California to adopt $15 minimum wage

March 29, 2016

moneyGov. Jerry Brown announced Monday that California lawmakers have struck a deal to raise the state’s minimum wage to $15 an hour by 2022. Yearly minimum wage hikes will begin in 2017. [CBS News]

California currently has a $10 minimum wage. It is tied with Massachusetts for the highest statewide minimum wage in the country.

Though California’s minimum wage just increased in January, lawmakers came under pressure to raise it again after a union-sponsored initiative recently qualified for the Nov. 8 ballot. The initiative called for raising the minimum wage to $15 at a more rapid pace than the deal Brown announced Monday. Polls showed California voters would approve the ballot measure.

Under the new agreement, small businesses that have fewer than 26 employees will get an additional year to phase in the increases. California lawmakers still have to formally approve the deal.

More than 6.5 million Californians, or 43 percent of the workforce, currently make less than $15 an hour.

“There is a principle called the living family wage — you can’t expect someone to work if the wages for that work can’t support a family,” Brown said.

However, the governor added that a $15 an hour wage could not support a family.

The California Chamber of Commerce has argued against proposed minimum wage increases, saying they will require small businesses to pay more while making less. The Chamber of Commerce said the $15 minimum wage proposal would hurt the employees it is intended to help.

The cities of Los Angeles and San Francisco have already approved $15 minimum wage laws. San Francisco’s minimum wage is due to increase to $15 by 2018, and Los Angeles’ minimum wage will rise to $15 by 2020.


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RealityBytes

Rent increases always seem to coincide with such changes..


abigchocoholic

Every single comment here without exception complains. Every single one. If you struggled that means the next generation should struggle, right? Because you can’t see beyond yourself. If you suffered, you want the next generation to suffer just as much because if it was good enough for you it’s good enough for them.


Try and step out of your classical WWII mindset and think. What’s so wrong with someone who works all day long making a wage they can live off of? Is that really such a horrific thought? Is it written somewhere that the bottom rung of people in society who have the desire and motivation to get up and go to work and put in a full day’s work 5 days a week should still go under financially? Such thinking makes no sense. You can do better than that.


You’re only possible argument is economics and even that fails because what you want as a prosperous society is for people who work to make more and live better than people who don’t work. You have to create the proper incentive. If a guy can make $2500 a month working or $1000 a month on welfare, it’ll tip the scales in favor or working but if it’s $1,300 a month to work or $1,000 a month to not work, people are just going to not work. People who don’t work are nothing but trouble and a burden on society. They have more babies. They do more drugs. They get arrested and jailed more often. They use the medical system more often. They use just about every govt. system more often. They have low self esteem and no pride and they take it out on everyone around them.


People who get up and go to work are more responsible. They have fewer babies. They do less drugs. They stay out of jail. They have more pride and self esteem and are better citizens all the way around.


This is an improvement on society people. Try and open your minds.


nunsense

well, assuming your numbers are close to correct, 1k/month works out to less than $6/hour. so even with a minimum wage of about $10/hour, it would seem to meet your criteria for those collecting welfare to want to go out and get jobs.


second, while there may be merit to have a floor for wages, if you’re making minimum wage at age 25, you’ve made some very bad choices in life. A recent Costco article stated they pay well above minimum wage, small positive choices, it would seem would allow one to apply and be seriously considered there.


finally, what about those that do have skills and training and are trying but currently make, say 18/hour (or those at Costco who make a bit over 20), do they get a 50% boost as well? shouldn’t they? and so, wouldn’t raise the cost of business and negate such an increase?


r0y

HELL YES, I want them to struggle! Struggling builds CHARACTER. Try it sometime.


achillesheal

If raising the minimum wage to $15 is such a positive thing, why stop at $15? Lets raise it to $25/hr or better yet $50. That will lift everyone out of poverty…or will it not?


kettle

achillesheal says: If raising the minimum wage to $15 is such a positive thing, why stop at $15? Lets raise it to $25/hr or better yet $50.


achillesheal says:”Why not extend your argument to heroin, cocaine, and meth”


Because no reasonable person wants that, to even bring it up is sophomoric.


achillesheal

Your comment makes no sense.


No reasonable person wants a $25 minimum wage. The so called reasonable people in Sacramento just raised it to $15.


The Governor states that “you can’t expect people to work for wages that don’t support a family”.


You need to earn at least $100k to have a home and support a family on the central coast. Shouldn’t minimum wage be $100k/year?


kettle

achillesheal “Your comment makes no sense.”


As much as the comment I was replying to, that is the point, you brought up the “50$ a hour”


Just like

“if they raise the speed limit to 55 mph, why not 90 mph or 110 mph.”

“if we legalize pot why not DMT and heroin?”


It’s a silly distraction.


r0y

Actually, you fell into the trap and cannot get out of it. It’s pretty simple, if the logic behind the raise in minimum is to help people live, then raising it more would help them more; however, when very high figures are used, even confused, low-information people will realize the absurdity of it.


