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Giving Compass' Take:
• Pacific Standard's Jared Keller discusses how the minimum wage experiment is having success in America. New research in Seattle particularly suggests positive findings from the increased minimum wage.
• The issue of minimum wage has many levels to it, what is the most effective way of conducting research to show its impact? What predicted results will come if the minimum wage continues to increase?
• Here's another article showing the impacts of higher minimum wage.
America's grand wage experiment appears to be paying off.
On New Year's Day, 19 states saw increases to their minimum wages, the majority of which were enacted through legislative efforts and ballot initiatives rather than the standard adjustments for inflation.
And while some economists have argued that artificial wage floors will shutter businesses and put low-wage works out on the street, that so far hasn't been the case.
Take Seattle, where the city council passed an ordinance in 2014 raising the minimum wage to $15 by 2020. That decision was met with quite a bit of skepticism, with cynics saying that instituting a minimum wage floor would only end up forcing small businesses to lay off workers to make ends meet. But, according to a working paper released in October by researchers at the National Bureau of Economic Research, that hasn't been the case: Their report, based on a ongoing University of Washington study of 14,000 low-wage workers, indicates that low-wage workers actually saw significant gains in their income while remaining in their jobs longer, with minimum wage increases from $9.47 hourly to $13 resulting in a bump of between $8 to $12 per week for wage workers.
Read the full article on minimum wage in Seattle by Jared Keller at Pacific Standard