This article has been updated (as of 3/3/17) based on conversations w/ the Albuquerque Chamber of Commerce
Government-mandated price floors are bad public policy. Minimum wages fall into the same category even though they are often popular with those who think wage mandates come with no cost.
But why in the world would the Albuquerque Chamber of Commerce actively support a $9.00/hour minimum wage?
Notably, Albuquerque already has an $8.80 minimum wage, but most areas outside the Rio Grande Corridor are at the currently-mandated $7.50 an hour. This legislation will hurt businesses and low-skilled workers in those areas of the state while barely impacting Albuquerque. It would be better if the Albuquerque Chamber just stayed out as this really doesn’t affect them.
No matter what the motive, too many Republicans who should know better are falling for the deception. SB 386 just passed out of the Senate on a 24-6 vote. That means bipartisan support. Hopefully House Republicans better appreciate the perils of government-wage mandates. They may lose, but at least fight the good fight. As for the Albuquerque Chamber of Commerce, it may be time for members to give their leadership an Economics 101 lesson.
Paul, you have this 100 percent wrong. Why you would blog something as cynical as this? Your blog is way way off base, and arrogant in word and tone. Why do you choose to engage in such a scurrilous attack, when you lack accurate facts? Signed Sherman McCorkle.
As much as I have for years (35) had the opinion that government can do nothing right regarding economic growth (except reduce taxes and regulation), I am reminded of the saying “keep your friends close and your enemies closer”.
I am tired of always being on the defense as a business owner in this state. The Republican party will never be an effective force in NM, partially because of its inabiltiy to act when in power but mainly because of our culture.
The business community needs to come together with our enemies and agree on somethng related to labor laws but negotiate in a pre-exemption to keep every city and county from going it alone. If we do not come to the table with ideas, I assure you the left will and it will not be pretty.
A former CPA told me “the government will always be your partner, get used to it.” We need to keep that partner as silent as possible.
Preemption would be great. I don’t think the Democrats would go for anything that would be effective. What incentive do they have? They expect to have the run of the place in two years.
There are a number of tacit assumptions people make when they advocate minimum wage laws. All these assumptions are wrong. For example, the law of supply and demand illustrated above is abrogated by minimum wage laws because Government is God. The “government is God” assumption also means that people can consume more than they produce: just pass a law.
A more pernicious, real world tacit assumption is that poverty is caused by evil-dirty bastard-exploiting employers who don’t pay “enough.” After all, who goes to jail if I work for $5 an hour, me or the employer?
This assumption rests on another false assumption: employers pay the wages. That one is REAL tough for the Government is God crowd.
If we are trying to attract business to move to New Mexico, a big assumption on my part, higher minimum wage laws do not send the right message to the evil-dirty bastard exploiters.
NM is fast becoming a socialist third world state. It is difficult not to become discouraged when a State, so mired in poverty thinks raising wages on employers will improve the overall economy when tax policy and regulations are the problem. We never learn.