Seattle's Minimum Wage Hike Hurting City's Most Vulnerable Workers

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Indeed, the "costs to low-wage workers in Seattle outweighed the benefits by a ratio of three to one, according to the study", which was "commissioned by the city" and conducted by economists at the University of Washington.

The working poor are making more per hour but taking home less pay.

A University of Washington team studying the law's effects found that the law has boosted pay in low-wage jobs since it took effect in 2015, but that it also caused a 9 percent reduction in hours worked, The Seattle Times reported (https://goo.gl/G1Vr64 ).

Researchers at two of our nation's premier universities set out this week to answer a question that's hugely important to millions of small business owners: Does raising the minimum wage force businesses to eliminate so many jobs that it hurts the very people it was meant to help? More than a dozen cities and counties, mostly in California and NY, followed suit.

The report, by members of the University of Washington team studying the law's impacts for the city of Seattle, is being published Monday by a nonprofit think tank, the National Bureau of Economic Research.

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A credible new study on Seattle's $15 minimum wage has bad news for liberals, notes Max Ehrenfreud at The Washington Post's Wonkblog.

In the years covered by the study, 2015 and 2016, the minimum wage was at most $13, depending on business size, worker benefits and tips.

Reich said multisite businesses employ a large percentage of Seattle's low-paid workers.

But for low-wage restaurant workers, the law cost them work hours, the new report said.

Jacob Vigdor, a UW public policy professor and one of the authors of the UW report, stood by the team's findings. Absolutely not, say researchers at UC Berkeley, who recently completed their own study. Single-site businesses, though - which are counted in the report - could include franchise locations that are owned separately from their corporate headquarters. By comparing the "synthetic Seattle" where no minimum wage increase took effect with Seattle itself, the researchers tried to figure out the minimum wage law's effect on Seattle's economy. If you force a higher wage than the market demands, employers are forced to adjust in ways that are less favorable.

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