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View Full Version : Denver leaders unveil proposal to increase citywide minimum wage to $15.87 by January 2021



Teh One Who Knocks
09-23-2019, 11:20 AM
By Blair Miller - Denver 7 News


https://i.imgur.com/SdfeyJ7l.jpg

DENVER – City leaders on Thursday unveiled a proposal to increase Denver’s citywide minimum wage to $13.80 per hour on Jan. 1, 2020, and to $15.87 per hour on Jan. 1, 2021, with yearly increases based off the consumer price index (CPI) each year afterward.

Mayor Michael Hancock and Councilwoman Robin Kniech made the announcement Thursday morning on the steps of the City and County Building. The proposal comes six months after the city council voted in March to raise the minimum wage for city employees and people who work at businesses that operate inside city facilities to $15 an hour by July 2021.

According to data gathered by the city , the minimum wage increase would end up applying to more than 100,000 people once it increases to $15.87 in 2021 – about 27% of the city’s workforce. Hancock and Kniech said the increase would apply to adults and emancipated minors – as there are no exemptions to the state law – but added there would be talks about youth wages in upcoming meetings.

They said that the increases would be a boon to people of color and women working in Denver as well, who traditionally hold more of the low- and minimum-wage jobs in the city and county.

The city said that 30% of women working in Denver would see raises by 2021; that nearly 51% of Hispanic and Latinx workers would see raises by that year; and that nearly 40% of black or African-American workers would see raises by 2021 under the proposal. Among white workers, about 15% would see raises.

Hancock and Kniech praised Sen. Jessie Danielson, D-Wheat Ridge, whose bill , which was signed into law this year, allows local jurisdictions to have control of their minimum wage standards in hopes of allowing municipalities in the state that have higher costs of living to improve living wage standards for residents. They said the measure cleared the way for Denver to take control of its minimum wage.

The yearly increases for 2020 and 2021 are the maximum 15% year-over-year increases allowed under the law.

They said that they had been talking with stakeholders for months, including both small and large businesses and nonprofits. And they said there would be a series of town hall meetings hosted in October for the public and other business owners to have more input before a final council vote – likely in November.

“Our goal is for every one of our residents to be able to access the success and opportunities our city has experienced over the past eight years, so we must take the opportunity to open the door for them to access it,” Hancock said.

The city says that there would be “tip credits” of $3.02 available for food and beverage workers. It also said that the Denver Auditor’s Office would be overseeing complaint enforcement. The measure contains protections for workers who file complaints so they cannot be retaliated against.

There would also be penalties for businesses that do not pay the required minimum wage, including a fine structure and requirement that employees be reimbursed for missing payments.

Kniech said the increased minimum wage would be one step in undoing the “vestiges of racial inequality” seen around wages countrywide. And she acknowledged the likely pushback she and other proponents will receive from the business community, which often has opposed similar minimum wage increases by saying they will kill jobs and small businesses.

“We know this proposal may involve hard changes for some of you,” she told business owners. “I hope we can be partners.”

She said that she believes businesses will see less turnover, fewer vacancies and happier workers once the wage increases are in place. She also acknowledged that people against the minimum wage increases would be able to find studies proving it harms businesses, but said the latest near-consensus was that employment rates and business creation was unharmed by such increases.

“Today’s just the beginning of this dialogue,” Kniech said, adding that leaders “put forward what we believe is the best proposal at this time.”

Data from the city show more than 90% of the city’s nonprofit employees already earn more than $13.80 per hour and 85% earn more than $15.87 per hour. By 2021, according to the data, 30% of for-profit workers would see raises; 13% of government workers would see raises; and nearly 16% of nonprofit workers would see raises.

Denver would become the 13th city or county with minimum wages above $15 by 2021 if the council passes the proposal.

DemonGeminiX
09-23-2019, 01:03 PM
Enjoy losing a shitload of jobs to companies leaving your city. And the price increase of fast food.

Muddy
09-23-2019, 01:05 PM
Enjoy losing a shitload of jobs to companies leaving your city. And the price increase of fast food.

Over $2.. ?

Teh One Who Knocks
09-23-2019, 01:05 PM
Businesses are either closing down, or laying off employees in every other city that has raised the minimum wage to $15/hour. So what does the mayor of Denver want to do? Let's go higher! :cheers:

I rarely go downtown anymore because of the people and the traffic and the congestion already, this is just another reason not to go into the city and stay in the 'burbs for everything.

Pony
09-23-2019, 01:31 PM
Over $2.. ?

$2 next year and $2 more the following. Many companies run on very slim profit margins. A $4.77 increase x 10 full time employees is nearly $100,000

Muddy
09-23-2019, 01:35 PM
$2 next year and $2 more the following. Many companies run on very slim profit margins. A $4.77 increase x 10 full time employees is nearly $100,000

If they don't pay them, the government does (which is you and I).. Under a certain income these people pay 0% federal income tax.. Sometimes even getting a refund. If they cant afford their employees it shouldn't be the burden of the US govt. My :2cents:

DemonGeminiX
09-23-2019, 01:40 PM
You can't pay somebody if you don't have the money to do it.

Pony
09-23-2019, 01:49 PM
Many companies are forced to reduce hours and workforce to be able to afford forced payroll increases. Putting some employees on unemployment and the rest make the same as they did before because of fewer hours worked. Other companies close altogether.

From a small business investment site:

Each employee in a small business drives the margins lower. One study found that 90% of all service and manufacturing businesses with more than $700,000 in gross sales are operating at under 10% margins when 15%-20% is likely ideal.

So businesses making a million a year with a 10% profit margin that have 10 employees will show a profit of $0. Add in a few liberal tax hikes and the businesses will be operating at a loss.

