Thursday, August 14, 2014
I wanted to highlight a recent article I saw that noted a lawsuit against the city of Seattle for its legislative decision to implement a $15/hr minimum wage. The lawsuit focuses on a specific provision of the law that permits a more gradual increase for smaller businesses. From the article at MSNBC:
"Those companies with 500 or more employees need to achieve a $15 hourly base wage within the next three years, while small businesses have seven years to achieve the same target. But the law also designates franchisee businesses as large businesses . . . [The issue is whether] franchisees should be classified as small businesses, and [whether] the current law illegally discriminates against the franchise business model."
This case provides an important reminder that while the federal minimum wage has remained static for years, some local jurisdictions have remained active in trying to raise the limits to a livable wage. As seen here, however, these efforts are often met with substantial resistance.