San Francisco’s $15 minimum wage goes into effect for all businesses

San Francisco this week enacted its $15 minimum wage, making it the first major U.S. city to mandate a $15 wage floor for all businesses.

It’s the last phase of Proposition 14, which voters passed in 2014 and raised the wage in increments of $1.00 through 2018.

“Those who say we have to choose between economic growth and fair pay are wrong,” City Administrator Naomi Kelly said in a statement. “We in San Francisco have proven that these elements aren’t exclusive of each other and, in fact, they compliment each other.”

And while “Fight for 15” advocates are cheering the move, the increase does little to address the cost of living concerns in the Bay Area, a region which continues to see a heavy exodus to neighboring states.

For example, a recent analysis by the National Low Income Housing Coalition found that someone would have to work around 160 hours per week at $15 per hour to be able to afford an average 2 bedroom apartment in San Francisco.

Furthermore, the income level for a family of four to qualify to low income assistance is now over $117,000 in the region, according to findings from the U.S. Department of Housing and Urban Development.

Across all of California, the median rent for a one-bedroom apartment is $1,750 and a two-bedroom averages $2,110. Average home prices in the state have surpassed $500,000 – and in places like Santa Clara County it’s well over $1 million.

Additionally, experts are noting that the wage hike may actually hurt low-wage workers, arguing that such an increase comes with trade-offs for poor residents. While the hourly wage may increase, it’s also likely to force businesses to cut prices – and possibly the hours of their workers.

 “San Francisco already has a major problem facing low wage workers,” George Mason economist Michael Farren explained on C-SPAN. “So the additional cost of $15 hour minimum wage and the effect it’s going to have on prices isn’t going to help low-wage workers very much.”

12 comments

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  1. Queeg
    Queeg 6 July, 2018, 13:00

    Comrades

    SF rents Rise…read all about it. A grim convenience store cranberry muffin… five buckaroos. A wilted head of lettuce in Chinatown….six bucks. You’re witnessing the destruction of an urban service economy!!!!

    Reply this comment
  2. Dude McCool
    Dude McCool 6 July, 2018, 20:33

    And many businesses will fold because hamburger flippers can’t flip burgers fast enough to make a profit.

    Reply this comment
    • ricky65
      ricky65 9 July, 2018, 08:56

      No, but robots will. And they never complain, want breaks, need to go to the potty or file complaints to the labor board.
      Coming to a Mickey D’s near you soon!

      Reply this comment
      • Queeg
        Queeg 9 July, 2018, 09:16

        Comrade Ricketts

        They get it. Sleeping in a closet gets old …..

        Reply this comment
      • Bubba
        Bubba 19 July, 2018, 06:21

        Already has Jack in Box and others experimenting with automated keyosks.

        Push 1 For Big Mac Combo
        Push 2 For kids meal
        And Badda Bing your happy meal slides down a stainless steel Shute un touched by human n hands.
        Bye Bye to the pimple faced teenager who marched with the rest of SJW in the fight for $15!
        Etc., Etc., well you get it

        Reply this comment
  3. Queeg
    Queeg 7 July, 2018, 17:42

    Comrades it took awlile for East Germans to take down the Berlin Wall. Untold human suffering, lack of investment capital, crushing uneven regulation….no savings, fear always.

    Yeah 15 bucks sounds good, but in a globalist tech trinket world it’s peanuts. The little people facing high gas, rents, food, sales tax, etc will reject their globalist masters…..

    Sf , SD, La are simmering…..living in squalor, eating gruel, treated like servants getting real real old.

    Reply this comment
  4. Ted
    Ted "Street Cred" Steele 9 July, 2018, 09:34

    Queeg is right of course— why are you trumpaloopa doomers afraid of paying the rabel? You gotta pay, playa.

    Reply this comment
  5. Crash
    Crash 1 September, 2018, 08:41

    It’s Over Johnny !!!! California is a piece of trash, LA is on the verge of complete destruction and overrun with illegals . Let’s ship LA about 5 0 thousand illegals
    A month and see what happens . LA and most of Southern California is a dump

    Reply this comment

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