Voodoo Economics and Food for Thought

October 29, 2002

Dear Editor,

The statements of business owners are the latest chorus in a long chant of voodoo economics, as recently reported by Jorge Casuso ("Restaurants Challenge City-Funded Living Wage Study," October 25).

First Santa Monica business owners are claiming that the weak economy is driving them all broke, so we can't have a living wage. Now they report that new businesses are all making so many millions of dollars annually that -- you guessed it -- we can't have a living wage.

The 80 localities around the nation that have passed living wage laws have found that they are an affordable way to bring full-time job-holders out of poverty, reduce government costs for the poor, and improve local economies.

Some folks who are faced with a slight increase in the cost of doing business will say anything. But 120 major economists endorse the City study and the living wage. I'm listening to the unbiased professionals, and I'm voting for Measure JJ.

Johnnie Drimmer
Santa Monica

October 29, 2001

Dear Editor,

For the last three years I have heard so many stories about the living wage issue in Santa Monica. Stories from the Unions, Clergy, Big Business and Small Business. Though this is a very emotional issue, I would like to present "Just the Facts" so that the voters can leave emotion out of it and use these facts to make up their own minds, not be puppets to the story tellers.

FACT: JJ will change the minimum entry-level wage to $12.25 an hour without benefits. FACT: JJ will only cover 1.5 square miles out of 8.3 square miles of Santa Monica.

FACT: All employees in the "zone" including tipped employees (many of whom already make over $20 an hour when you include their tips), entry- level, part time and seasonal workers, and paid internship positions are covered. FACT: Businesses with Union Contracts are exempt.

FACT: The minimum wage rate will be increased annually based on the L.A county Consumer Price Index. FACT: Businesses that suffer a "severe economic hardship" can apply for an exemption to the living wage -- but the City has not developed regulations or standards for hardship exemptions yet.

FACT: There are more than 58 living wages in the United States and NONE delve into the private industry. FACT: Non-profit and charitable organizations have to pay the new wages if they are contracting with the City.

FACT: The City Manager has said that this will cost the City $3 million to implement the first year -- at a time when the City had to cut their budget and now will have to make more cuts due to the decrease of Sales Tax.

Here is some "Food for Thought" while making your educated decision.

1. If the minimum wage increase is so important to their supporters, why aren't they advocating an increase at the State or Federal level? State Senator Sheila Keuhl said, "The living wage barely gets people up to the federal poverty level" -- then why doesn't she take this up to Capitol Hill.

2. If the Unions think it is so important, then why is it written into the law that businesses with a Union Contract are exempt?

3. What happens to the employees of a company whose revenues fall below $5 million a year after they were already receiving the $12.25 and now can go back to $6.75 an hour?

4. What happens to the entry level jobs that teach employees with no skills so they can move up the earning ladder, in addition all the High School kids that rely on a little extra income while they go to school? Businesses will not be able to afford teaching any more.

5. If it is so important then why not make it citywide?

As a resident of 18 years with two children in the Santa Monica Schools, and a small business owner, I hope I have shed some light on this very emotional issue. I hope that you vote your conscience and try to leave emotion out of it. I hope that like me you will vote NO on JJ, but whatever you vote please VOTE!