TCTI: Too Crazy Too Ignore
 Dave Ross
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In this Feb. 13, 2013 photo, President Barack Obama speaks to workers and guests at the Linamar Corporation plant in Arden, N.C. Obama says raising the minimum wage to $9 an hour and tying future increases to inflation will raise the incomes of millions living in poverty and spur job growth. Business groups are not so sure. They complain that boosting the federal rate from $7.25 an hour would discourage employers from hiring new workers, hurting the very people Obama aims to help. (AP Photo/Chuck Burton)

Raise the federal minimum wage to $9!?

BY Dave Ross  on February 14, 2013 @ 5:58 am (Updated: 6:11 am - 2/14/13 )

President Obama is pushing for a $9 federal minimum wage. That worries small business owners - like this restaurant owner in Aubrey Texas, "I have actually a couple choices, close down. The other choice is to increase prices."

One side argues the minimum wage pushes unemployment up, by making workers more expensive. The other side argues it pushes unemployment down by giving workers more to spend. It depends on whether you're looking at people as employees or customers.

But we all need to pause, reach for a bottle of water, take a sip, and relax for a moment.

Because all of us are both employees AND customers.

In Washington State the minimum wage has been indexed to inflation for years, and just hit $9.19. And yes unemployment in Washington State is at about 7.6 percent. Nothing to brag about. But that's the same as the unemployment rate in West Virginia, where the minimum is almost $2 less, it's the same as Tennessee which has no minimum wage, and it's lower than in Georgia where the state minimum wage is only $5.15, but unemployment is about 8.6 percent.

And I think the reason the $9 wage hasn't crippled Washington State is that the $9 ends up being spent pretty quickly at other businesses.

The way I look at it, we all need a place to live, we all gotta eat. And if we can't get it by working, we'll get it from the government, or by moving in with relatives. Which means when wages shrink - government grows, and you're gonna have company in the spare bedroom.

Dave Ross, KIRO Radio Talk Show Host
Dave Ross is co-host of The Ross & Burbank Show on KIRO Radio (weekdays 9-Noon) and never too far from the spotlight.
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Comments (132)


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  • It's me! Ha ha! wrote...
    Yes your Dear Leader wants this
    February 14, 2013 5:26 am
    and will put more business out of business!
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Angry Monkey wrote...
    haha
    February 14, 2013 9:51 am
    What kind of facts and/or figures do you have to support this claim?
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • cigarfan wrote...
    Raising the national minimum wage would be a good start
    February 14, 2013 12:44 pm
    Let's join the 27 EU nations, Israel and Canada and offer a national minimum wage that might not get a family above the poverty line -but would at least help the lowest wage workers!
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • fartforce1 wrote...
    Let them fail!
    February 14, 2013 9:58 am
    If paying people above slavery wages is going to put a company out of business, I say good! A smarter company will do the work. As long as demand exists then another company will step up and takes its place.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • SickofSeattleite wrote...
    except some jobs arn't worth 9.19 an hour
    February 14, 2013 5:32 am
    and some employees are not worth 9.19 an hour either....
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • wsualumn wrote...
    Sick
    February 14, 2013 5:46 am
    And some are worth more than $9.19 an hour.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Country_Dog wrote...
    and those people will be paid more than 9.19
    February 14, 2013 5:52 am
    if the employer sees they produce value in excess of about $12 (since you have to factor in FICA, benefits, and administrative costs of retaining an employee -- including managing payroll).

    Those employees who cannot show up for work on time, keep a pleasant attitude in the service industry, and find ways to continually improve their skills should not have a job.

    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Steinsbu wrote...
    Country_Dog
    February 14, 2013 9:02 am
    I guess then you can pay them woth EBT cards and unemployment benefits. Good thinking!!!!
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • JadeFrog wrote...
    And..
    February 14, 2013 11:21 am
    Those people who are worth more than $9.19 an hour rarely stay in minimum wage jobs for long. This idea that people are supposed to be able to work 40 years and support a family on entry-level positions is hilariously stupid.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Steinsbu wrote...
    SickofSeattleite
    February 14, 2013 9:01 am
    Who says what people are worth? Mr. I'm "sickofseattle"????
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Padre wrote...
    market forces, that's who
    February 14, 2013 10:24 am
    I repeat, market forces, that's who
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • fartforce1 wrote...
    every job is worth 9 and hour,
    February 14, 2013 10:00 am
    you must have an worker problem, not a "what jobs a worth problem."
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Silvervan83 wrote...
    how can you be such a moron
    February 14, 2013 5:33 am
    Comparing Washington to a handfull of states down south is silly to start with. Cost of living in Tennessee, WV, and gorgia is almost half what it is here. I can buy a 3br house on an acre in the suburbs of gorgia for $200,000. That same amount here wouldn't buy you a tool shed on an 1/8 acre.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Steinsbu wrote...
    Silvervan83
    February 14, 2013 9:02 am
    Well said!
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • WiIliam Lawn wrote...
    Silvervan83
    February 14, 2013 9:43 pm
    Well this is Dave Ross you're talking about. You think for a second he's not going to manipulate the facts? Anything to grow government and/or diminish capitalism, he's on board with.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • ron prevost wrote...
    And free bread - and free admission to the games, by Jove.
    February 14, 2013 5:35 am
    Sounds good until you remember this is the same guy who in all seriousness believes that unemployment better stimulates the economy than jobs. ..... And if FEDERAL minimum wages go up to $9, can $11/hr in our state be far behind?

    Of course this means more jobs - in industries producing machines that can replace workers now too expensive for business. And state workers in unemployment offices seeking to find jobs for under skilled people at $9-11 per hour. ..... And, of course, more government employees will be needed to administer unemployment services. ....... All so much better than real jobs.

