Page 1 of 2 12 LastLast
Results 1 to 10 of 19

Thread: $15 Minimum Wage Sparks A Jobs Recession In New York

  1. #1
    Join Date
    Friday, November 1st, 2013
    Last Online
    Today @ 12:32 PM
    Posts
    9,852
    Post Thanks / Like

    $15 Minimum Wage Sparks A Jobs Recession In New York

    IBD presents "Economics 101," which I believe is a graduate level course at Boston University:
    When Amazon pulled out of New York, the loss of 25,000 future jobs made headlines. What isn't making headlines are the thousands of jobs being destroyed right now thanks to the city's new $15 minimum wage.

    Over the past four years, the minimum wage for New York City restaurants that employ more than 10 workers went from $10.50 an hour to $15. That's a whopping 43% increase. Next year, every restaurant, big and small, will have to pay their workers at least $15 an hour.

    A big victory for workers, right? That's how it's depicted by the "Fight for $15" crowd. And, yes, if you held a full-time minimum-wage job over those years, your gross income would have gone up by $9,360.

    But those massive wage hikes come at a painful cost that backers refuse to acknowledge. They kill jobs. Just like they're doing right now in New York City.

    In just the last three months of last year, 4,000 workers lost jobs at full-service restaurants, Bureau of Labor Statistics data show.

    By the end of last year, there were fewer restaurant workers in the city than in November 2016. Even though overall employment climbed by more than 163,000.
    The article presents data in a simple graph to further make the case that the city's wage hikes are the cause of the current depression:

    nyc-minimum-wage-recession-768x564.jpg

    "It usually takes an economic recession to cause year-over-year job losses at NYC's full-service restaurants," notes economist Mark Perry, "so it's likely that this is a 'restaurant recession' tied to the annual series of minimum-wage hikes that brought the city's minimum wage to $15 an hour at the end of last year."

    Perry compiled the nearby chart, which shows the recent year-over-year declines since New York started hiking its minimum wage.
    Even during the Great Recession, restaurant workers didn't suffer as much as they are now. In fact, over the course of the recession, which lasted from December 2007 to June 2009, the number of restaurant jobs in the city actually increased by 1,800.

    It's getting so bad that fast-food workers now want the city to protect them from getting fired without "just cause."

    Those who keep their jobs aren't necessarily better off, either.

    The Hospitality Alliance survey found that more than three quarters of New York restaurants cut worker hours in 2018 to offset that year's wage hike. Seventy-five percent say they want to cut hours this year.
    University of Washington economists found that the average low-wage worker in Seattle saw their earnings drop $125 a month because of the city's wage hikes, which had gone from $9.47 in 2014 to $13 in 2016.
    “The interesting thing about the Green New Deal is it wasn’t originally a climate thing at all.... We really think of it as a how-do-you-change-the-entire-economy thing.” —Saikat Chakrabarti, then AOC's Chief of Staff.

    "We have to stop demonizing people and realize the biggest terror threat in this country is white men, most of them radicalized to the right, and we have to start doing something about them." —CNN's Don Lemon, showing how to stop demonizing people.

    "What is objectionable, what is dangerous about extremists is not that they are extreme, but that they are intolerant. The evil is not what they say about their cause, but what they say about their opponents.” ―Robert F. Kennedy.

  2. Likes Gingersnap liked this post
  3. #2
    Join Date
    Tuesday, October 1st, 2013
    Last Online
    Today @ 3:27 PM
    Posts
    19,372
    Post Thanks / Like
    I have worked both sides of restaurant stuff. As cook/sous chef I was poorly paid. As a server, I normally took home a hundred bucks or much more depending on the day. It helped being young and attractive - no lie.

    A higher wage just inflates all costs, obviously. You get more money but everything immediately costs more.
    "Alexa, slaughter the fatted calf."

  4. #3
    Join Date
    Friday, November 1st, 2013
    Last Online
    Today @ 12:32 PM
    Posts
    9,852
    Post Thanks / Like
    It's getting so bad that fast-food workers now want the city to protect them from getting fired without "just cause."

