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

Minimum wage1San 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.

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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.”

This article was originally published by CalWatchdog.com


  1. vistacharlie says

    This is a drop in the bucket. moderate wage earners cannot afford to lve in the city. Minimum wage earners certainly cannot. unless there is a concept of an occupant pod (30 cubic feet) you are going to see more homeless on the streets. they need to start looking at how to reduce the cost of living.

  2. CaliExpat says

    Ahhh, what the heck….
    Let’s start a fight for FIFTY bucks an hour…

    More is always better in liberal Feelgoodville, right???

  3. Donald J. says

    As a rule politicians do not do anything for the people unless it somehow benefits the politician. In this case either by putting more people paying taxes into their coffers or adding more votes to the Left.

  4. “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.”

    Although this might be true, two people working 80 hrs a week at $15/hr can afford a 2 BR apt. Sounds more reasonable? These poverty pimps really like to overexaggerate the issues. A low income worker doesn’t have a right to a 2 BR apt. The poverty pimps seem to think so. Get roommates, I did that for many years while I worked my way up. Sometimes I just did it to save money. This is not to say that there isn’t an affordable housing problem.There is and the solution to it is to loosen the regulations and stop NIMBYism.

  5. Bogiewheel says

    Put blame where it belongs………Illegal immigration, political malfeasance and failing education. It will be interesting to watch how the political scene
    in Mexico unfolds with their new socialist President and it’s relationship to
    future illegal immigration. Don’t forget the end plan by this cabal in Sacramento; Overload the system to the point where it will collapse.

  6. Bogiewheel says

    Another point about housing……..In the 1950s the percent of my income
    toward housing, in San Francisco (two bedroom flat) with garage parking was 12 %. today the range is 50% and up.

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