Tag Archives: California law

“Economically, minimum wages may not make sense,” Jerry Brown | April 2016

Jerry Brown Admits $15 Min Wage Bad; Signs Anyway

– Breitbart

Jerry-Brown-minimum-wage-Nick-Ut-Associated-Press-640x480

“California Gov. Jerry Brown signed legislation Monday to raise the statewide minimum wage to $15-per-hour, the highest in the U.S. While admitting a $15 minimum wage made no economic sense, he said it made “moral” sense.

Brown signed a statewide increase to $10-per-hour less than two-and-a-half years ago. and opposed a new increase to $15 until pressure from unions caused him to relent. (Union contributions to moderate Democrats also helped.)

“Economically, minimum wages may not make sense,” Brown said, according to the Sacramento Bee. But “[m]orally and socially and politically, they [minimum wages] make every sense because it binds the community together and makes sure that parents can take care of their kids in a much more satisfactory way.”

The governor made no comment on what parents who cannot find jobs are meant to do to take care of their children.”

…Continue reading @ Breitbart

 

 

 

McDonald’s Announces Its Answer to $15 an Hour Minimum Wage – Touch-Screen Cashiers

– TheGatewayPundit

mcdonalds-minimum-wage

“This is exactly what the left pushed for… Fast food chains were never meant to be a place for someone to raise a family of 6, they were to be part time positions with some full-time advancements. Mostly the fast food restaurants were for school aged kids to learn how to interact with people, with a job, to offer spending money, and to begin responsibility learning for their future.”

…Continue reading @ thegatewaypundit.com

 

 

 

Here Come Minimum Wage Increases; Here Come the Robots

– Fox and Hounds

selfserv2

“At Gov. Jerry Brown’s press conference supporting a deal on the minimum wage, an overarching point was merely touched upon: Will the minimum wage help or hurt workers that are subject to the proposed law? Business response to the law likely would be increased prices, reduced jobs opportunities and opening the door to working robots.

At the press conference, Brown argued that business would be “cutting its own throat” if business opposed the minimum wage deal and helped shut it down in the legislature. It would then face a more draconian initiative already qualified for the November ballot, he said.

The governor and his allies declared that polling showed widespread support for the initiative. Brown admitted that the specter of the initiative was the force that brought him and others to the negotiating table.

I have been privy to private polls that suggest a different story; that the initiative is no slam-dunk and that the business community might take its chances on a ballot fight, or alternatively, as I wrote yesterday, consider a referendum on successful legislation.

The governor says that businesses will have time to adjust to the wage increase before the $15 mark takes hold in full—2023 for businesses with 25 employees or less, a year earlier for other businesses. However, many small business owners worry how they can cope.

One restaurateur told a reporter, “First you have to raise prices, otherwise you’ll be out of business.”

Mandated minimum wage increases would likely set off a domino effect to raise wages for other workers above the minimum wage level. The increase in wages and prices could easily have an inflationary impact. Those hurt the most by inflation and price increases are people on the lower end of the economic scale.

Besides these usual economic arguments levied in the minimum wage debate comes a relatively new one spurred by the advance in technology.

selfserv1

The governor was asked if the minimum wage would lead to a more mechanized work force. In other words, are robots coming to take people’s jobs?

The governor said that would happen. He said higher wages lead to automation. He is right, of course, and some mechanization of the work force will advance without a minimum wage increase, however, the increased minimum wage laws likely will hasten that day.

Ironically, on the same day of the press conference, the Los Angeles Times ran an opinion piece by Bryan Dean Wright which raises serious concerns about robots taking over jobs.

He cited a White House economists forecast that, “Most occupations that pay less than $20 an hour are likely to be, in the words of the report, “automated into obsolescence.””

Whiles supporters of the California minimum wage deal at the press conference hailed the proposal as something that would spread across the country, California’s action will spur the darker side of such a proposal and hurt the people it intends to help.”

…from FoxandHoundsdaily.com