    I'm reminded of the track record of some unions that negotiate high wages, and trade away jobs in the process. With unions, the unmentioned secret is that those lost workers don't vote.

    Politicians rounding up fast food workers for a photo op celebrating the fight for 15 will not find dissenters among those still in work uniforms. Fight for fifteen? Make a scene for seventeen!!

    “The interesting thing about the Green New Deal is it wasn’t originally a climate thing at all.... We really think of it as a how-do-you-change-the-entire-economy thing.” —Saikat Chakrabarti, then AOC's Chief of Staff.

    "We have to stop demonizing people and realize the biggest terror threat in this country is white men, most of them radicalized to the right, and we have to start doing something about them." —CNN's Don Lemon, showing how to stop demonizing people.

    "What is objectionable, what is dangerous about extremists is not that they are extreme, but that they are intolerant. The evil is not what they say about their cause, but what they say about their opponents.” ―Robert F. Kennedy.

  5. #4
    Join Date
    Tuesday, October 1st, 2013
    Last Online
    Today @ 3:27 PM
    Posts
    19,372
    Post Thanks / Like
    It's like the same old thing - pay everybody $100 bucks an hour.

    Okay, then what?

    Will prices stay at $12.00 bucks? Apartments? Food? Transport? Condoms? Weed?

    No.
    "Alexa, slaughter the fatted calf."

  6. #5
    Join Date
    Wednesday, October 2nd, 2013
    Last Online
    Yesterday @ 4:54 PM
    Posts
    5,058
    Post Thanks / Like
    Quote Originally Posted by Gingersnap View Post
    I have worked both sides of restaurant stuff. As cook/sous chef I was poorly paid. As a server, I normally took home a hundred bucks or much more depending on the day. It helped being young and attractive - no lie.

    A higher wage just inflates all costs, obviously. You get more money but everything immediately costs more.
    Corporations have done a pretty good job of harming the restaurant business. They buy up independents and small chains and cut corners on the ingredients and labor. One of the more disgusting aspects is that they have eliminated busboys in all but the nicest restaurants. They have waiters plating bread, soup, and salad while clearing tables and racking dishes for the dishwasher. They handle garbage, money, and food. It's wrong and entirely born of the idea that a family restaurant can somehow support an army of managers, corporate folks, and shareholders.

    And it's not like these people have a record of success. Many of the acquirred restaurants and chains have disappeared over the years simply because they have been ruined.

  7. Likes Tom Servo liked this post
  8. #6
    Join Date
    Friday, November 1st, 2013
    Last Online
    Today @ 12:32 PM
    Posts
    9,852
    Post Thanks / Like
    Quote Originally Posted by Gingersnap View Post
    It's like the same old thing - pay everybody $100 bucks an hour.

    Okay, then what?

    Will prices stay at $12.00 bucks? Apartments? Food? Transport? Condoms? Weed?

    No.
    I remember Mark Twain talked about this in his novel Connecticut Yankee in King Arthur's Court.

    We never learn.

    Quote Originally Posted by Novaheart View Post
    Corporations have done a pretty good job of harming the restaurant business. They buy up independents and small chains and cut corners on the ingredients and labor. One of the more disgusting aspects is that they have eliminated busboys in all but the nicest restaurants. They have waiters plating bread, soup, and salad while clearing tables and racking dishes for the dishwasher. They handle garbage, money, and food. It's wrong and entirely born of the idea that a family restaurant can somehow support an army of managers, corporate folks, and shareholders.

    And it's not like these people have a record of success. Many of the acquirred restaurants and chains have disappeared over the years simply because they have been ruined.
    I guess I'm eating in better restaurants!

    Oh, wait. I'm in Florida.

    The article cited mentions that more work is piled on the remaining workers, even as their hours are cut, ironically. That's certainly true. The business hasn't shaken through this stuff yet.
    “The interesting thing about the Green New Deal is it wasn’t originally a climate thing at all.... We really think of it as a how-do-you-change-the-entire-economy thing.” —Saikat Chakrabarti, then AOC's Chief of Staff.

