Minimum wage hikes tend to hurt lower income-wage earners more than help.
California recently mandated a $15 minimum wage. Now, facilities maintenance and food service workers at UC Berkeley may find their jobs imperiled.
Justin Holcomb writes for Townhall:
The $15 minimum wage hike in California has sent financially troubled UC Berkeley into decision making mode, and “the people who clean buildings, who work in food services or health clinics,” says Todd Stenhouse, will be the ones without a job.Stenhouse, a spokesman for the American Federation of StateChancellor, also said “There’s a very clear need for those front-line services. But the question is whether there really is a need to hemorrhage resources on executives.”Nicholas Dirks sent a memo to employees Monday informing them of the job reductions and said they will amount to “a modest reduction of 6 percent of our staff workforce.”Berkeley employs about 8,500 staffers, from custodians to administrators. Departments on campus were reportedly also told to reduce their budgets by 10 percent in whatever way they wish.
New wage requirements will cost UC Berkeley 500 jobs, but at least everyone is earning a living wage… except for you know, the one’s who no longer have jobs as a result.
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