Different cities have very different economies, and that impacts their relative ability to handle a $15 minimum wage, writes Noam Scheiber. A $15 minimum is below 60% of the median wage in affluent cities such as New York and San Francisco, but would be above 70% -- and thus more economically risky -- in cities such as Las Vegas and Miami.
Gravity Payments' 120 workers will be paid at least $70,000 a year under a minimum-wage policy announced -- and funded by -- founder Dan Price. "This is more risky than genius. What happens if they grow from 120 to 1,200? Can you still sustain $70,000 for everyone?" asks Tim Sackett, president of IT staffing firm HRU Technical Resources.
McDonald's global same-store sales rose 0.9% in May, as a 2.5% increase in the Asia Pacific, Middle East and Africa region offset a 1% decline in U.S. sales, the company said Monday. May was McDonald's seventh consecutive month of flat or falling same-store sales at home amid growing competition and changing consumer habits.
As debate grows at the national level on a proposal to raise the minimum wage to $10.10 per hour, states and municipalities are moving forward with their own increases. SurePayroll President Michael Alter advises restaurants to get ready now by taking several steps to prepare for a wage increase, including understanding what it takes to ensure profitability, making good hiring decisions at the outset and investing in workers to decrease turnover.