| February 10, 2005
OLYMPIA…Sen. Mike Hewitt, R-16th
District, has sponsored Senate Bill 5747 because of
recent news stories reporting that
McDonald’s is outsourcing some of its drive-up window service to North
Dakota.
The bill ties the state’s starting wage to the state’s
unemployment rate. Washington’s minimum wage increases annually, and the
bill slows the starting wage increase until the economy recovers.
“Our state’s minimum wage is actually a starting base for
those just entering the workforce,” Hewitt said. “Minimum wage has always
been designed to give employees experience and skills they need to achieve
higher-paying jobs.
"We have fast-food chains, which traditionally pay minimum
wage, outsourcing their jobs," Hewitt added. "That’s a problem when our
basic starting wage jobs are leaving the state."
The bill links the state’s minimum wage index to unemployment
rates. When Washington’s unemployment rate is below the federal rate, then
the index continues as normal. When the state’s unemployment rate is above
the federal rate, the index is suspended until the state’s unemployment rate
drops below the federal rate. At no time does this bill lower the starting
wage.
“The bill’s concept is that when Washington has jobs
available, the starting wage goes up,” Hewitt said. “However, when we have
high unemployment and people are not working, we should suspend the minimum
wage to help people keep the jobs they have.”
According to news reports, McDonald’s kept all of its employees when it
started to outsource. Hewitt is concerned other fast-food chains will
follow, and they may decide to cut jobs.
“Fast food has historically
been a starting job for our youth where they receive experience and
training,” Hewitt said. “If this trend continues, there will be fewer
starting jobs for our teenagers.”
– 30 –
For
further information contact Bert Mills at (360) 786-7510 or
mills.bert@leg.wa.gov
|