(Excerpt from Press Release)
SAN JOSE, CA – A group of SJSU students and leaders from five California cities speak out the positive imapct that the $2 minimum wage increase up to $10 in their community.
The positive impact of the $2 increase in the minimum wage has been profound:
• The 40,000 minimum wage workers in San Jose have pumped over $100 million into the local economy since the implementation of Measure D, helping to stimulate the economic growth of Silicon Valley;
• This economic stimulus has helped decrease the unemployment rate since the passage of Measure D, which has dropped in the San Jose metro area from 7.6% in February, 2013 to 5.8% in December, 2013 (the last month available);
• The City of San Jose reports that overall businesses growth is up 4.9% in San Jose, with 84,000 businesses registered at the start of 2014 in comparison to 75,000 in the previous year. In the leisure and hospitality industry, a sector that includes food services, there was a net increase of 4,000 jobs in San Jose in 2013 according to the California Employment Development Department;
• The San Jose Downtown Association reports that businesses grew by 3% in the past year, with the retail sector, which includes restaurants, increasing to 19% of all downtown businesses, up from 15% in 2012;
• Lastly, the US Bureau of Labor Statistics reports that the number of hours worked on average in 2013 in the San Jose metro area is nearly the exact amount as they were in 2012 (36.5 vs. 36.9 hours).
As a result of these positive results, the idea to “raise the wage” has spread to other California cities hoping to repeat what San Jose, as well as San Francisco, has accomplished.