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What I've Been Reading This Week: Minimum Wage Edition


After Ben Carson's recent comments at the Republican debate this past Wednesday on the minimum wage rate (Ben Carson Proposes Indexed Minimum Wage Rate), I wanted to focus this post on some minimum wage issues around the country.  With the presidential election coming up next year, I think this will be a hot button issue going forward, especially if the middle class continues to get continued attention.

As always, below are a few articles that caught my eye this week.


New York Raises Minimum Wage Rate for Fast Food Workers to $15/Hour

Recently, it was announced that Governor Andrew Cuomo's administration will formally approve the increase of the minimum wage rate for fast food workers to $15/hour.  Note, this is the first time that any state has set the minimum wage rate that high.  At the announcement, Vice President Joe Biden stated that he and President Obama are committed to raising the federal minimum wage rate to $12/hour.  The clock is ticking to get that done before they leave office...but there's still some time to accomplish that goal.


Oregon Minimum Wage Will Not Rise in 2016

As The Oregonian details, Oregon's minimum wage rate will remain at $9.25/hour in 2016.  Note, this is the first time in five years that the rate has not increased.  The article notes that the rate is adjusted every year to keep up with rising prices (hello, Ben Caron's proposed indexed minimum wage rate...), but since the index that measured consumer costs flatlined as gasoline prices tumbled, that locked Oregon's minimum wage rate at $9.25 again for 2016.  Whether this new will push the "Fight for 15" movement ahead is unclear...but for now, the minimum wage in Oregon will stay the same in 2016.


San Jose Moves Forward With Minimum Wage Study

Recently, the San Jose City Council voted, unanimously, to move forward with a study that may lead to a regional minimum wage in Santa Clara County.  As of now, the city will seek a firm to look at the impacts of raising the minimum wage rate to $15/hour and another higher amount to be determined by city staff.  Interesting to see how this one plays out.


Move Over Seattle, Berkeley, California Might Soon Have the Highest Minimum Wage Rate

Fortune has a very interesting note on Berkeley, California's recent moves that could raise the minimum wage rate to $19/hour - the highest in the country.  Next week, the Berkeley City Council will consider legislation that would give the city a minimum wage rate of $19 by 2020.  Right now, the minimum wage rate sits at $10 in Berkeley, but will increase to $12.53 by October 2016.  If the proposal moves forward, the minimum wage rate would move to $13.00 instead, followed by an increase to $14.50 in October 2017, $16.00 in 2018, $17.50 in 2019, and $19.00 in 2020.  Who knows if this will take effect, but certainly one to watch!


Missouri Votes to Outlaw Local Minimum Wage Increases

Recently, the Missouri Legislature completed a veto override of a bill that would prohibit cities and counties from setting local minimum wage rates.  This is in response to Kansas City seeking to raise the minimum wage rate above $7.65/hour.  Note, this vote overrides Governor Jay Nixon's veto of a bill that would have prohibited Kansas City (or other cities) from raising the minimum wage rate.  Score one for employers here.

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