Council to Consider Minimum Wage Delay

On January 1, 2019, the minimum wage in Sunnyvale is scheduled to raise from $15.00 per hour to $15.53 per hour. Per the San Jose Mercury News, Sunnyvale and Mountain View are ahead of neighboring cities in raising the minimum wage.

San Jose, Palo Alto, Los Altos and Cupertino will increase their minimum wage rates from $13.50 to $15 in January, Santa Clara from $13 to $15 in January and Milpitas to $15 by July 2019. The statewide rate will jump from $11 to $12 next year and incrementally rise to $15 by 2022. Campbell, Los Gatos, Gilroy, Saratoga and Morgan Hill are following the state’s lead.

In July, City Council voted to consider delaying the scheduled increase to the city’s minimum wage in order to achieve a more consistent minimum wage level with neighboring cities. There is a fear is that businesses may move to cities like Palo Alto or Santa Clara in order to reduce wages.

A vote on the issue has not yet been annuonced, but is expected in September.

Per the San Jose Mercury News:

Although Vice Mayor Larry Klein and council members Gustav Larsson and Nancy Smith expressed support for delaying the next increase for a year, councilmen Russ Melton and Michael Goldman didn’t.

Melton worried about the “pocketbook impact” that delaying the increase would have on the city’s minimum wage earners. He said that for a couple who works full-time, 53 cents an hour can make a difference of roughly $2,200 a year. “On average, that’s a monthly rent in Sunnyvale. I actually think the public interest would be served by having other cities keep apace with Sunnyvale. I would argue that they accelerate instead of Sunnyvale decelerating.”

Russ Melton has a call to action on his Facebook page.

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