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Mar. 16, 2015

Seattle Eateries Are Dying and Minimum Wage Killed Them

It’s just going to be that much harder to get some authentic Seattle salmon. Due to the city’s minimum wage hike that’s set to slam the city April 1 (April Fools!), Seattle restaurants are closing because they can’t pay workers the $15 an hour minimum wage. Seattle Magazine reports, “Washington Restaurant Association’s [Anthony] Anton puts it this way: ‘It’s not a political problem; it’s a math problem.’ He estimates that a common budget breakdown among sustaining Seattle restaurants so far has been the following: 36 percent of funds are devoted to labor, 30 percent to food costs and 30 percent go to everything else (all other operational costs). The remaining 4 percent has been the profit margin, and as a result, in a $700,000 restaurant, he estimates that the average restaurateur in Seattle has been making $28,000 a year.” While restaurants are not the economic lifeblood of any city, a city without good food is tasteless. This is a tangible example of what’s happening to Seattle’s economy with a government-mandated wage. More…

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