The article reports:
Washington, D.C. will lose thousands of jobs as the district’s plan to raise the minimum wage to $15 goes into effect, while the higher wages will primarily benefit workers in the surrounding suburbs, according to a new report by the city’s chief financial officer.
D.C. Mayor Muriel Bowser spearheaded the effort for a $15 minimum wage, more than double the federal minimum wage of $7.25 an hour. Analysis by the city’s Office of Revenue Analysis, however, says the plan could cost the district 2,500 jobs by 2026, the Washington Times reports.
The district’s minimum wage is currently $11.50 an hour and each year will grow by 70 cents until it reaches $15 in three years. After 2020, the minimum wage will grow based on inflation.
The article explains that the probable impact of the increase in the minimum wage will be to bring more workers into Washington from the neighboring suburbs. This will increase the competition for jobs within the city and make it more difficult for residents of the city to find jobs.
The article concludes:
D.C. passed a measure to raise the minimum wage to $15 for hourly employees in June. Critics immediately castigated the law at the time.
“Unfortunately, it’s employees and small businesses who will pay the tab,” Michael Saltsman, research director of the free market Employment Policies Institute, told the Washington Free Beacon at the time.