    Sire, higher wages (and unemployment checks) put more out there to be spent. .. But so does just printing more money. And more money. and.........

    Hey, Dave. just what IS in that bottle you just reached for ???????

    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Paul Kersey wrote...
    appealing to his base
    February 14, 2013 5:42 am
    the uninformed, low skilled, illiterate dependents who keep Democrats in power. These easily manipulated drones will believe that he is doing something for them, as they do not have the capacity to understand that his policies are what enslaves them. It would be amusing if not for the fact that we are the biggest debtor nation in the history of the world and the minimum wage increase will mean nothing once the economic reset occurs, either through devaluation or hyperinflation.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Paul Kersey wrote...
    This from a community organizer
    February 14, 2013 5:44 am
    who has never created a job in his life.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • fartforce1 wrote...
    this was from The Prsident of The United States of America...
    February 14, 2013 10:01 am
    and you need a lesson in respect.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Paul Kersey wrote...
    I have no respect for this grifter
    February 14, 2013 12:58 pm
    nor the dupes who voted for him...and I can't learn a lesson from imbeciles.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Raymong wrote...
    Just sayin.....
    February 14, 2013 5:48 am
    First of all I think this is just a way for the Dems to put more money in the Federal coffers, It has been my experience that when a raise comes so does the higher taxes and less money in the pocket. This is more their heart then caring for the less fortunate. Secondly, I do not believe that the Government should dictate mandatory raises of any kind that is the business of the business's, if you want a raise ask for one, if you don't get one consider your options, like getting a better education to further you career aspects or move to another place willing to pay you more for what you are now doing if that is what you like. Thirdly, greed is prevalent in our society; at every level, a moral precept that we as a nation have set aside to our demise. Just sayin....
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • William Lawn wrote...
    So every time you've gotten a raise you take home less money, Raymong?
    February 14, 2013 2:03 pm
    You people are just too funny.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • MainEvent wrote...
    OH NO it's the end of the world!!!!!!
    February 14, 2013 5:53 am
    Lets all freak out and over-react because the minimum wage is going up to actually help bring families out of poverty.......We cant let this happen! How are the CEO's going to get their enormous bonuses? How are going to increase the wage gap between rich and poor with this kind of progressive policy?!?!?!
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • ron prevost wrote...
    MainEvent - it's not the CEOs who will loose money.
    February 14, 2013 6:16 am
    The Big Three auto makers showed (at least in their hay day) that BIG business can well afford to pay $20-30 per hour AND provide 95% disability, if union required.

    It's the small company or shop that can't afford to pay an employee more than work is worth. ... It's somewhat the same as mowing your lawn. If the kid down the street says he'll do it for $15, you might well say 'go ahead'. ... But if your only offers are from that landscaping company at $60, you just mow it yourself. ....... and no one makes any money.

    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Steinsbu wrote...
    MainEvent
    February 14, 2013 9:06 am
    Lets not forget that the Republicans will just love it. Yeah for the CEO's and the he%l with my life or yours. There has to be a happy medium available.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Raymong wrote...
    WHAT!?
    February 14, 2013 9:47 am
    What in the world makes you think for one second that raising the min.wage is going to take anyone out the poverty?
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • WiIliam Lawn wrote...
    Oh.. you're so smart
    February 14, 2013 9:51 pm
    And how do you plan to actually help bring families out of poverty, when they are unemployed because the small business was forced to lay them off because they don't bring in enough income to support it. But then again, what do you care.... Just turn them into another 99 weeker, sucking off the tax payers. Just do what Obama says, keep nodding you're head, keep looking stupid.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • wsualumn wrote...
    Mixed On This One
    February 14, 2013 6:02 am
    Many minimum wage jobs are entry level jobs. You develop work skills and hopefully work your way onto to better paying jobs. Unfortunately, there are those that aren't going to go beyond minimum wage work due to their limited skills. I look at company like Walmart that pays minimum wage and has the state tax payers subsidize their workers healthcare, while pulling in HUGE profits. Too bad they don't model themselves more like Costco. They don't feel that record profits are the focus. They pay their employees a good wage,offer them a very good benefit package, and don't hit the state tax payers to subsidize any of their employees health care. I always hear how bad minimum wage is. If wages were based on who will work for the least amount of money, we'd have a lot of angry white folks complaining that the system isn't fair because they can't compete with The Hispanics. Just my thoughts. I should soon be hearing from Maple about how I know NOTHING because, as he claims, that I have NEVER worked in the private sector(which isn't true).
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • maplefish wrote...
    WSU
    February 14, 2013 6:27 am
    Great post. I agree with you.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • maplefish wrote...
    And WSU
    February 14, 2013 7:29 am
    I do apologize for my poor choice of words regarding government employees and especially towards your wife. I wasn't targeting her specifically, but it was a cheap shot and I'm sorry. Your wife is an educator and I hold teachers in the highest regard.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Steinsbu wrote...
    WSU
    February 14, 2013 9:08 am
    Well written, thanks
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Raymong wrote...
    see above
    February 14, 2013 9:58 am
    That's the greed factor I spoke of in my eairlier post. The government would not have to pull these shenanigans if the greed factor was not so prevalent.
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • Keitho wrote...
    Hmm
    February 14, 2013 6:09 am
    Check the teen unemployment rate lately? Wonder why its so high?
    { "Thumbs Up":"1","Thumbs Down":"-1" }
  • flipper wrote...
    Teen Unemployment
    February 14, 2013 9:45 am
    Because they're sitting at home on the couch until they're 26 (thanks to Obamacare) sponging off mom and dad?
    { "Thumbs Up":"1","Thumbs Down":"-1" }
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