State of Washington instituted a minimum $15hr wage and their economy is booming... just say'in
* sorry correction Seattle
https://www.theguardian.com/us-news/...ing-inequality
Do you think that was not already coming?
Anyways, countries like Sweden, Denmark, Iceland, Norway and Switzerland do not have government mandated minimum wages and have low unemployment.
I wonder why?
The burning question is "who is this increase in minimum wage going to help"?
The burning question is "who is this increase in minimum wage going to help"?
Talking to people around the town here, no one knows.
Its like everything else in Ontario. Wait for it to come into effect and see how badly it ****s shit up.
The politicians who gain votes from it. No one else will. The rich will not and the poor will not.
Oh sorry, one more group might benefit. The poor who presently work legally and pay taxes and who are finally pushed underground and so save on taxes. I guess they'll benefit too.
That's one good thing about it I guess. It serves as a grand experiment. I hope economists are paying attention and will study its effects in detail. Then not only will it be repealed, but no one will want to touch it for generations to come.
I think you've hit the nail on the head, I've watched this "wage chase" for almost 60 years. Minimum wage earners today are poorer than they were then.
Minimum wage hike will mean spike in unemployment: Study
By Jane Stevenson, Toronto Sun
First posted: Tuesday, September 19, 2017 08:02 AM EDT | Updated: Tuesday, September 19, 2017 08:11 AM EDT
TORONTO - The Ontario government’s plan to raise the minimum wage to $15 an hour in 2019 — a whopping 32% increase from where it currently sits at $11.40 — could lead to more unemployment for younger and less skilled workers, particularly outside Toronto.
This according to a new study released Tuesday by the Fraser Institute.
“Ontario is going into uncharted waters right now,” explained the study’s co-author Ben Eisen, director of the institute’s Ontario Prosperity Initiative. “With a minimum wage that’s much higher relative to its median wage ($22.12), which is the average amount earned by the typical person working in the economy, and that is the case in any other jurisdiction in Canada. So it’s a big change in policy that’s creating real risks in terms of disemployment effects.”
Eisen says the effect will be even worse outside of Toronto in places like London, Windsor-Sarnia, Stratford-Bruce Peninsula, Niagara Peninsula, and Kingston-Pembroke, which has “substantially lower average wages.”
The study found that when the minimum wage is low, relative to the average wage (in 2017 in Toronto it was $30.72), there is a small, even negligible effect on job loss.
But when the minimum wage passes 45% of the average wage, the negative economic impact for younger, lower-skilled workers grows more severe.
Overall for Ontario, a $15-an-hour minimum wage will equal 55% of the average wage, according to the study.
As an alternative, Eisen offers: “The most important thing that governments can do is to work to ensure that the conditions are right for economic growth and job creation. Where you have a competitive environment that’s attractive for investment, attractive for job creation, attractive for entrepreneurship, that helps create upward pressure on wages through the market. That’s step one.”
Ontario’s current minimum wage puts it second among the top provinces in Canada, with Alberta leading the way at $12.20 an hour. The lowest is Saskatchewan at $10.72 an hour.
However, Labour Minister Kevin Flynn said increases to the minimum wage are good for the economy, citing the Liberal government has boosted the minimum wage by 70% since 2003, and Ontario currently has its lowest unemployment rate in more than a decade.
“Many leading economists share this belief,” Flynn said in a statement. “Studies written over the past number of years – including work done by the OECD, the Center for Economic and Policy Research and the Canadian Centre for Policy Alternatives – lay out the long-term benefits of higher wages for low-income workers, as well as the economic benefits that come with alleviating this problem.”
Flynn added that the Ontario Liberals will not “back down from this commitment.”
THREE FAST POINTS
The rapid 32% increase of Ontario’s minimum wage to $15 per hour in less than 18 months could reduce employment opportunities for young and less skilled workers.
If the increase goes through, the ratio of Ontario’s minimum-to-median wage will be the highest in Canada and much higher than nearby and competing states in the U.S.
Major negative employment effects would be greater in Ontario’s economically weaker regions where market wage levels are much lower than in Toronto.
jstevenson@postmedia.com
Minimum wage hike will mean spike in unemployment: Study | Ontario | News | Toro
It's the Fraser Institute. It is a pro-big business organization funded by corporate Canada. Its rants are usually based on little or no evidence.
Sobeys said they will be raising the price of groceries. Now these new taxpayers are in the same place they started.
Bullshit. Morons seem to think that the only wages that will go up is the minimum wage. When you crank up the minimum wage by 24% over such a short period of time you pretty much have to increase other wages as well. If you currently have people already being paid $15-$16/hr because of the time they've put in, or because they've had extra training, or because they have greater responsibilities, they won't be very happy when they're getting the same pay rate as the lower level employees.
Within a large part of the retail sector for instance, dept managers only get paid a few dollars an hour more than the minimum wage. I'm not talking about store managers but the actual dept managers. Raise the minimum wage and you have to raise the dept managers wages as well. Cooks in restaurants won't be happy when dishwashers end up making more than they do. Right now in Ontario the average salary for a restaurant cook is $13.43/hr.
When you apply minimum wage increases, it's better to do it incrementally. Otherwise when you do something stupid like crank them up by 24% in one shot, you affect the wages of a lot more than just those making the minimum wage, which will be difficult for many small businesses to handle.
Couple that with Trudeau's attack on small business and small business in Ontario will pretty much dry up and blow away.
Thanks To 'Fight For $15' Minimum Wage, McDonald's Unveils Job-Replacing Self-Service Kiosks Nationwide
https://www.forbes.com/sites/realspi.../#534aadd4fbc6
That's ROBOTS for those of you that learned to read in school
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It used to be the leftii would just force everyone down to labor camp payscale
now they got bots that can work cheaper