    "We have to stop demonizing people and realize the biggest terror threat in this country is white men, most of them radicalized to the right, and we have to start doing something about them." —CNN's Don Lemon, showing how to stop demonizing people.

    "What is objectionable, what is dangerous about extremists is not that they are extreme, but that they are intolerant. The evil is not what they say about their cause, but what they say about their opponents.” ―Robert F. Kennedy.

  9. #7
    Join Date
    Tuesday, October 1st, 2013
    Last Online
    Today @ 3:27 PM
    Posts
    19,372
    Post Thanks / Like
    Quote Originally Posted by Novaheart View Post
    Corporations have done a pretty good job of harming the restaurant business. They buy up independents and small chains and cut corners on the ingredients and labor. One of the more disgusting aspects is that they have eliminated busboys in all but the nicest restaurants. They have waiters plating bread, soup, and salad while clearing tables and racking dishes for the dishwasher. They handle garbage, money, and food. It's wrong and entirely born of the idea that a family restaurant can somehow support an army of managers, corporate folks, and shareholders.

    And it's not like these people have a record of success. Many of the acquirred restaurants and chains have disappeared over the years simply because they have been ruined.
    The biz is actually pretty good for young people. You get immediate money (as a server), you learn a lot people skills, you have to adhere to a fairly strict schedule, and you learn to negotiate (days off, different shifts, etc.).

    I wouldn't try it now but I have no really bad memories of doing it when I had to do it.
    "Alexa, slaughter the fatted calf."

  10. #8
    Join Date
    Saturday, October 5th, 2013
    Last Online
    @
    Location
    In the mainstream of American life.
    Posts
    14,858
    Post Thanks / Like
    Quote Originally Posted by Gingersnap View Post
    The biz is actually pretty good for young people. You get immediate money (as a server), you learn a lot people skills, you have to adhere to a fairly strict schedule, and you learn to negotiate (days off, different shifts, etc.).

    I wouldn't try it now but I have no really bad memories of doing it when I had to do it.
    You're preaching to the clergy, not the choir. Nova was managing a restaurant and nightclub before he was old enough to be served there.
    No state shall make or enforce any law which shall abridge the privileges or immunities of citizens of the United States; nor shall any state deprive any person of life, liberty, or property, without due process of law; nor deny to any person within its jurisdiction the equal protection of the laws. This offer VALID in 35 34 33 32 31 26 20 17 15 14 13 ALL 50 states.

    The new 13 original states to stand up for freedom: CA, CT, IA, MA, DE, MN, NH, NY, RI, VT, ME, MD, NJ (plus DC).

  11. #9
    Join Date
    Saturday, October 5th, 2013
    Last Online
    @
    Location
    In the mainstream of American life.
    Posts
    14,858
    Post Thanks / Like
    Quote Originally Posted by Newman View Post
    I remember Mark Twain talked about this in his novel Connecticut Yankee in King Arthur's Court.
    I loved that book when I was a kid.
    No state shall make or enforce any law which shall abridge the privileges or immunities of citizens of the United States; nor shall any state deprive any person of life, liberty, or property, without due process of law; nor deny to any person within its jurisdiction the equal protection of the laws. This offer VALID in 35 34 33 32 31 26 20 17 15 14 13 ALL 50 states.

    The new 13 original states to stand up for freedom: CA, CT, IA, MA, DE, MN, NH, NY, RI, VT, ME, MD, NJ (plus DC).

  12. #10
    Join Date
    Wednesday, October 2nd, 2013
    Last Online
    Today @ 2:35 PM
    Posts
    12,962
    Post Thanks / Like
    Quote Originally Posted by Celeste Chalfonte View Post
    I loved that book when I was a kid.
    Great Avatar
    If it pays, it stays

  13. Thanks Celeste Chalfonte thanked for this post

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •