The LA Times reports:
Labor leaders, who were among the strongest supporters of the citywide minimum wage increase approved last week by the Los Angeles City Council, are advocating last-minute changes to the law that could create an exemption for companies with unionized workforces. ...
For much of the past eight months, labor activists have argued against special considerations for business owners, such as restaurateurs, who said they would have trouble complying with the mandated pay increase. ...
"I'd refer everyone back to the statements of labor leaders over the past seven months that no one deserves a sub-minimum wage," said Ruben Gonzalez, senior vice president for public policy and political affairs with the Los Angeles Area Chamber of Commerce, which opposed the minimum wage increase passed by the City Council.
So it turns out that the bill is going to be a massive boon for the unions. It raises costs (by a lot) for non-unionized employers. It keeps costs low for unionized employers. By making unionized employers more competitive, it helps grow their work forces, increasing the number of union members paying dues that support inflated union leadership salaries and perks. At the same time, by making non-unionized employers less competitive, it gives them an incentive to cave into organizing campaigns.
In theory, unions are a good thing. In practice, however, they're mostly an economic grag.
So remember this event the next time the unions and their liberal allies tell you how socially beneficial unions are.
