Minimum Wage Letter 2015

In this past Monday's SF Chronicle, March 16th, a front page story
detailed the unforeseen circumstances of the good intentioned wage

increases in Oakland. In summary it details how those business and
their employees that are operating on the margins will be hit the hardest
by the rise in cost: some will close and some will have to lay off
employees and it is not possible to just raise prices for their guests and
clients because just does not work that way. But even more importantly
the proponents of Oakland Measure FF admit that they never
specifically analyzed the impact of this wage increase on all industries.
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March 18, 2015
Ms Debbra Lindo, Administrator

Emery Unified School District
1275 61st St
Emeryville CA, 94608-3096
R E : Strong concerns over the proposed Minimum Wage Ordinance

Dear Ms Lindo,
As you are aware, the City of Emeryville is intent on increasing minimum wage to $14.42 by
July 1, 2015 ~ more than 60% higher than the current minimum wage.
I am writing bcc?fcrsc this will deeply hurt our ability to conduct business in Emeryville. With
my own business, this will increase my labor cost by $300k per year. I would need to increase
prices by almost 20% to break even.
Emery Unified School District will be greatly hurt by this increase!

I l l
* Businesses will be forced to increase prices and reduce our labor in order to break even to
meet this 60% minimum wage increase. This assumes that our business level will stay status quo
and we will continue to get the same volume of patronage from our Emeryville community.
* Customer's will elect to spend their dollars at businesses in neighboring cities, where prices
have not been inflated in order to meet such a high minimum wage, and where service has not
been compromised due to labor reductions. Emervville residents will not be helped bv this
increase in minimum wage. They will now be faced with paving much higher costs for all
products and services.
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* The community will ask themselves: Why buy gas in Emeryville i f I can drive to Albany and
pay less? Why eat a burger in Emeryville, when I can pay less in El Cerrito and get better table
service? Why shop at the mall in Emeryville, or go to a movie in Emeryville, when I can go to a
-f^lose-by city and pay so much less? How will the child care facilities survive from this increase?
* Emeryville has so far enjoyed the advantage of attracting businesses to our City. However,
this steep minimum wage increase will discourage businesses from coming into Emervville, and
will encourage existing businesses to flee. This inflated minimum wage increase is ceding our
former business advantage to our neighboring cities.
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* Businesses will strategically locate just outside the Emeryville borders to take advantage of
the lower labor rates in our neighboring cities, but capture the increased business from | |
Emeryville residents who will venture out of Emeryville to buy lower-priced goods and services.
* This increase will greatly impact the food service industry. Full-service restaurants will not be
able to absorb the hit that this minimum wage increase will impose, so they will not relocate here
and those already here will leave Emeryville. Those who try and stay will consider drastic
changes to their service model such as robotic, mechanized processes in order to cut steep labor.
* Full-service restaurant employees receive hourly pay in addition to tips. Customers will
consider the cost increase and the corresponding tip increase in deciding to not go to full-service
restaurants. Full service restaurants will disproportionately vanish from Emeryville's business
landscape, leaving only fast food restaurants to serve Emeryville's residents.
^ ^
* Most residents of Emeryville do not actually work in Emeryville. The majority of workers in
Emeryville are employees who work here but commute in from other cities. So it is not our own
Emeryville residents who would gain from the increase in minimum wage. But Emeryville
residents will suffer by paying inflated costs within our city for their goods and services.
I stress to you that the City Council of Emeryville is "rushing in"

with their intent toward this magnanimous minimum wage increase,
poised to occur in less than five months!
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* The State of California has just recently raised minimum wage to $9 per hour, with
plan to raise it to $10 on January 1, 2016. ^
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* Why is the City of Emeryville Council imposing itself in front of the State Legislature?
* Currently there exists a bill in State Legislature, SB 3 (Leno), that will increase the
entire State's Minimum Wage to $13.00 per hour. Why doesn't the City of Emeryville wait for
this bill to fulfill itself? What is Emeryville's motive to "rush" though such a steep increase?
* What studies has the City Council conducted to justify an increase of 60%?
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I personally understand what the State of California is doing with respect to State increases in
minimum wage, and how it is designed to meet the day to day needs of the minimum wage
worker. It is in my best interest to pay over the minimum wage in order to keep the best talent,
which keeps the community coming into my store and keeps my workers earning a paycheck.
This proposed increase will hurt the businesses that operate in the city, hurt the residents in the
city, and make the city far less competitive than neighboring cities when attempting to attract
new businesses and amenities for the city's residents.
}
EmeryYiUC PfOPOSllg tO
I am gravely concerned that the schedule by which the City of

