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Wages rise
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| H&N photo by Andrew Mariman Lashell Larman, 20, makes an espresso drink Friday at the Washburn Way Dutch Brothers. Larman is excited about the minimum wage increase. |
Oregon’s minimum wage now $8.40
By MEGAN DOYLE
H&N Staff Writer
Lashell Larman plans to spend the extra money she’ll receive from a statewide minimum wage increase for bills and school.
“I’m actually excited because of the way the economy is, we haven’t been able to get our raises,” she said.
Larman, 20, works part time at Dutch Bros. Coffee and is a student at Oregon Institute of Technology, where she is studying to become a radiology technician.
Oregon’s hourly minimum wage increased Thursday from $7.95 to $8.40. The law mandates adjustment to reflect a cost-of-living increase defined by the Consumer Price Index.
The CPI increased by 5.4 percent last year. The federal rate will change July 29 from $6.55 per hour to $7.25 per hour.
Several businesses in the area, including fast food restaurants, hotels and motels, will be impacted by the increase. Many say they don’t know how they will afford to pay the higher salaries.
In Klamath County, about 1,295 jobs will be impacted by the state minimum wage increase. A majority, about 47 percent, are in the leisure and hospitality and retail industries, according to information from Oregon Employment Department WorkForce analyst Jan Swander.
In Lake County, there are about 145 minimum-wage jobs, mostly in the same industries as in Klamath County.
Cimarron Motor Inn manager James Fine said he and the inn’s owners are reviewing how the wage increase will impact business. He declined to comment further, but said that it could force layoffs.
‘Bad time for this’
Blondie’s restaurant owner Candi Renn also is worried about how the minimum wage hike will impact her two locations.
“Everybody wants to make a living, I understand that,” she said. “But we as employers can’t afford to give raises when it’s so high.”
She thinks the increase also will discourage businesses from hiring additional staff or increasing existing employees’ hours.
“It’s just a bad time for this,” Renn added. “It’s not going to help the unemployment rate.”
Klamath County’s unemployment rate was slightly higher than 10 percent last month.
Cutting hours
Double C dog training owner JoAnne Carson said the employees she hires are paid just above minimum wage. She said she prepared for the increase by cutting hours in 2008.
“I just always like to pay a little more than minimum wage because it makes them feel better about their job,” she said.
Carson views the minimum wage as a training wage, not one to support a family on. She wishes the state would come up with a training wage to pay employees who have no work experience.
“I’m actually excited because of the way the economy is, we haven’t been able to get our raises,” she said.
Larman, 20, works part time at Dutch Bros. Coffee and is a student at Oregon Institute of Technology, where she is studying to become a radiology technician.
Oregon’s hourly minimum wage increased Thursday from $7.95 to $8.40. The law mandates adjustment to reflect a cost-of-living increase defined by the Consumer Price Index.
The CPI increased by 5.4 percent last year. The federal rate will change July 29 from $6.55 per hour to $7.25 per hour.
Several businesses in the area, including fast food restaurants, hotels and motels, will be impacted by the increase. Many say they don’t know how they will afford to pay the higher salaries.
In Klamath County, about 1,295 jobs will be impacted by the state minimum wage increase. A majority, about 47 percent, are in the leisure and hospitality and retail industries, according to information from Oregon Employment Department WorkForce analyst Jan Swander.
In Lake County, there are about 145 minimum-wage jobs, mostly in the same industries as in Klamath County.
Cimarron Motor Inn manager James Fine said he and the inn’s owners are reviewing how the wage increase will impact business. He declined to comment further, but said that it could force layoffs.
‘Bad time for this’
Blondie’s restaurant owner Candi Renn also is worried about how the minimum wage hike will impact her two locations.
“Everybody wants to make a living, I understand that,” she said. “But we as employers can’t afford to give raises when it’s so high.”
She thinks the increase also will discourage businesses from hiring additional staff or increasing existing employees’ hours.
“It’s just a bad time for this,” Renn added. “It’s not going to help the unemployment rate.”
Klamath County’s unemployment rate was slightly higher than 10 percent last month.
Cutting hours
Double C dog training owner JoAnne Carson said the employees she hires are paid just above minimum wage. She said she prepared for the increase by cutting hours in 2008.
“I just always like to pay a little more than minimum wage because it makes them feel better about their job,” she said.
Carson views the minimum wage as a training wage, not one to support a family on. She wishes the state would come up with a training wage to pay employees who have no work experience.
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Reader Comments
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joe wrote on Jan 3, 2009 11:16 AM:
" what are you going to do with your money sally? im gunna spend it!!!! ugh... "
JR wrote on Jan 3, 2009 11:15 AM:
" I highly agree with Kevin. I will make a little bit less then $20 extra a month. My work has already cut hours, I went from 30+ to now a whopping 10 hours a week. WOOHOO. Im glad that there is no such thing as bills HaHa. I LOVE this town! "
ticked off wrote on Jan 3, 2009 11:09 AM:
" It's only going to cost a business with 50 part time employees another $25,000 a year to pay the increased wages. And what are they going to get for the increase in the price of labor? More work? Better work? If this is about making a living wage, then let's get real and raise the minimum to $25 an hour - people can really live on that. "
Kevin wrote on Jan 3, 2009 9:15 AM:
" Let's do the math, shall we? If one is earning minimum wage, it's safe to assume they are likely working less than 40 hours per week, so for the sake of argument, we'll call it 30 hours per week. At an increase of $0.45, that's an additional $13.50 per week. If you have to lay people off, or cut hours, or even close your doors due to an additional $13.50 per employee per week, perhaps you should rewrite your business plan. This is pretty pathetic. "
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I object wrote on Jan 3, 2009 4:04 PM: