2017...26,697
 
Dec 2013
33,811
19,364
Beware of watermelons
A federal minimum wage is 7.25 dollars. This would make an adult with 2 children live thousands of dollars below the federal poverty threshold. I think raising the minimum wage to 12 dollars would be good. It would lift 4.5 million people out of poverty and give 35 million people a raise.

apparently, 80% of business executives and 60% of small business owners support raising the federal minimum wage. The average cost of replacing an untrained worker is about 16% percent of their usual salary. Lowering recruitment and training costs and helping businesses. It increases productivity and lessens the amount of time employees are absent from work.

I don't know how a 15 minimum would work, but a 12 minimum seems to benefit everyone. I don't know why you would oppose this. Because a few restaurants have to lay off workers? bullshit.

I oppose the minimum wage period.

Artificially increasing wages has negitive effects accross the board and negatively impacts low skilled workers, who it is presented it is for, the most of all.
 
Jul 2018
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Trump World! Where the circus is always in town.
I oppose the minimum wage period.

Artificially increasing wages has negitive effects accross the board and negatively impacts low skilled workers, who it is presented it is for, the most of all.
It one of those necessary evils.

In theory, I agree with you. In practice, not so much.

Capitalism is as bad for the masses as is communism.

It is the bridling of capitalism that has made it work for the masses.