[JumpCrisscross]

> the small guy who is affected the most

The law only applies to the big guys. Ikeda’s isn’t covered; the law only applies to “a restaurant chain of at least 60 establishments nationwide” [1]. It’s a good idea that generalises to e.g. any firm with more than N global employees.

[1] https://www.dir.ca.gov/dlse/Fast-Food-Minimum-Wage-FAQ.htm

[forbiddenvoid]

I'm a huge fan of increasing minimum wage, but this definitely still impacts smaller companies, who have to compete for the same labor pool. Hard to hire people at $15/hr when your competition is hiring them at $20/hr.

[beanjuiceII]

when the law for big guys go up, small guys have to accommodate otherwise they can't find labor

[rahimnathwani]

There are other potential employees available. If there weren't, the price would already have been bid up to $20, without the minimum wage increase.

[SideQuark]

No the price would not have been bid up. The state enacted a price floor, distinctly overruling the market clearing wage.

When two employers pay differently, the better workers leave the lower paying one. The higher paying one has their choice of workers. The lower paying one ends up either lower quality workers.

Compare Costco to Walmart worker quality in the same area. They have the same labor pool. Costco gets better quality workers by paying for them.

[rahimnathwani]

So you're saying because of the prior minimum wage, both large and small employers would pay the same, so they have an equal shot at getting a given employee. But now that McDonald's has been forced to pay more, they naturally get all the best ones?

If so, that makes sense.

[beanjuiceII]

seem ignorant to reality i'm sorry