Skip to main content

View Diary: Warren politely SCHOOLS businessman at Senate hearing who tries to explain wage economics to her (219 comments)

Comment Preferences

  •  I made this point in detail above (2+ / 0-)
    Recommended by:
    jrooth, Sparhawk

    Rutigliano is probably the worst case for the impact of a min wage increase. Most of his employees are servers who earn about $20 an hour in tips. But under Conn law he still has to pay $5.69 per hour plus payroll tax and and unemployment insurance as a minimum wage for his tipped employees. Figure his back of house folks actually work for minimum or not much more so their wages would go up with minimum and you have worst case scenario - highest percentage of costs to labor, nearly all labor paid minimum (but generally earning much more).

    One might argue that Warren was "mansplaining" his business to Rutigliano, who was probably fairly representing the effect on his business. Point is that he is not representative of most businesses, even restaurants, and he was there for exactly that reason.

Subscribe or Donate to support Daily Kos.

Click here for the mobile view of the site