In LA, The Minimum Wage May Skyrocket

What's Going On

minimum wage growthby Greg B.

City council in Los Angeles is planning to introduce a motion that would make L.A. the highest minimum wage area in the United States.

The wage proposed is $15.37 per hour, which would double the current rate of $8 per hour in California.

“I’d like to see it through the city of LA,” Councilman Mike Bonin told The Huffington Post. “We know it will improve lives. We know it will bring folks into the middle class. We know it will bring more money into the local economy.”

The council that wrote the proposal expressed the need for a citywide initiative, not just for hotel workers, or regular menial labor.

The proposal dubbed Raise L.A. also carries other tenets to the motion; first the bill would apply only to hotels with more than 100 rooms. Secondly, In addition to the wage increase the proposal would require employers to grant their employee five sick days per year.

Nationwide the President is pushing a similar federal minimum wage in Washington seeking to move it from $7.25 per hour to $10.10 per hour.

Many Democrats are in support of this measure and stand with the president, and in addition the American people are behind it.

Union rep, Leigh Shelton, said of the matter, “The disparity between rich and poor has gone so extreme that everybody’s looking for solutions,” Shelton said. “We have the chance to seize the moment and make some real change.”

Clearly unions have a vested interest here, as the more wages employees make the more the unions collect and grow. However the concern is that wages will be too high, and will discourage businesses from coming to the area.

This debate will continue, and cities that support it will take measures such as Los Angeles to ensure their employees have a living wage.

Chime in, do you support minimum wage?


Greg B., is a financial professional and native Ohioan who is the writer here. I am an avid reader, coffee connoisseur and dog lover. Follow me on Twitter @love2edify.



One comment

  1. Unfortunately, the issue is not just whether certain individuals are able to have more of a living wage. Many union contracts, which have already been negotiated to give their members a “fair” rate of pay, also have a requirement that that “fair” rate of pay will rise further if the minimum wage is increased.

    This is a big reason unions back increases in the minimum wage. Not because they want poorly paid individuals across the board to make a better living, but because their own union members will get an even higher rate of pay than their leaders have negotiated with employers.

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