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MINIMUM WAGE

What's the impact?

In November 2020, you could be voting on increasing the minimum wage 77% to $15 an hour. If passed, how could this impact you, your family and your friends? Click for Ballot Language

FAST FACTS:

  • $15/hr raises costs for businesses, which raises costs for consumers.
  • Florida’s starting wage is already 18% higher than the federal minimum wage, and the highest among surrounding states.
  • Prices will increase significantly, having the largest negative impact on Florida’s seniors.
  • This will jeopardize more than 500,000 training wage jobs for young people, seniors and those looking to gain new skills.
  • Minimum wage is the floor. Less than 2% of Florida’s full-time equivalent employees actually earn the minimum wage.
  • Florida could lose more than half a million jobs by 2026.
  • Tipped employees could be moved to a flat rate and not receive tips, substantially reducing their income.
  • An increase of this magnitude will cost businesses $15,000 per employee.
  • An estimated half a million jobs will be lost in Florida.
  • New York City lost over 4,000 jobs after they mandated a $15/hr minimum wage.
  • Maine reversed their $15/hr increase after negative effects on the economy.
  • Over 50% of Americans think minimum wage should be increased, however, not to $15/hr.
  • No state economic impact study has been done to see the effects of a $15/hr minimum wage.
  • Federal Nonpartisan Congressional Budget Office said a $15 minimum wage would be an economic disaster.
  • Click for More Information from FRLA

LOSS OF JOBS

  • Most never thought automation would advance to the level its is at today.  At this point, we already see automation at airports, fast food, super markets, etc. There are already bars in Miami using automated servers, etc. There is no doubt that as technology evolves alongside minimum wage hikes, you will see job cuts.

LOSS OF BENEFITS

  • The people that need it the most will be hurt the most. Individuals making current minimum wage are eligible for benefits such as childcare assistance, housing assistance, etc. If minimum wage skyrockets to $15/hr, entry level employees will make too much to be eligible for for these benefits (if they do not lose their job or have hours cut). They will not receive the benefits they once had and the $15 minimum wage doesn't make up the difference. They will still have less money then at the current minimum wage.

LIVING WAGE

  • What’s the "living wage"? The living wage in Pinellas County is $21 an hour. The living wage in Pinellas County is different from Palm Beach County. Lake City living wage is different from Jacksonville. A blanket wage for the whole state isn't logical. Even if Pinellas County business paid $15 an hour it’s still not a "living wage". Small businesses along the beaches (especially areas like Clearwater Beach) simply cannot afford to pay employees $15 or more an hour.

Frequently Asked Questions from FRLA

FLORIDA’S HOSPITALITY INDUSTRY IS STRONG. WILL $15/HOUR REALLY FORCE ALL BUSINESSES TO CLOSE?
  • All businesses? Certainly not. But in order to keep doors open, business owners will be forced to make changes to accommodate a 77% increase in labor costs. These changes include:
    • Reducing the number of employees
    • Reducing the number of hours employees work
    • Increasing automation in place of employees
    • Increasing costs for customers
    • Replacing tipped employees with hourly employees
    • Eliminating entry-level positions
HOW DO YOU EXPECT WORKERS TO SUPPORT A FAMILY ON $8.46/HOUR?
  • Minimum wage jobs are often entry-level positions, and they therefore earn a training wage. These jobs are designed for those entering the workforce, learning the craft, building skills and opening doors for future opportunities. Through initiative and hard work, most entry-level employees quickly advance beyond the minimum wage.
TIPPED EMPLOYEES IN FLORIDA ONLY MAKE $5.44/HOUR. NO ONE CAN SURVIVE OFF THAT.
  • Most tipped employees earn far more than the minimum wage of $8.46/hour, and many make more than $15/hour. If a mandatory $15/hour minimum wage is passed, businesses will move away from a tipped employee and towards automation or hourly employees.
WHY IS TIPPING/TIP CREDIT IMPORTANT?
  • Many struggle to understand the importance of tipping, and how it actually works. Visit WhyTippingWorks.com to explore the importance of the tipping system. You can also watch an informational video here.

AMENDMENT 2 HURTS YOU - VOTE NO ON 2

Recently, FRLA launched Amendment 2 Hurts You - a campaign of restaurants, hotels and other small businesses in the hospitality industry to fight the $15 mandatory minimum wage. This is a multifaceted campaign involving grassroots, paid media and earned media to drive voters to vote NO on Ballot Amendment 2. With just 64 days until the Election, we need your help. 
 
If you missed the Minimum Wage Task Force Meeting, you can watch the recording here: MEETING
or view the presentation here: PRESENTATION

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