Raising the minimum wage doesn't reduce income inequality – economic growth does
If income inequality is a problem – and there’s no consensus that it is (see here and here) – economic growth is the best way to reduce the disparities. Scott Winship, whose work on this issue has been outstanding, writes at e21: … it is the fragility of the economy that lies behind concerns over […]
January 15 , 2014 - Richard S. Davis
Gov's State of the State: Increase minimum wage, boost education spending, fund transportation package
In his State of the State address yesterday, Gov. Inslee introduced themes likely to resonate through the November elections. Whether they will gain bipartisan approval in the divided Legislature is less probable. The headlines: a minimum wage increase, $200 million in new education funding (including the oft-suspended teacher COLA) paid for with unspecified tax increases, […]
January 13 , 2014 - Richard S. Davis
Activists accelerate push for $15 minimum wage. Economists identify consequences.
Seattle Mayor Ed Murray has named a 23-member task force to make recommendations on a $15 minimum wage for the city. It’s a broad group, with representatives from business and labor, raising speculation that a clean recommendation may be out of reach. Murray acknowledged that consensus between labor and Seattle’s business elite might be difficult […]
January 07 , 2014 - Emily Makings
New brief: The Best Interests of Washington's Workers' Compensation System
Washington continues to have the nation’s highest workers’ compensation benefits, which are accompanied by high costs. In a new policy brief, we look at the factors that make Washington’s system unusual, explain why the Oregon premium rate ranking study is a flawed measure of Washington’s costs, describe the cost drivers of the system, and consider […]
December 30 , 2013 - Emily Makings
The day after tomorrow for public pensions
In the Dec. 23 & 30th issue of the New Yorker, James Surowiecki writes about “deadbeat governments” and public pensions (may be behind the paywall): Pensions are supposed to be dull and reliable. But they’re now the locus of bruising political battles. . . . How did states and cities get into this jam? By […]
December 05 , 2013 - Richard S. Davis
SeaTac-to-Seattle $15 minimum wage march and the renewed national debate
Activists across the country protested for a $15 minimum wage for fast food workers today. Marchers left SeaTac this morning to bring the $15 wage narrowly passed in the airport city to Seattle. For some council members, it won’t be a hard sell. Newly elected socialist city council member Kshama Sawant (CHAH’-mah SAH’-want) says if […]
December 02 , 2013 - Emily Makings
WA average workers' comp rates to increase 2.7 percent
The Department of Labor and Industries has announced that it will increase average workers’ compensation rates by 2.7 percent for 2014 (after two years of no increases). Per the news release, Noting that the 2011 reforms are projected to save approximately $150 million in the fiscal year that ends next July, [Director Joel] Sacks said […]
December 02 , 2013 - Emily Makings
SeaTac and local minimum wage laws
The Wall Street Journal writes about the “patchwork of local wage laws”: A wave of successful state and local initiatives to raise the minimum wage is creating the potential for a greater patchwork of pay standards around the country than ever before, fueling the debate over whether Congress should raise the federal level. Of course, […]
November 07 , 2013 - Richard S. Davis
Special legislative session signals good news for machinists, for Boeing and for the state economy
Gov. Jay Inslee called lawmakers back to Olympia for a special session today designed to secure the Boeing 777X and its carbon fiber wing for Washington state. The proposed legislation complements the agreement reached by Boeing and the Machinists union for an eight-year contract extension assuring continued labor peace and changes benefiting the company and […]
October 24 , 2013 - Emily Makings
State Supreme Court hears public pension arguments
This morning the state Supreme Court heard arguments on the public pension gain sharing and uniform COLA cases. The Department of Retirement Services summarized the issues yesterday: At issue in one case is a law from 2008 which repealed gain sharing provisions for members and retirees of certain state retirement plans and replaced them with […]