It's official: Kate Brown signs minimum wage bill for $14.75 in Portland

[timosman]

http://www.oregonlive.com/politics/index.ssf/2016/03/its_official_kate_brown_signs.html

SALEM — Gov. Kate Brown signed historic increases to the minimum wage into law Wednesday, claiming a major win for Democrats and promising to uplift the working poor.

Speaking to reporters in her ceremonial office at the Capitol, Brown said the bill is a well-crafted compromise between labor groups and businesses that demonstrates Oregon's wise culture of governing.

"I am extremely proud of the collaborative spirit of the stakeholder groups that worked to develop this legislation," Brown said."Oregon has not only avoided a number of potentially problematic ballot measures, we have taken a very smart approach in a way that makes sense for workers and for businesses no matter where in Oregon they are."

The bill gives Oregon the highest statewide minimum wage rates in the nation, to $14.75 inside Portland's urban growth boundary, $13.50 in midsize counties and $12.50 in rural areas by 2022.

President Barack Obama lauded Brown, saying in a statement: "I commend the Oregon Legislature and Governor Kate Brown for taking action to raise their state's minimum wage...Congress needs to keep up with the rest of the country. They need to act, and finally give America a raise. And until they do, I'll continue to encourage states, cities, counties and companies to act on their own to support hardworking families."

 

[tod evans]

The next Detroit..........

 

[otherone]

The next Detroit..........

Exactly what I was thinking!

 

[juleswin]

The next Detroit..........

Not true, unlike Detroit, Portland's economy is built on the backs of highly skilled, highly paid tech workers. What this would do is make life in Portland more expensive for those poor people too low skilled to get the few highly sought after minimum wage job leaving. This would leave them no option but to relocate outside the city because the cost of living rise would swallow them whole.

I actually envision a scenario where this move would actually improve the economic health of the city. One thing for sure, I wil be watching the developments in Portland very carefully. This could be that rare exception when central planning actually improves the situation over the other centrally planned idea.

 

[tod evans]

Not true, unlike Detroit, Portland's economy is built on the backs of highly skilled, highly paid tech workers. What this would do is make life in Portland more expensive for those poor people too low skilled to get the few highly sought after minimum wage job leaving. This would leave them no option but to relocate outside the city because the cost of living rise would swallow them whole.

I actually envision a scenario where this move would actually improve the economic health of the city. One thing for sure, I wil be watching the developments in Portland very carefully. This could be that rare exception when central planning actually improves the situation over the other centrally planned idea.

The exact same sentiments were expressed about the workers in Detroit during it's heyday......

Time will tell.....

 

[presence]

The only thing that raising minimum wage does is move production from labor to technology.

Therefore less jobs for unskilled workers.

Way to go Kate!

 

[oyarde]

If I owned a small business there , I would likely just move it slightly out of the boundary . I would not have anything likely , that location was key . That way , if I wanted to employ any student aged people I could still decide what they were worth.Novel idea I know , the owner deciding instead of the govt . If I owned a large business or a business in the district that location was key, I would just add all of the increased costs and a little more onto the customers and let them know why if they asked . And hopefully , sell some over priced shit to the local govt , get a little tax money back the old fashioned way .

 

[TheTexan]

Congress needs to keep up with the rest of the country. They need to act, and finally give America a raise.

Yes, every American should get a raise I think.

 

[Danke]

Yes, every American should get a raise I think.

And a government pension.

 

[bunklocoempire]

 

[The Free Hornet]

Not true, unlike Detroit, Portland's economy is built on the backs of highly skilled, highly paid tech workers. What this would do is make life in Portland more expensive for those poor people too low skilled to get the few highly sought after minimum wage job leaving. This would leave them no option but to relocate outside the city because the cost of living rise would swallow them whole.

I actually envision a scenario where this move would actually improve the economic health of the city. One thing for sure, I wil be watching the developments in Portland very carefully. This could be that rare exception when central planning actually improves the situation over the other centrally planned idea.

Your misguided sentiment is predicated on Oregon picking the correct 'minimum' wage* level. I.e., it is largely predicated on having little-or-no effect. It would be like an LA mayor taking credit - in advance - for all the warm, sunny days they anticipate. They are anticipating wage inflation, currency devaluation, increased AMA/medistuff expenses, etc...

When a few of the progressive minded are beginning to see that these economic distortions are harmful and less preferable to more business-non-interference approaches like mincome/BI/CD/NIT/etc, I am frankly surprised your take on this seems ... positively glowing.