Your examples of the speed limit and legalized pot are comparing apples to oranges, because those are LIMITATIONS (heck, it’s even in the name “speed limit”), while a minimum wage is a MINIMUM (starting point; again, it’s in the name).


The logic is, if raising it X helps, then raising it 2X must help even more. Even you realized that the “$50/hr” was not making sense. Why? Answer that, and you’ll answer why there should be no minimum wage.


If the only job available is $1/hr, then how motivated would you be to become your own boss and have your own job? In a society of dependents, we get minimum wage laws.


shelworth

If they can mandate a 50% increase in the minimum wage why can’t they mandate a 50% decrease in the cost of everything to go with it? That would solve everything right? Wait, better not give them any ideas, never mind.


kayaknut

I’d settle for a 50% in government spending but we know that will never happen, even a 1% decrease is unlikely.


kettle

Just like achillesheal, you are being ridiculous with your “example”..


achillesheal

How about supporting your assertions with a fact or two?



Ridiculous” is not an argument.

If it were, we could simply say it’s ridiculous to raise the minimum wage to $15/hr. Back it up Kettle. Use your mind, rather than just your feelings.


Have you ever had to make a payroll?


kettle

“Have you ever had to make a payroll?” is a logical fallacy and dismisses anyone who has not “made payroll” (yes I have).


Dude, that is the point, a discussion about $10-$15-$20 would be a real discussion, talking about $50+ is Ridiculous.


Rambunctious

The forgotten fact:


If the regulations, fees, and taxes were scaled back and a sensible redo to the ACA (Obamacare) were enacted while incentives for new business growth were created we wouldn’t be talking about a stupid government mandated minimum wage. See what government does? They have us fighting over crumbs while they (the elected ones and their minions) gain in power and reap the lifetime benefits and cost of living increases.

This is why Trump is winning.


just4fun

It’s all about more taxes in the government coffers. More pet projects, more union perks and more defined benefit retirement obligations.


r0y

Ding! Ding! Ding!


Winner, winner, Chicken Dinner.


flytrap

$15 per hour is $30,000 per year. For 2 people, that is $60,000 per year making minimum wage. The median household income in the US is $51,939, significantly less than the 2 wage earners making the new minimum wage in California. So are we trying to help the California single wage earner to be able to afford living alone and also making a household with 2 wage earners make more than the median households in other states not on minimum wage?


mej

This is amount immigrant employment. With the exception of in/out, I see a lot of older immigrants working at these fast food places. These immigrants and a good amount of their kids will need these jobs.


nonjudgmental

I am a small restaurant owner, I understand for employees to make more money to live ,BUT I work 7 days a week from 11 to 9, off on major holidays just to make a living I mean trying to make a living. When they raised minimum to 10 an hour I don’t even sleep at night much ,my mind is going and going to see how I can pay everything without raising prices AGAIN. In the fast food business it’s not a career,it’s just for kids to make some spending money and to help till the others get out of college. The way I see it is every time they raise minimum everything else gets raised also, (Food,Clothes,Gas, Rent ect) The ones who win is the government. We have to pay them more taxes cause we had to raise our price and the employee’s make more on their checks so they have to pay more taxes to the government. HELLO I hope other people see this. If the prices keep rising I will eventually have to shut my doors for good. I’m positive that not only my business will close, but other small businesses’ as well.


Thank you


horse_soldier

You are correct in that not each and every job is meant to support a family. Entry level positions are intended to be just that, entry level.

Other small business owners share your concerns and in many cases will have no choice but to shutter their doors.


Mythbuster

If only everyone was educated enough to move beyond an entry level job…


unlisted

I have two responses to that. The first is to ask you if you actually read the article.


“More than 6.5 million Californians, or 43 percent of the workforce, currently make less than $15 an hour.”


Almost half of California’s workforce earns less that $15 per hour, moving beyond an entry level job doesn’t help.


The second is quoting George Carlin, who said:


“Think of how stupid the average person is, and realize half of them are stupider than that.”


Shocked in MB

Just to get beyond the threats-When the minimum wage went to $10 I did shut down some of my hours of operation and basically laid off 4 part time people. FACT not myth. So much for it helping people. We business owners spend endless sleepless nights trying to figure out how to get rid of people because they are a now a huge expense. There is not a single person who works for me that could not be making more than $10 if they wanted to. All they have to do is show initiative and they can move up quickly.


Most of the $10 people are kids who are just getting spending money and people who do not try to be fluent in English. Understand that they could have a PHD, but if they do not speak English, they are of no value to me.


horse_soldier

Here’s another fact:

Those who enact legislation such as this have no understanding of how small business operates. Chances are none of them have ever met a monthly payroll.


Mythbuster

Clever of those 1% people at the top to keep us distracted with topics like this, don’t you think?


unlisted

PHD???


BS = bull sh!t

MS = more of the same

PHD = piled higher and deeper