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Perspective

Apr. 20, 2017

San Diego's experiment with a higher minimum wage

Economists say the restaurant industry is a good barometer for the consequences of minimum wage increases because those businesses rely on low-wage workers, operate on small margins and have high rates of turnover. By Eric Boehm

California's minimum wage increases to $15 an hour by 2023. Meanwhile, San Diego is getting a head start on the state mandated higher wage -- and, maybe, the consequences of it.

Rather than inch upward from $10 per hour to $10.25 per hour in January 2016, as the rest of the state was doing, San Diego jumped its minimum wage to $10.50 in July 2016 and to $11.50 per hour effective January 2017. That amounted to a 12 percent increase over that one-year period, compared to the 1.3 percent i...

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