Oakland, Calif. - Alameda County voters could soon decide whether to raise the minimum wage to $30 an hour, and supporters say they are well on their way to getting the measure on the November ballot.
Saru Jayaraman, president of One Fair Wage — a nonprofit advocacy group backing the campaign — says signature gathering has gone better than expected.
"We're turning in nearly double what's needed," Jayaraman said. "The response from voters has been overwhelming. Everywhere we go, young and old, all races, all parts of the county, people are saying the cost of living is way too high."
Jayaraman pointed to the MIT living wage calculator, which she says estimates a worker needs to earn over $40 an hour to survive anywhere in the county — particularly for those with children or dependents.
Supporters are also citing a new study from Movement Economics, an Oakland-based research firm, that used government data and economic modeling to project the impact of a countywide wage increase. The study was reviewed by economists from the Economic Policy Institute and UC Berkeley.
"What they found was that it would be a net positive for the county — about 1,800 new jobs, about $1 billion in net impact on the GDP, $529 million in new tax revenue, and it would give a raise to about one in five workers in the county," Jayaraman said.
For voters worried that a higher minimum wage would drive up prices, Jayaraman says the study addressed that directly.
"It would increase cost by 0.9%, meaning 1% at most, over the length of the phase-in," she said.
The initiative does not propose an overnight jump to $30. Under the measure, large corporations with over $1 billion in revenue would reach the $30 threshold by 2030. Mid-size businesses would have until 2035, and small businesses would have until 2037.
Jayaraman says the extended timeline was developed with input from small businesses in the region, and that resources are available to help employers make the transition.
"We've worked with UC Berkeley School of Business students and professors to create toolkits and training programs for small businesses to show them how to get there over time," she said. "We've created a calculator that allows an employer to put in their menu prices and staffing and figure out how to make the adjustments over time profitably."
As for inflation concerns, Jayaraman says prices have already outpaced wages significantly.
"Prices have already gone up dramatically in the last six years since the pandemic, more dramatically than we've seen in the past 75 years of inflation," she said. "Wages are just trying to catch up right now with the cost of living."
The campaign launched in March. If the signatures are certified, the measure would go before Alameda County voters in November.
The Source: Movement Economics study; interview with One Fair Wage advocacy group, Bay City News