HorsesAss.Org

  • Home
  • About HA
  • Advertise
  • Archives
  • Donate

Economist Dean Baker: Uber, Lyft “Get Rich by Finding Clever Ways to Evade Regulations”

by Goldy — Monday, 6/23/14, 3:31 pm

I suppose I’ve had a hard time articulating exactly why I’m so irritated at the way Uber, Lyft, and Sidecar have been allowed to bully their way into the Seattle market. But fortunately, economist Dean Baker does a much better job:

If Uber and Lyft force a re-examination and modernization of taxi regulation in San Francisco and elsewhere, they will have provided a valuable public service. However it can’t possibly make sense to have a stringent set of regulations for traditional cabs, while allowing Uber and Lyft to ignore them just because customers order these services on the Internet.

If we go the route of ending the requirement that taxies need medallions, there is also the question of what we do about the sunk costs for people like my cab driver, who is currently out $250,000 from buying a medallion. On the current path, these medallion owners will just be out of luck. Their life savings will be made worthless by young kids who are better at evading regulations than immigrant cab drivers; so much for the American Dream.

It is worth considering this issue in light of the larger issue of the growing inequality we have seen over the last three decades. Uber, like Amazon, has allowed a small number of people to become extremely rich by evading regulations and/or taxes that apply to their middle class competitors. Amazon and other Internet-based retailers have used their tax advantage to put tens of thousands brick and mortar stores out of business.

This is a pretty simple story. In a country where rules are enforced or not enforced to benefit the rich and screw the middle class, you will have increasing inequality and a middle class that is seeing few of the benefits of economic growth.

What we are witnessing is a giant transfer of wealth from tens of thousands of mostly middle class medallion owners nationwide into the pockets of a handful of clever, law-evading entrepreneurs and their venture capitalists. Uber’s gambit that local governments would not crack down on its illegal operations has paid off handsomely—it now enjoys an implicit market capitalization of $17 billion.

“This is not supposed to happen in a market economy,” says Baker:

To encourage efficiency, we would want a proper set of regulations and taxes and have them apply equally to everyone. The point is to encourage people to make profits by providing better products or lower cost services, not to get rich by finding clever ways to evade regulations.

There’s much more to Baker’s piece, and you really should read the whole thing.

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print

Lo and Behold: the Most Incredibly Credulous Pro-Business Seattle Times Op-Ed Piece Ever!

by Goldy — Monday, 6/23/14, 11:39 am

The best thing about the Seattle Times hiring Erik Smith, is that finally there’s somebody on the paper’s editorial board with the courage to give a voice to Seattle’s downtrodden business community:

A rare voice on minimum wage

Howard Behar, former president of Starbucks, explains why he supports a referendum campaign that would send Seattle’s minimum-wage ordinance to the ballot.

That’s Smith’s column and kicker. Really. Because there is nothing rarer in American politics than the voice of a rich white guy.

Seattle’s business community didn’t put up much of a fight when the City Council passed its highest-in-the-country $15 minimum-wage ordinance this month — at least not the united opposition that might be expected in a city of lesser size.

Um, there’s a difference between not putting up much of a fight, and losing. And they didn’t completely lose, either. No, Seattle’s business community didn’t win a permanent tip credit or “total compensation”, or the lower $12 minimum wage for which many business leaders belatedly fought. But they did get what amounts to an eleven-year phase-in before all Seattle workers will earn the inflation-adjusted equivalent of about $14.50 an hour in cash take-home pay in the year 2025.

But at long last, Howard Behar has had it with that talk of “sticking it to the man.”

“First of all, it’s not just the man anymore,” he says. “It’s the man and the woman. But is that what we think this is about? We’re trying to get somebody?”

Well then, he should stop watching re-runs of The Mod Squad, because I’m not sure I’ve heard anybody actually use that phrase since the early 1970s. I mean, I love “the man” as an apt metaphor for the way society actual works, but then, I’m old. I’m over fifty. “Sticking it to the man” is about as much a part of modern American parlance as “groovy” or “the cat’s pajamas.”

