Open Wide

Posted on March 29, 2012 by

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You probably saw those “Februany” five, five-dollar, five-dollar foot long commercials that the Subway chain was running last month. As it happens, the offer was good everywhere in the USA except San Francisco. Why?

They priced themselves out of it. The city, populated by do-gooders, raised their minimum wage to $10.24 an hour, rendering the business model (to borrow a little Leftist lingo, here) unsustainable.

The sandwich-making chain stopped selling the five-dollar footlongs in San Francisco due to the “high cost of doing business.”

An interesting aspect of the minimum-wage bandwagon is that, while the costs associated with hiring unskilled workers continues to climb, your wages remain relatively flat. Minimum wage guarantees in San Francisco, Oregon, and Washington have skyrocketed in recent years; expect to see similar measures deployed by those businesses that remain in the largely Socialist Pacific states over the coming years.

When Oregon jumped onto the bandwagon a few years ago, I mentioned to a co-worker that it might be time to consider an easier line of work, as over the next decade, minimum wage will equal or exceed what took us a quarter of a century to achieve.
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