Panelists answered the following question: Do you support Assemblyman Luis Alejo’s proposal to raise the state’s minimum wage over three years from $8 an hour to $9.25 an hour?
Marty Richman: “I can’t say because I haven’t seen an economic analysis of what this will cost employers in added taxes and benefits. The best solution is to reduce housing costs, but how?”
Richard Place: “That’s a 15.6% increase over 3 years. I wonder what would happen if he was asked to lower the government workers the same amount.”
Mary Zanger: “Yes, because dollars are going into the economy not out of the economy. Data confirms positive responses. Most people want to know from where their food comes and would pay more for food. The suffering of others does not make people happy. The majority of people would pay more for clothing to avoid sweatshops. Most would pay more for hotel/motel rooms to avoid underpaid employees. Added money in working-class pockets benefits local businesses. Bills are paid. Purchases are made. Rising local economy radiates out to state and national economy. On the other end of the issue, employers benefit with the increased productivity and loyalty of happy employees. No price tag can be placed on such welcome improvements for workers.”
Ruth Erickson: “Employees need the raises but it increases the cost of doing business for the employers, which in turn, gets passed on to their customers. Higher costs can limit how much customers will spend, which in turn, will often necessitate employers to cut back the hours of the employees causing them to need further raises. It’s a vicious circle!”
Jim West: “Yes I support Alejo’s bill to raise the minimum wage. And I am glad to see the stock market doing well and housing prices starting to go back up. But here in the middle things aren’t so good – I haven’t had a raise or cost of living increase since 2008 when I lost all that money in my 401K retirement.”
