Moonglow
Diamond Member
Seattle Announces $15 Minimum Wage, Highest In The U.S.
Seattle will raise its minimum wage to $15 an hour over the coming years under a deal brokered by Mayor Ed Murray and blessed by labor and business groups alike, city leaders announced Thursday afternoon.
The new pay floor will phase in at different speeds for businesses of different sizes, but all employers will have to meet the $15 minimum wage by the end of the decade. Businesses with more than 500 employees nationwide will have a three-year phase-in period, while smaller employers get five years to ratchet up their payscales.
After reaching $15 an hour, the citys minimum wage will automatically climb by 2.4 percent each year regardless of the rate of inflation. Even among states with relatively strong minimum wage laws, automatic increases are uncommon. Thursdays deal will make Seattle the national leader on municipal minimum wage laws. Washington currently has the highest pay floor of any state at $9.32 per hour.
We will see the economic health of Seattle reflected in this move.
One concern is that as cities raise their minimum wage, more people will move there. We saw this (for a different reason) with the Reagan recession and it put those cities under more stress.
Even at 15 bucks and hour, it would still not be enough to live comfortably in such an expensive place...