And no, $15 was not about “trying to get somebody.” It was about trying to get somebody a living wage. The rhetorical focus was always on the plight of the working poor. That’s why fast food workers became the symbol of the movement.

If anyone is the man, it is Behar. He is the former president of Starbucks, the Seattle-based coffeehouse chain with more than 20,000 outlets worldwide. Though Starbucks is one of the world’s most recognizable brand names, it was not vilified during the campaign by union organizers and political activists in the same way as favorite corporate targets McDonald’s and Wal-Mart.

So wait. Behar is “the man”…? And nobody talked about “sticking it” to him…? Now I’m just confused.

The company prides itself on the fact that it pays a bit more than the current minimum wage, provides health insurance for its employees and recently implemented a college tuition benefit.

Starbucks baristas average less than $9 an hour nationwide, only 42 percent of employees are actually covered by Starbucks’ health insurance (less than Walmart!), and it turns out the company’s much ballyhooed tuition benefit program isn’t all that much of a benefit. Starbucks is far from the worst company in the world to work for, but it isn’t a charity.

Yet, with a corporate headquarters about a mile from Seattle City Hall, the company is affected by the raised minimum wage as clearly as the smallest espresso hut along Highway 99.

And your point is… what? Starbucks should get a volume discount?

In criticizing the Seattle plan, Behar is not speaking for the chain he helped build from 28 stores before his retirement as president in 2007 — his only direct financial interest in Starbucks is the one share of stock he keeps framed on the wall.

No, he’s speaking for his class. I’m no Marxist, but this is clearly a class struggle. And as multi-billionaire investor Warren Buffett famously said: “There’s class warfare, all right, but it’s my class, the rich class, that’s making war, and we’re winning.”

A lifetime spent in business tells him the Seattle plan will hurt the low-wage earners it aims to help by raising the cost of living, and driving light manufacturing and distribution jobs beyond the city limits.

Ah, he’s just looking out for the little people. God bless him.

But while I don’t dismiss Behar’s business acumen, there just isn’t any data to support the claim that minimum wage hikes—even massive ones—have a substantial impact on employment.

That is why he is a major contributor to Forward Seattle, the organization gathering signatures to place a referendum on the November ballot to undo the ordinance. Behar agrees the wage should rise, but says the city ought to phase it in over a much longer period of time, perhaps at twice the rate of inflation until $15 is reached, for businesses of all sizes, uniformly.

So let’s do the math. Assuming our current annual inflation rate of about 1.75 percent (and that may be on the high side), it would take 14 years—not until the year 2028—before workers finally earned $15 an hour. But by then, $15 would only be worth about $11.78 in 2014 dollars. So in real dollars, Behar is proposing a $2.46 an hour raise phased in over a decade and a half.

Behar’s voice is important because so few in Seattle’s big-business circles have been willing to say a word. In smaller cities, small business dominates the Rotary clubs and the chambers. The silence from many Seattle-based business organizations reflects the fact that this is a regional headquarters city for so many large corporations. Some shrug — they pay more than minimum wage — and by taking a stand in Seattle they could bring picket lines elsewhere in the country.

You’re kidding, right? Twelve of the 21 non-elected members of Mayor Ed Murray’s Income Inequality Committee represented business, including the Seattle Chamber of Commerce, the Seattle Hotel Association, Nucor Steel, and Space Needle owner/hotelier Howard Wright. Alaska Airlines and the car rental, lodging, and restaurant industry spent a record $227 per vote in their failed attempt to defeat SeaTac’s $15 minimum wage initiative at the polls! The International Franchise Association is spending $1,000 an hour to file ridiculous lawsuits in an effort to bully other cities from moving forward. You call that silence?

“Business leaders are scared to death,” Behar says. “Because you know in today’s world what happens when they speak up? They are accused of being greedy, they are accused of not caring about people.”

