Minimum wage success in NYC: Worst decline in minimum wage jobs since 9-11

From Jon Miltimore at Foundation for Economic Education:

Data show that following the labor movement’s “Fight for $15” victory, which imposed steep annual increases in mandatory wages for workers, New York City experienced its sharpest decline in restaurant jobs in nearly 20 years…

A New York City Hospitality Alliance survey also showed that three out of four full-service restaurants said they planned to reduce employee hours. Nearly half of those surveyed said they planned to eliminate some job positions in 2019.

In response, New York City council members are trying to shield restaurant employees from “unfair” firings. Labor lawyer Michael J. Lotito, whose firm represents the restaurant industry, told The Times that a “just cause” firing provision for fast food employers “would be a first in the country.”More.

Reality check: The main winner is the robotics industry. But, overall, robotics is only a partial solution for management.

First, there’s the McPathogens problem (you can make employees take sanitary precautions; you can’t force them on customers).

Second, as a computer science prof notes, “Speaking of burger-flipping leading to the loss of jobs, I have been told personally by two McDonald’s managers that the new automated ordering kiosks inside do not replace jobs. In fact, an employee is sometimes assigned to teach customers how to use them. Older customers hate the kiosks. I’d like to see more data on this.”

Third, many venues are not even suited to automation; the mood is wrong.

The most likely long-term outcome is higher prices, hence fewer customers, so fewer jobs. Maybe the unemployed can learn to code. If not, they won’t be able to afford to eat at their former places of employment.

See also: The real reason elitists oppose standardized testing


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