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increase 60% in such a short timeframe is vastly out of line. Emeryville's City Council
should reject this drastic and rushed proposal!
The City of Emeryville should instead look to the State legislator as the proper place to consider
an appropriate minimum wage, or provide a longer timeframe for discussion, comments, and
voting on this proposal so that it can be fully and thoughtfully considered and voted on.
No worker should go home worrying about being hungry, but no business owner in our I
Emeryville community should go home worrying about how they will meet the next payroll.
Sincerely,
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cu^--s?^.^w^
Celina Gonzales, [email protected]

Black Bear Diner of Emeryville
1: '
Debbra Open & Read!!!
City of Emeryville proposed Minimum Wage Increase

The time is NOW for City Council to hear from YOU!
\
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Deadline to Object is April 5th (Monday)!

The Business Community within Emeryville needs to come together to oppose this over 60%
Minimum Wage increase. Our deadline to voice our objection - Monday, April 5^^ -- is less
than 15 days awav- We must pull together fast!
We are inviting you to a pre-Council meeting on Wednesday, March 25th to form a collective
voice of Em.erjwiik businesses. Our goal for this meeting is to join together as Business Owners
to create a powerful collective voice on how this extraordinary high minimum wage will impact
our businesses.
March 25th Meeting - 7pii|

EWri^fe'Witnesses Concerned about Minimum Waff'IncreS^
At Four Points Sheraton Hotel, Marina Golden Gate Roonj
J^03 Powell Street
Emeryvillj
We would really appreciate having you join us. It would be helpful i f you can
RSVP by sending me an email to [email protected]. We look forward to
meeting you!
I
Should you be unable to attend the March 25^^ Pre-Council Meeting, do not worry. You are also
invited to attend the real City Council Hearing on April 7^*^ at 6:30 PM in the Emeryville City
Hall. At that meeting you will have three (3) minutes to share your story regarding this
minimum wage hike directly with the Mayor and City Council. It is critically important for us
as business owners to pack the room during this hearing!
Title
Mayor
Vice Mayor
Councilmember
Councilmember
Councilmember
First
Name
Ruth
Nora
Jac
Dianne
Last Name
Arkin
Davis
Asher
Martinez
Email Address
ratkin(a)ci.emervville.ca.us
[email protected]
iasher(a)emervville.orq
dmartinez(2)emeryville.ora
Phone
(510) 596-4376
(510) 596-4376
(510) 596-4376
(510) 596-4376
(510) 596-4376
(510) 596-4376
(510) 596-4376
sdonahue(a)emeryville.ora
Donahue
Scott
[email protected]
Landrith
Sabrina
City Manager
[email protected]
De Guzman
Michelle
Acting Manager
All can be reached at this address: 1333 Park Ave, Emeryville, CA 94608
Press 5
Press 4
press 3
Press 6
Press 7
Press
Press

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In this past Monday's SF Chronicle, March 16th, a front page story

detailed the unforeseen circumstances of the good intentioned wage

j;;siq; pnaj ^snui no^

puisiQ looqos pSTjTun Xjslug

%09 u^qi ^-iW

10 IBjJisnpui UBAU 001saoj/uas 6U!|!B|/\ j a u u n y p B o a o/o

a B e M uinuiiuiiAi inoqe paujaouog

March 18, 2015

Ms Debbra Lindo, Administrator

R E : Strong concerns over the proposed Minimum Wage Ordinance

Emery Unified School District will be greatly hurt by this increase!

I stress to you that the City Council of Emeryville is "rushing in"

I am gravely concerned that the schedule by which the City of

Celina Gonzales, [email protected]

Debbra Open & Read!!!

City of Emeryville proposed Minimum Wage Increase

Deadline to Object is April 5th (Monday)!

March 25th Meeting - 7pii|

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