Oh, boo fucking hoo! Workers are scared to death of being fired for attempting to unionize, but Behar is scared that some people might say he’s mean? Talk about asymmetry.

Behar calls the Seattle plan unjust and immoral — some reasons familiar, others not.

“Unjust and immoral?” You mean like paying somebody a poverty wage? You mean like the service industry practice of denying workers more than 29.5 hours a week so that they don’t qualify for benefits? You mean like the wage and tip theft that is rampant in the industry?

The Seattle plan will require big companies, chains and franchisees to raise wages faster than mom-and-pop operations, the idea being that big corporations can afford it. Franchisees are, of course, small-business owners themselves, a fact the Seattle ordinance ignores. And Behar notes that in a chain, each store is considered a stand-alone business and each is expected to turn a profit.

So, either Seattle chain outlets will raise prices in Seattle, just like mom-and-pop stores will — or, perhaps worse, they might allow that store in Cincinnati to subsidize the one in Seattle, and keep prices low until shakier independent merchants close their doors.

My god, when will America wake up to the holocaust that is befalling our nation’s persecuted big businesses? If only they had unlimited financial resources to buy high priced lobbyists, expensive advertising, and credulous editorial boards to defend their interests.

And, while the proposition was sold with the idea of reducing income inequality, the shock on the local economy will mean higher prices for things bought locally — buying power of a higher minimum wage is reduced.

So first we’re told we’re supposed to heed Behar’s warnings due to his “lifetime spent in business,” and then he throws this incredible piece of economic bullshit at us? Does he think we’re stupid?

If labor was the only cost of doing business, this argument might largely hold true. But of course, it’s not. Labor is about a third of the cost of a Big Mac. So if the entire cost of raising the minimum wage were passed on to McDonald’s consumers (and it won’t be), you’re looking at about a 19 percent price hike over the same period of time McDonald’s workers see their wages rise 56 percent.

Low-wage workers clearly come out ahead. And that’s just with burgers. The inflationary pressure won’t be zero, but big monthly expenses like electricity, utilities, cable, phone, and of course housing will see little direct impact from a hike in the minimum wage.

Behar says a proposition with such a dramatic effect on the city ought to bypass a council where special-interest groups hold sway. “The idea this got a fair hearing is garbage. Labor was going out the back door and business was sitting in the lobby.”

Again… you’re fucking kidding me, right? Is he really making the argument that corporate money doesn’t have enough influence in politics? That if Behar were still president of Starbucks, the mayor and every council member save Socialist Kshama Sawant wouldn’t take his phone call in New York minute?

The vilification of big business to promote an unworkable economic ideal hits him in the gut: “If we are a just society, we treat everybody the same.”

First of all, perhaps some people vilify big business leaders as “greedy” and “not caring about people” because capital-as-victim narratives like this make them come off as greedy and not caring about people? Just a thought.

Second, if Behar is really advocating for a “just society,” one in which we “treat everybody the same,” perhaps he should start with reforming Washington State’s most regressive tax system in nation? This is a system in which the bottom 20 percent of earners (you know, Starbucks baristas) pay 16.9 percent of their income in state and local taxes, whereas the wealthiest 1 percent (you know, Howard Behar) pay only 2.8 percent.

Does this sound like a just society in which we treat everybody the same? Of course not. And yet Behar has chosen to use his voice to champion the moneyed interests that benefit most from the status quo.

In a city where no one has spoken for big business on the issue, Behar does seem to be the man.

No one except all the big businesses I mentioned, and of course, the Seattle Times editorial board. Relentlessly. But nice attempt at an emotional bookend, Erik.

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print

Open Thread 6/23

by Carl Ballard — Monday, 6/23/14, 8:01 am

– Will the Supreme Court Ignore the Evidence? Facts vs. Beliefs in the Hobby Lobby Case

– The Spokesman-Review should probably do a better job of getting pictures.

– Let’s Build The Ballard Spur!

– I honestly couldn’t have told you who was the Seattle School District Superintendent, but now he might be leaving.

– My Real Change vendor keeps asking me to go to his church, but this is neat too.

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print

Coming Soon: Sunday Street View Contest

by Lee — Sunday, 6/22/14, 12:00 pm

Last week’s Bird’s Eye View Contest was won by ChefJoe. It was Pocatello, ID.

As I mentioned last week, that was the final Bird’s Eye Contest. Last week, it was announced that my company is being acquired by the HERE group within Nokia. Up until now, this weekly contest was never about promoting a particular technology or mapping service, but since I’ll soon be working for one, that’s the one I’ll be using. HERE’s maps do not have the aerial views that I’ve used for this contest up until now, but it does have a large set of street views.

So starting next week, I’m planning to set up this contest as a ‘Street View’ contest, where instead of an aerial view, you’ll have to guess the location of a street view from HERE.

One aspect of the previous contest I’d like to continue is the rotation between random locations, single-state random locations, and locations related to news events. I may need to think through some other aspects of how this’ll work, so please let me know your thoughts in the comments.

As always, thanks for playing and making this a fun contest every week.

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print

HA Bible Study: Deuteronomy 22:13-21

by Goldy — Sunday, 6/22/14, 6:00 am

Deuteronomy 22:13-21
If a man takes a wife and, after lying with her, dislikes her and slanders her and gives her a bad name, saying, “I married this woman, but when I approached her, I did not find proof of her virginity,” then the girl’s father and mother shall bring proof that she was a virgin to the town elders at the gate.  The girl’s father will say to the elders, “I gave my daughter in marriage to this man, but he dislikes her.  Now he has slandered her and said, ‘I did not find your daughter to be a virgin.’ But here is the proof of my daughter’s virginity.” Then her parents shall display the cloth before the elders of the town, 18 and the elders shall take the man and punish him. They shall fine him a hundred shekels of silver, and give them to the girl’s father, because this man has given an Israelite virgin a bad name. She shall continue to be his wife; he must not divorce her as long as he lives.

If, however, the charge is true and no proof of the girl’s virginity can be found, she shall be brought to the door of her father’s house and there the men of her town shall stone her to death.

Discuss.

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print

Friday Night Multimedia Extravaganza!

by Darryl — Saturday, 6/21/14, 1:28 am

Rick Perry sets the record straight on homosexuality.

Matt Binder: The Conservative strategy to lower school gun violence…don’t count ’em.

Seattle comic Derek Sheen does San Francisco.

Gov. Walker’s Investigated for Crimes:

  • Ed: Walker’s troubles.
  • Chris Hayes: Gov. Scott Walker (R-WI) accused of ‘criminal fundraising scheme’
  • Ed and Pap: Gov. Scott Walker (R-WI) won’t do well in the Pokey.

Jimmy Dore on George Will’s idiotic comments.

Mental Floss: 29 weird museums.

Maddow: Why the GOP sucks.

Chris Hayes: ObamaCare is winning.

Sam Seder and Cliff Schecter: What does Cantor’s loss mean for Mitch McConnell?

Quagmire Accomplished:

  • Ann Telnaes: Dick Cheney forgets his own failed foreign policies.
  • Thom and Howard Dean on those who got Iraq wrong.
  • Young Turks: You will not BELIEVE what Glenn Beck says.
  • Sam Seder: Glenn Beck says that, ‘Liberals were right on Iraq.
  • Pap and RFK Jr.: How idiotic warhawks destroyed Iraq.
  • Stephen welcomes back The Iraq Pack
  • Sam Seder: Megyn Kelly calls out Darth Cheney
  • Ann Telnaes: Bush’s squawking chickenhawks:

  • Michael Brooks: Here comes the Clown Car
  • Mark Fiore: Create your own Caliphate!
  • WaPo: The Sunni-Shiite divide explained.
  • Thom and Pap: If it’s Sunday, meet the Chickenhawk Republicans…
  • WaPo: The politics of Iraq
  • Joy Reid: The Bushie murderers are slithering out of their snake holes
  • David Pakman: Even Pat Robertson says the Bush Administration sold us a bill of goods on Iraq.
  • Ari: What should the U.S. do about Bush’s mess?
  • Young Turks: Finally a reporter challenges Darth Cheney…Megyn?!?
  • Sam Seder: What’s really behind the success of ISIS in Iraq?
  • Michael Brooks: Reporter who lied about WMD now calls for media accountability on Iraq
  • Ann Telnaes: Tony Blair is barking up the wrong tree.
  • Sam Seder: Poor warhawks…U.S. and Iran share common interests in Iraq.

John Oliver chats with Stephen Hawking.

Some things Obama wants to protect.

Alex Wagner: Texas Gov. Rick Perry is intellectually unqualified to be President!

Jon can’t believe that Republicans are willfully blind on climate change.

Full Interview with Bill Gates on the Common Core (27:53).

Jimmy Dori interviews Bill O’Reilly.

Benghazi Derangement Syndrome:

  • David Pakman: Benghazi suspect says anti-Muslim video WAS a factor
  • Young Turks: Benghazi suspect caught…FAUX sees conspiracy
  • Sam Seder: FAUX suggests that Obama captured Benghazi attack ringleader to promote Hillary Clinton’s book.
  • David Pakman: Right Wing conspiracy theories about Benghazi capture EXPLODE
  • Sharpton: Heritage Foundation’s Benghazi conspiracy theory panel’s Islamophobic delusions
  • Conan: FAUX News interviews Hillary on her book Benghazi.
  • Young Turks: The guy who did Benghazi was freed by BUSH…silence from the Wingnuts
  • Benghazi conspiracy panel attacks Muslim student

Young Turks: Washington R******s looses their trademark protection.

PsychoSuperMom: How far to the right is right enough?:

Eric Cantor sets off Brian Schweitzer’s gaydar.

Richard Fowler: Another nail in the coffin for Texas women’s rights.

WaPo: Who is Josh Earnest?

White House: West Wing Week.

Stephen does Jay Carney.

Last week’s Friday Night Multimedia Extravaganza can be found here.

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print

Seems Responsible

by Carl Ballard — Friday, 6/20/14, 8:00 pm

Oh hey, Clint Didier is still running for office. This time it’s for Congress from Eastern Washington. And his campaign is giving away guns (Tri-City Herald link). Because sure.

Supporters must submit their names, ZIP codes and email addresses at Didier’s website to get updates from his campaign.

The winners of the guns — two pistols and a military-style rifle — will be randomly chosen. The contest allows people to civilly show support for the Second Amendment at a time when it is being threatened, Didier told the Herald.

“All these shootings are occurring at gun-free zones by individuals on some type of drugs with mental issues,” Didier said. “The guns are not pulling the trigger, the people are pulling the trigger. These gun-free zones are enticing people to go to these areas to do these terrible deeds.”

[…]

The prizes are two Ruger 2300 LC9 pistols and a DB-15 S rifle, including a 30-round clip with ammunition, Didier’s website said. He will give away the guns when he reaches 10,000 “likes” on his Facebook page or followers on Twitter, or July 4, whichever comes sooner.

The winners will have to follow all laws — including being of legal age and going through a background check — to claim their prizes, Didier said.

I had originally read Joel Connelley’s piece that doesn’t include reference to background checks, but when I asked the campaign about it, their spokesperson Larry Stickney* directed me to the longer piece on the Herald.

When I asked how a background check would weed out people on drugs or “with mental issues” he didn’t respond. It seems like the maybe not the greatest plan to give a potential murder weapon to some random stranger because they were nice enough to give you their name, email address, and zip code, even if they are able to pass a background check.

