The government should adopt a $50 per hour minimum wage so that
everybody makes $100,000 a year.
This is the absurd logic behind Santa Monica’s Measure JJ,
on the ballot Nov. 5, which would raise Santa Monica’s
minimum wage to $13.50. The minimum wage would affect all medium
and large businesses in the coastal zone of Santa
“Moscow” including Third Street Promenade.
The Santa Monica City Council tried to adopt the increased wage
last year without approval from the citizens. But because of a
petition drive protesting the ordinance, the comrades on the
council reluctantly allowed the people to decide the issue this
November.
The supporters of Measure JJ call it a “living”
wage. I call it an “idiot” wage, because you must be an
idiot to think poverty can be cured simply by waving a magic
wand.
In fact, increasing the minimum wage hurts the very people it
intends to help because it raises the price of hiring unskilled
workers. So employers must cut costs to stay in business and are
forced to fire some workers, typically minorities and
teenagers.
The Santa Monica Coalition to Protect the Minimum Wage uses
Maria Cortez as an example of someone who will benefit from Measure
JJ. Maria is a housekeeper at the DoubleTree Guest Suites and makes
$9.94 an hour with paid time-off. She is an immigrant from El
Salvador with six children, and she is unable to afford an
apartment in Santa Monica.
If Maria is lucky enough not to be fired because of Measure JJ,
she will be making $13.50 for cleaning hotel rooms. Is that fair?
Consider a current job posting on BruinTraks for a full-time
position as a microbiologist for Amphastar Pharmaceuticals Inc. The
job qualifications are: “Bachelor of science in microbiology,
biology or chemistry. Lab experience required. Must have good GPA
and work ethic.”
What would a UCLA graduate with a high GPA make as a
microbiologist? A whopping $11.50 to $14 an hour.
I sure hope all you biology students get into medical school
because this is the future you face. And any North Campus students
reading this need not get smug because everybody knows you will
make even less. If you think this example is one of a kind, I
encourage you to do a quick search on BruinTraks and prove yourself
wrong.
So Maria wants to live in the People’s Republic of Santa
Monica. I doubt whether she can afford a four-bedroom house
(remember, she has six kids) near the beach even after the wage is
approved. Is $13.50 an hour really a living wage for Maria? No, of
course not.
If Maria does indeed get fired because the DoubleTree can no
longer afford to employ her, she will not be alone. According to a
study released this month by the Employment Policies Institute, 14
percent of all workers covered by Measure JJ will be fired. It is
likely that two of the three department stores in Santa Monica
Place will be forced to close, which in turn could force the entire
mall to go out of business, causing even more job losses.
The Santa Monica City Council is delusional if it believes
businesses can afford to pay double the $6.75 California minimum
wage (which is already higher than the $5.25 national minimum wage)
with no consequences.
Businesses and workers outside of the Santa Monica coastal zone
are not immune to Measure JJ. Small businesses outside of the zone
will be forced to keep up with the ridiculously high wages to
retain their employees.
“I’m scared,” said Jack Srebnik, owner of the
17th Street Café, which employs 45 people. “I
don’t want to say the sky is falling, but if I have to match
those salaries, it will shut me down.” There’s another
45 people out of work because of the proposed wage increase. I
wonder how the supporters of Measure JJ will feel about that.
If Measure JJ passes on Nov. 5, many impoverished minorities and
unskilled workers will lose their jobs. The only thing that will
give these people a fighting chance of earning a real living wage
is better education and improved training.
Raising the minimum wage is a disincentive to improve
one’s skills, like an unneeded crutch that lifts you up when
you can walk on your own. The Santa Monica City Council should
focus its attention on improving education and worker training
instead of pushing for an idiotic minimum wage.