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California Restaurants Disappearing in Droves After $15 Minimum Wage Law!

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California has done it again, destroying a plethora of jobs with it’s $15 an hour mandatory minimum wage laws, hurting the poor and lower middle class citizens.

The irony is that the liberal infested Bay Area is one of the hardest hit regions, as San Francisco passed a $15 minimum wage law in 2014.

The State of California followed suit in 2016, passing a statewide law. Over 60 restaurants around the Bay Area have closed since the start of September alone.

Many of the restaurants have declared difficulties like the cost of finding and keeping good employees.

California Restaurants Disappearing in Droves After $15 Minimum Wage Law!

HUH?

I thought that the $15 Minimum Wage was supposed to bring employees?

It is coming to the point of catastrophe. “We’re at this precipice where the model of the full-service restaurant is being pushed to the brink,” said Gwyneth Borden, executive director of the Golden Gate Restaurant Association.

While the minimum wage will not reach the $15 full fruition for some time, if it is already causing havoc, what does the future hold?

Governor Jerry Brown signed the law raising the state’s minimum wage to $15 by 2022. Specifically, the statewide minimum wage increased from $10 an hour to $10.50 an hour on Jan. 1, 2017, then up to $11 an hour on Jan. 1, 2018.

The Los Angeles basin is getting hit as well, with many restaurants and other businesses escaping to Las Vegas.

Businessman Houman Salem wrote in a op-ed in an LATimes piece entitled:

Leaving for Las Vegas: California’s minimum wage law leaves businesses no choice

Los Angeles County used to have more than 5,000 apparel factories; today, my company is one of roughly 2,000 — and many (e.g. American Apparel) are looking for a way out. One Los Angeles Times headline, quoting a California State University economist, warned that “the exodus has begun.”

If not for the $15 minimum wage, I’d have zero interest in leaving California.

The biggest reason is the minimum wage, which will rise to $15 by 2021 in the county and by 2022 statewide. I write with some hesitancy, because I’m in no way an opponent of higher pay. When you have a company with fewer than 50 employees, you get to know them pretty well and have a genuine concern for them as individuals. But that has to be balanced with concern for keeping your clients, who can always take their business to other countries or states.

Jobs have already been leaving California for a long time now. I guess Governor MoonBeam and the rest of Sacramento decided to just finish it off.

Insanity!

 

 

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About Author

Scott Osborn is a Writer, Preacher, Political activist, as well as the Social Media Director for the TV Comedy Show, The Flipside with Michael Loftus. Scott hosts several radio shows, including the wildly popular “Conover U” starring Rodney Lee & the Preacher..

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