California to Pay Priciest Minimum Wage—in 2016
Would hit $10 then under new legislation, after bump to $9 in July 2014
By Matt Cantor, Newser User
Posted Sep 13, 2013 2:47 AM CDT
Assemblyman Luis Alejo authored the bill.   (AP Photo/Rich Pedroncelli)

(Newser) – California looks set to adopt the highest minimum wage in the country: $10 an hour. The state Legislature backed the move last night, voting 51-25 in favor of it after the state Senate had approved it 26-11. Gov. Jerry Brown says he'll sign the bill despite earlier concerns, Reuters notes; he was convinced when lawmakers agreed the hike wouldn't take full effect until 2016. "The minimum wage has not kept pace with rising costs," Brown said. "This legislation is overdue and will help families that are struggling in this harsh economy."

The state's minimum wage currently stands at $8; under the bill, it would hit $9 in July of next year and $10 in January 2016. Labor unions backed the minimum wage's first increase in five years, but business groups fought the move, the Los Angeles Times notes. California's Chamber of Commerce, for instance, called it a "job killer"; a GOP state senator said it would hurt "the smaller employer, the mom and pop operation." The current highest minimum wage in the US is in Washington state, where the figure stands at $9.19 per hour.

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Showing 3 of 93 comments
KDickley
Sep 15, 2013 12:10 PM CDT
The "Welfare State" is going to do what? Their population consists of so many freeloaders and illegals, I'm surprised California hasn't sunk into the ocean from the sheer weight of them.
HMD-SMD-ITY
Sep 14, 2013 9:59 PM CDT
There is no reason $15 wouldn't work. My logic is that all businesses would raise prices. Wealthy can already afford it and it would affect most things they buy like luxury cars, mansions, fancy restaurants, private schools, etc. Middle class wouldn't be affected as they already make $20 to $30. The modest increase in retail prices would not be enough to make the $15 wage irrelevant. Rental housing should stay about the same because the people they pay to manage apartments get part of their pay in rent. The non-rent part would go up but not enough to make your $600 apartment be a lot more per month. I can't think of a situation where a $15 wage would hurt so much. Oh, the hotel industry may suffer a tiny bit because they hire illegals to clean rooms. But many of them use stolen social security cards anyway.
Econ_101
Sep 14, 2013 11:28 AM CDT
Attention losers!! I started at the bottom, at 9 cents above the min. Total $ 1.34 an hr. Was drafted, left the service and three years later was self employed in construction. Made my "million" and retired still a poor man. Ah !! I did not make my pile spending it ! I saved it and let it multiply in the stock market. All at min. wages..... Ciao.