The main reluctance to 15$ time as minimum wage increase that amount to cut jobs and / or raise prices.
This request for an increase frightens the main industries where e-s-employee are paid-e-s minimum wage, to know : Trade details, the accommodation and food1 because they fear that their survival depends and must then lay off the employee-s and / or the key under the door.
According to the study2 professors Michael Lynn and Christopher Boone, even when the restaurants raise their prices according to the increase in salaries of their employee-s, there is no significant change in the influx of customers nor in the profit and therefore restorers, not in the number of employee-s. In fact, they even attended greater productivity of these.
Yet according to a study3 conducted in Pennsylvania and New Jersey by professors David Card and Alan Krueger, raising the minimum wage leads to no job losses.
And to finish, according to economic analyst David Cooper4, in fact, increase the minimum wage could even lead to the creation of more jobs and more moderate increase in economic activity.
The argument that the increase in the minimum wage would cause job loss, lost profits or even handicap the overall economy then falls. Austerity or fear of bankruptcy are no longer arguments for denying minimum wage increase.
The importance of the minimum wage increase
According to Philippe Hurteau and Minh Nguyen, Researchers at IRIS, “for a single person living in Montreal, a wage 15.38$ Time is needed [to have a living wage]5“
Indeed, the minimum wage in Quebec 10.55$ does not allow a worker or a worker pursuing his full-time job, meet these needs, even the most basic, because they and they find themselves under the poverty line. The increase in 15$ Time would allow this population of workers and working poor, because that is what he is, to achieve a decent quality of life, viable.
In 2015, work full time to 10.55$ Time equals win 21 944$ per year. The poverty line is at 22 831$ per year (in 2014). With 15$ /h, annual income would shift to 28 800$, barely 6 000$ above the threshold.
This is far from the account if it is found that the 1is May 2016, the minimum wage will increase to 10.75$ /h, either 0.20$ per hour. Apparently, this augmentation (from 1.9%) will be greater than inflation (from 1.5%) but the fact remains that the cost of the market basket increase of 2% and 4%6 in 2016, and this without mentioning energy costs are also increasing, the price of public transport etc..
The number of minimum wage workers in Quebec increased from 163 500 in 1998 at 210 200 in 20147, and, against popular belief, more than half of the employee-s are not student-e-s and work full time. We are witnessing here a significant increase of poor workers who have multiple jobs in order to make ends month and meet their basic needs for their survival.
Workers and working poor
It is indeed a reality today in Quebec. The work is not synonymous with sustainability and even less dignity because it is often synonymous with little holiday and not get sick (with little rest in the amount of leave to which they are entitled and they). We are not even talking about the employee-e-s gratuity which only affects 9.05$ /h (and that will affect 9.20$ the 1is May 2016) and live the vagaries of goodness and influx of e-s-client on their workplace ...
A minimum wage 15$ /h, it's not luxury !
This is just viable !
1 According to the Statistical Institute of Quebec, Ministry of Labor of Quebec (ISQ)
2Have minimum wages increases hurt the restaurant industry? The evidence says NO! Dr.. Michael Lynn and Dr.. Christopher Boone de la Cornell University’s school of Hotel Administration.
3Minimum wages and employment: a case study of Fast Food industry in New Jersey and Pennsylvania professors David Card and Alan Krueger
4Raising the federal minimum wage to $10.10 would lift wages for millions and provide economic boost David Cooper, 19 December 2013
5What is the living wage ? Calculation for Montreal and Quebec 2015 Philippe Hurteau and Minh Nguyen, Researchers at IRIS, april 2015
6 According to Sylvain Charlebois, professor of food distribution and policies of the University of Guelph