TomatoPie wrote:
For subscribers only.
Can you share highlights here?
Remember when we used to argue about the minimum wage on the old board? Now imagine forcing me to make your side of the argument...
Congress recently raised the federal minimum wage to $7.25 an hour by 2009, in the name of helping low-income families escape poverty. But a sobering new report from the New York City-based Center for an Urban Future shows how minimum-wage laws are already hurting the unskilled and inexperienced.
The "Summer Help" study assesses New York City's publicly funded Summer Youth Employment Program (SYEP), which each year matches tens of thousands of young people between the ages of 14 and 21 with employers ranging from the local library to investment banks.
...
Today... the New York program serves 20% fewer young adults than it did in 1999, and last year it turned away 30,000 mostly black and Latino applicants. The report cites minimum wage-increases in the Empire State -- one of 30 states that mandates a minimum higher than the federal floor -- as a factor in the program's decline.
"The higher state minimum wage that went into effect in 2005," writes author David Jason Fischer, "added to the challenge of funding SYEP by increasing the cost per participant, making it difficult to keep SYEP enrollment levels the same without year-over-year budget increases or additional administrative cuts." New York's minimum wage increased once again this year to $7.15 from $6.75, adding another $3.5 million in costs.
The reason the program serves so many fewer people isn't so much the minimum wage as a decline in federal support from $42.5 million in 1999 to $5.4 million last year. (This isn't a partisan issue, by the way; the change was the result of the bipartisan Workforce Investment Act, signed by Clinton, which accounted for a $30 million drop from '99 to '00. Bush and Republican Congresses accounted for the subsequent cuts, but Democrats haven't fought particularly hard for this either.) And the one quote they use is, I'm pretty sure, the only mention of the minwage in the 8 pages of the policy brief.
Again, I think there's a case to be made that a sub-minimum wage is justified for publicly subsidized employment, particularly for part-time or seasonal workers who aren't their families' main breadwinners. But using my work to draw conclusions with which I entirely disagree is pretty scummy. And, needless to say, I wasn't contacted beforehand.
For more detail on how the minimum wage has had pretty much the opposite impact they claim, see:
http://www.fiscalpolicy.org/publication ... an2007.pdf
and
http://www.epinet.org/content.cfm/issueguides_minwage
I sent my response letter in an hour or so ago.