A large benefit of a market - free or unfree - is that PRICES ARE INFORMATION. A wage is a price. Oregon is saying - in effect - that information below X threshold is unimportant to the performance of their market. That could be true. If we set a minimum wage of $0.03/hour that would only affect the people so worthless that they need to pay us to work and learn (not unlike students have to pay tuition or an intern might make no money). Possibly the compliance cost would exceed any wage increase received.

So they are signaling - to the nation - that they know the correct starting/minimum wage through 2022. Even for useless fucks that still want to earn a living or at least collect a paycheck. The progressive minded with business investments (or people who see this as savvy marketing) might indeed flock to Oregon. If I wanted to open a hip coffee shop, this bill wouldn't scare me. If I wanted to open a large, preferably non-union manufacturing or distribution facility, then I would - given an equally suitable local elsewhere - stay the fuck away.






*the actual minimum wage is zero, the laws only increase the likelihood that that is what you will get ... zero

 

[Feelgood]

Bring on the inflation and unemployment and layoffs! Woohoo!

 

[RonPaulMall]

Your misguided sentiment is predicated on Oregon picking the correct 'minimum' wage* level. I.e., it is largely predicated on having little-or-no effect. It would be like an LA mayor taking credit - in advance - for all the warm, sunny days they anticipate. They are anticipating wage inflation, currency devaluation, increased AMA/medistuff expenses, etc...

When a few of the progressive minded are beginning to see that these economic distortions are harmful and less preferable to more business-non-interference approaches like mincome/BI/CD/NIT/etc, I am frankly surprised your take on this seems ... positively glowing.


A large benefit of a market - free or unfree - is that PRICES ARE INFORMATION. A wage is a price. Oregon is saying - in effect - that information below X threshold is unimportant to the performance of their market. That could be true. If we set a minimum wage of $0.03/hour that would only affect the people so worthless that they need to pay us to work and learn (not unlike students have to pay tuition or an intern might make no money). Possibly the compliance cost would exceed any wage increase received.

So they are signaling - to the nation - that they know the correct starting/minimum wage through 2022. Even for useless fucks that still want to earn a living or at least collect a paycheck. The progressive minded with business investments (or people who see this as savvy marketing) might indeed flock to Oregon. If I wanted to open a hip coffee shop, this bill wouldn't scare me. If I wanted to open a large, preferably non-union manufacturing or distribution facility, then I would - given an equally suitable local elsewhere - stay the fuck away.






*the actual minimum wage is zero, the laws only increase the likelihood that that is what you will get ... zero

One thing you aren't considering is that one of the biggest consequences of high minimum wage laws are to drive out (or in Oregon's case, keep out, blacks and Mexicans. We've seen this same dynamic play out in Northern California vs Southern California and that experience suggests the trade off may be worth it from a bottom line economic standpoint.

 

[fr33]

The cost of living and cost of operating a business will follow that rise, making the raise worthless...

 

[timosman]

One thing you aren't considering is that one of the biggest consequences of high minimum wage laws are to drive out (or in Oregon's case, keep out, blacks and Mexicans. We've seen this same dynamic play out in Northern California vs Southern California and that experience suggests the trade off may be worth it from a bottom line economic standpoint.

Sounds like bollocks. Do you have a link for N. vs S. Cali?

 

[groverblue]

... This would leave them no option but to relocate outside the city because the cost of living rise would swallow them whole....

Are the high skill tech workers going to make their own lattes and lox quiche? I don't think so. Some jobs will be eliminated, but tech workers are there because of the services available to them. Those services are provided by low skilled workers. Lots of them. Prices are going to rise, and so are taxes. If anything, you'll see tech workers start to leave.

 

[nobody's_hero]

Awesome, the guy who picks up trash will make the same as the guy who picks up victims of cardiac arrest.

Only, the guy who picks up trash will have less liability and need less education.

I'm a nurse and my base rate is $22/hr. With all the bullshit I have to put up with in healthcare (regulations, patients with entitlement complexes, mundane documentation leading to less time with patients and more time staring at a computer screen), leaving this field and collecting $14.75/hr to do a menial job sounds kind of tempting.

Then again by 2022, i'll probably be making $50/hr and 14.75 won't buy a stick of gum.

 

[willwash]

Get ready for the robots!

 

[Schifference]

Everyone already making $15 an hour just got a pay cut.

 

[tod evans]

Everyone already making $15 an hour just got a pay cut.

It's for the greater good comrade........