[Read more…]

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print

$15 Minimum Wage Blowback: Seattle Hotels Sell for Record Price Despite Rising Wages

by Goldy — Friday, 6/20/14, 6:40 pm

Remember how opponents warned that a $15 minimum wage would surely cost the city thousands of jobs, hurting the exact same low-wage workers the ordinance was intended to help? Well, in Seattle’s booming hospitality industry, not so much:

The former Red Lion Hotel in downtown Seattle sold Thursday for $130.7 million, or nearly $410,000 a room, the highest price ever paid in the metro area, according to hotel experts.

But the record price for the 319-room hotel, now known as Motif Seattle, could quickly be surpassed by the pending sale of the 120-room Hotel 1000: Two groups are buying it for $63 million or about $525,000 a room, according to a report this week in The Wall Street Journal, which didn’t identify its sources.

“It is the highest price paid (per key) ever for a hotel in Washington state,” said Chris Burdett, senior vice president of CBRE Hotels in Seattle, which was not involved in the transaction.

The record-price deals for downtown Seattle hotels are the latest good news for a surging hotel market that’s kicked off a wave of new construction. Downtown Seattle has roughly 12,000 hotel rooms; the construction of R.C. Hedreen’s mega-convention hotel and smaller hotels could add another 3,000 rooms to the inventory.

Wait. I thought the $15 minimum wage was supposed to destroy capitalism as we know it. And yet in the immediate wake of its passage, investors continue to sink hundreds of millions of dollars into an industry that is one of the city’s largest employers of low-wage workers. I’m so confused!

And it’s not just here in Seattle. Just weeks after SeaTac voters passed their $15 minimum wage, Cedarbrook Lodge, one of the initiative’s most vocal opponents, announced a $16 million 67-room expansion. It’s like the industry’s mouth is saying one thing while its money is saying something entirely else. Weird.

I can only conclude one of two things. Either paying hotel housekeepers and other low-wage workers $15 an hour won’t squeeze all the profits out of Seattle’s labor-intensive hotel industry, or all the smart capitalists investing hundreds of millions of dollars into our soon-to-be-living-wage hotel industry are in fact incredibly stupid.

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print

Franchise Association’s ERISA Claim Just as Ridiculous as the Rest of Its Hilarious Lawsuit

by Goldy — Friday, 6/20/14, 11:26 am

The International Franchise Association’s hilarious lawsuit challenging the constitutionality of Seattle’s $15 minimum wage ordinance prompted instant ridicule from actual lawyers. “Crazy talk,” laughed labor and employment attorney Dmitri Iglitzin. “Frivolous,” scoffed University of Washington School of Law lecturer David Ziff. “Bonkers,” wrote Ian Millhiser, the Senior Constitutional Policy Analyst at the Center for American Progress Action Fund.

But while most of the suit’s claims were based on absurdly broad constitutional reaches (like alleging that impinging on a business’s profits would violate its First Amendment right to commercial speech), there was one claim that gave some attorneys pause—that the slower phase-in schedules for businesses providing health benefits were preempted by the federal Employee Retirement Income Security Act (ERISA). It’s not that the attorneys thought the claim had any merit, just that ERISA is an incredibly complex area of the law in which none of them had particular expertise.

Well in fact, there is plenty of relevant case law on this issue, and not surprisingly it turns out that the IFA’s ERISA claim is just as frivolous as the rest of its ridiculous suit. From Ironworkers Dist. Council of the Pacific Northwest v. Woodland Park Zoo Planning & Development:

We agree with the attorney general opinion that the prevailing wage statute does not require employers to establish benefit programs or make benefit contributions. The respondents concede, both in their briefing and at oral argument, that an employer can satisfy the statute by making cash payments in lieu of benefits. Because J.A. Jones ‘s preemption holding was based on the faulty premise that the statute requires employers to make ERISA contributions and to make them at a certain level, we do not adopt it. Rather, we follow other jurisdictions that hold that ERISA does not preempt prevailing wage statutes similar to Washington’s, which consider the amount of usual benefits in computing the total prevailing wage, but do not require that employers actually make such contributions. See Associated Builders & Contractors, Saginaw Valley Area Chapter v. Perry, 115 F.3d 386 (6th Cir.1997); Burgio & Campofelice, Inc. v. NYS Dep’t of Labor, 107 F.3d 1000 (2d Cir.1997); WSB Electric v. Curry, 88 F.3d 788 (9th Cir.1996), cert. denied, 519 U.S. 1109, 117 S.Ct. 945, 136 L.Ed.2d 834 (1997); Minnesota Chapter of Assoc. Builders & Contractors v. Minnesota Dep’t of Labor & Indus., 47 F.3d 975 (8th Cir.1995); Keystone Chapter, Assoc. Builders & Contractors v. Foley, 37 F.3d 945 (3d Cir.1994).

