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Policy Mic: Here's What's Happening 2 Years After This Restaurant Started Paying Workers $15 an Hour

Policy Mic: Here's What's Happening 2 Years After This Restaurant Started Paying Workers $15 an Hour

0 Comment(s) | Posted | by Ian Pajer-Rogers |

From Policy Mic:

by Zeeshan Aleem

Whenever $15 minimum wage laws have been adopted anywhere in the United States, the increase is followed by a predictable course of events: Low-wage workers cheer, while the industries that employ them jeer, warning that their businesses will suffer.

In cities like Seattle and San Francisco, business interests have rallied against increasing the wage floor to $15, arguing that the hike will be devastating for their companies and force them to fire workers. In New York, leaders in the fast-food industry have vehemently opposed an increase of the sector's minimum wage to $15.

But on the outskirts of Detroit, where the minimum wage is $8.15, one fast-food restaurant has been voluntarily paying its workers $15 an hour for two years, and business is thriving.

Moo Cluck Moo was founded by Brian Parker, Harry Moorhouse and Jimmy Schmidt in the spring of 2013. They initially sought to pay above-average wages, and set their base pay at $12. But a few months later, when they saw the Fight for $15 — the national protest movement for a $15 minimum wage as well as stronger union rights — garnering national attention, the owners decided to bump their pay even higher. Since then, employees at their two restaurants in suburban Detroit have been paid a minimum of $15 an hour.

After they raised their workers' wages, Moo Cluck Moo's business didn't go south. The company didn't lay off workers, make their burgers outrageously expensive or find themselves unable to manage costs. Instead, since the increase, the business has grown steadily while keeping employee turnover low. They're turning a profit and expect to open up new locations as early as next year.

Read the full article from Policy Mic.

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