The state of New York is raising their minimum wage from $8.75 to $15 per hour. Not for all employees. Just for the chosen.
If you’re a fast food worker in New York, your minimum wage will be $15, or $0 if you get laid off, and some will meet that fate.
Why just fast food workers? Because that industry has been targeted by the SEIU for the past several years, pushing for the $15 minimum wage. Since New York’s governor, Mario Cuomo, dances like a puppet for the SEIU, up goes the minimum wage.
The first obvious problem: raising the minimum wage, as predicted, has been proven to cause job loss and the closure of small businesses. This is now happening in cities like Seattle, where the minimum wage has been increased.
This is an especially peculiar move for a state that has been running a national advertising campaign for the past several years begging companies to come to New York. This is necessary because Democrats have made New York a hideous place to live and do business.
The purpose of the new minimum wage is twofold: to pay back the SEIU for their cash donations to Democrat politicians, and to allow those Democrat politicians to pat themselves on the back because they did something “good.”
But as is usually the case, this liberal policy wasn’t thought out very well. Democrats always think everything operates in vacuum. They never factor in a realistic reaction. And in this case, the reaction can get ugly. Very, very ugly.
New York has decided to raise the minimum wage for one class of business – fast food restaurants. So while the kids working at Burger King are making $15/hr, the kids at TGI Fridays may be making $8.75. This creates a couple of problems.
First, the sit-down restaurant will find it more difficult to find employees. Oh sure, they can raise their pay, but that could result in layoffs or worse, the restaurant being forced to close. The Gap decided to do this, raise their minimum wage. A few months later, they announced they were closing a couple hundred stores. That lowered the minimum wage to $0 for hundreds of Gap employees, err… former employees.
Then there is the issue of who the liberals are punishing. One would think they’d want to hurt large corporations. That’s what they’re always talking about. Evil corporations and malevolent Wall Street.
But they are actually hurting small business owners. Entrepreneurs who may have risked everything they have, even their homes, to have their own business. Who the hell do Democrats think owns most of those fast food joints? It’s not McDonald’s. Or Burger King. Or Wendy’s.
But large corporations, hated by liberals, such as Walmart, Target, Kroger, et al., can still pay $8.75/hour. The irony here is that a McDonald’s located inside of a Walmart, owned by a small business owner, has to pay their workers $15/hr, while Walmart, owned by one of the largest corporations on the planet, can pay their associates $8.75/hr.
Even the liberal belief that raising the minimum wage will lift people out of poverty and off of public assistance is a myth. In Seattle, many minimum wage workers are asking their employers to cut their hours in half, so they’ll make the same total pay than they did before the minimum wage was increased, while working fewer hours.
Why are they doing this? Because the increased pay would disqualify them from public assistance, and they want to keep their government handouts. Nice work Democrats.
New York beware: another failed liberal policy is rolling towards you.