Teh One Who Knocks
09-23-2019, 01:49 PM
Kniech said the increased minimum wage would be one step in undoing the “vestiges of racial inequality” seen around wages countrywide.

:roll:

Muddy
09-23-2019, 01:51 PM
https://youtu.be/ZngGIw5ONWE

Muddy
09-23-2019, 01:53 PM
Many companies are forced to reduce hours and workforce to be able to afford forced payroll increases. Putting some employees on unemployment and the rest make the same as they did before because of fewer hours worked. Other companies close altogether.

From a small business investment site:


So businesses making a million a year with a 10% profit margin that have 10 employees will show a profit of $0. Add in a few liberal tax hikes and the businesses will be operating at a loss.

What a lot of businesses leave out of that equation is that "profit margins" are usually calculated after every one has been paid.. Including the owners salary and bonuses..

Pony
09-23-2019, 02:04 PM
What a lot of businesses leave out of that equation is that "profit margins" are usually calculated after every one has been paid.. Including the owners salary and bonuses..

Just saw the average small business owners salary is around 74k.

Just saying that sure, if it's a multi-billion dollar business with the top tier getting paid million dollar salaries and bonuses they can definitely afford the increase. But America is built on small business. MOST do not show anywhere near that kind of numbers regardless of what the liberals spout off about.

How about instead of doubling the minimum wage we focus instead on teaching people a skill that they can make a living wage doing? Working at any minimum wage job should never be considered a "career".

Teh One Who Knocks
09-23-2019, 02:05 PM
How about instead of doubling the minimum wage we focus instead on teaching people a skill that they can make a living wage doing? Working at any minimum wage job should never be considered a "career".

That's crazy talk :hand:

Muddy
09-23-2019, 02:12 PM
Just saw the average small business owners salary is around 74k.

Just saying that sure, if it's a multi-billion dollar business with the top tier getting paid million dollar salaries and bonuses they can definitely afford the increase. But America is built on small business. MOST do not show anywhere near that kind of numbers regardless of what the liberals spout off about.

How about instead of doubling the minimum wage we focus instead on teaching people a skill that they can make a living wage doing? Working at any minimum wage job should never be considered a "career".




https://youtu.be/ZngGIw5ONWE

I had posted this video here to illustrate how the times have changed.. 50 years ago working at your local grocer or driving a bus for the city was an occupation suffice to live a base standard of life on.. The cost of living has drastically gone up but peoples income for all intents and purposes have stagnated and fallen grossly behind. Where does it all end? Someone has to do these simple skilled jobs and with our population numbers in this country it cant always be temp work for highschoolers.

Pony
09-23-2019, 02:37 PM
Yes, salaries have stagnated. But is the answer doubling the minimum wage over the next 15 months? Minimum wage would be $32,000 in 2021. All goods and services will skyrocket, what about the middle class people making 32k to 50k? Are they going to get $10k pay increases as well? Or are we just going to let half the middle class disappear?
I'm all for slowly increasing pay for all, Just not a fan of the govt forcing businesses to do it as a "fix all". Especially in a short time period that will have devastating effects on the local economies.

50 years ago the man of the house worked HARD to support his family, even holding two full time jobs if needed. If the family couldn't afford something they went without.

Now everyone has $1000 iPhones, $200 shoes, a $200/month cable and internet bill. A new-ish car with car payment, many living alone in a decent apartment. and complain all the time about how they are broke and it's the rich white mans fault.

Muddy
09-23-2019, 02:47 PM
Yes, salaries have stagnated. But is the answer doubling the minimum wage over the next 15 months? Minimum wage would be $32,000 in 2021. All goods and services will skyrocket, what about the middle class people making 32k to 50k? Are they going to get $10k pay increases as well? Or are we just going to let half the middle class disappear?
I'm all for slowly increasing pay for all, Just not a fan of the govt forcing businesses to do it as a "fix all". Especially in a short time period that will have devastating effects on the local economies.

50 years ago the man of the house worked HARD to support his family, even holding two full time jobs if needed. If the family couldn't afford something they went without.

Now everyone has $1000 iPhones, $200 shoes, a $200/month cable and internet bill. A new-ish car with car payment, many living alone in a decent apartment. and complain all the time about how they are broke and it's the rich white mans fault.

I think part of the solution is looking at why the cost of living has skyrocketed.. Why does a short one day hospital stay cost $25,000? Why does attending a decent university cost 40-60k a year..? Why is a Ford truck 60k now? Nobody balks at that shit, but mention giving someone a more fair pay relative to the cost of living these days and its a Conservative flip out..

Pony
09-23-2019, 03:05 PM
I think part of the solution is looking at why the cost of living has skyrocketed.. Why does a short one day hospital stay cost $25,000? Why does attending a decent university cost 40-60k a year..? Why is a Ford truck 60k now? Nobody balks at that shit, but mention giving someone a more fair pay relative to the cost of living these days and its a Conservative flip out..

I'm all for cost of living increases. But it has to be done in small increments to reduce the shock to the economy. 3%-5% a year for everyone would be nice. Even a 3-5% increase a year in minimum wage would give businesses a chance to adapt and possibly entice skilled labor employers to increase as well to get quality employees and stay ahead of the minimum number. I honestly don't have the answer. I don't believe in letting a huge govt control wages.

Anyway, gotta run, good chat mate!

Teh One Who Knocks
09-23-2019, 03:10 PM
I think part of the solution is looking at why the cost of living has skyrocketed.. Why does a short one day hospital stay cost $25,000? Why does attending a decent university cost 40-60k a year..? Why is a Ford truck 60k now? Nobody balks at that shit, but mention giving someone a more fair pay relative to the cost of living these days and its a Conservative flip out..

You want to know why a Ford truck is $60K now? Ask the UAW.