Each of these cases hold that prevailing wage statutes that consider the amount of usual benefits but do not require the establishment of benefit programs or benefit payments are not preempted by ERISA because they regulate wages, not benefits. Wages are a traditional subject of state concern and are not within ERISA’s coverage. Massachusetts v. Morash, 490 U.S. 107, 118, 109 S.Ct. 1668, 1674–75, 104 L.Ed.2d 98 (1989). Like the prevailing wage statutes in the above cases, Washington’s statute does not prescribe the type of benefit plans or amount of contributions. Nor does it impose any sort of administrative burden on ERISA plans. Most importantly, the employer can comply with the prevailing wage statute without any ERISA plan whatsoever. Accordingly, applying the Travelers analysis, we conclude that the prevailing wage statute does not “relate to” any employee benefit plans because Congress did not intend that ERISA control state wage regulation and the prevailing wage statute does not have an impermissible effect on ERISA plans.

That’s a lot of federal case law the Washington State Court of Appeals cites, and it all concludes the same thing: “Congress did not intend that ERISA control state wage regulation.” And while the above case deals with prevailing wage law rather than minimum wage law, the issues raised in the IFA suit are entirely analogous. IFA claims that the ordinance is preempted by ERISA because it “relates to” employee benefit plans, but the courts have repeatedly ruled that such wage statutes do not.

Minimum wage critics love to disparage “burger flippers” as unworthy of earning a livable wage, yet they have no qualms about paying attorneys $1,000 an hour to file a ridiculous lawsuit like this. Amazing.

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print

Open Thread 6/19

by Carl Ballard — Thursday, 6/19/14, 5:12 pm

– On Monday my computer was acting up, so we had a later in the day Open Thread, today I’m just acting up (ie, I didn’t prep enough earlier) and we have an afternoon Open Thread. Any preference if it’s morning or evening on Mondays and Thursdays?

– I don’t know if it’s sad or saaaaaaaaaaaaaaaad that his polling firm is still trying to unskew the polls on Eric Cantor’s race.

– Women in the Workplace: Bryant Corner Café and Bakery

– One of my favorite things about the Internet is when people who don’t share my obsessions do something. This piece about how Fox News would cover The Marvel Universe is great even as a non-comics guy.

– Report: Obama Can Act to Reduce Inequality for Women, Minorities

– A lot of sports try to sell the economic benefits to a place rather than the cultural ones. And most of the time that’s bunk. If you care about the fact that the US Open is coming to the area next year, I’d think what it says about us is more interesting than the potential dollars. But Emmett tries to sort it out.

– We break it Obama owns it

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print

More Good Wishes from My New Fox Friend, Tom

by Goldy — Thursday, 6/19/14, 3:05 pm

How freaked out are the wingnuts at the prospect of gay-loving, pot-smoking, $15-minimum-wage-paying Sodoms and Gomorrahs like Seattle and San Francisco economically out-competing the gun-toting, free-market-loving regions of the country? Via email, my new friend Tom explains:

Looking at the election returns, few patriotic Americans remain on the Left Coast, and their relative numbers will be further reduced by the current influx of illegals occasioned by the feckless narcissist squatting in the Oval Office. Granted, the loss of even one human (by definition, this term excludes ‘progressives’) is to be grievously mourned, yet such would be more than offset by the social, financial, health and security advances inevitably following the extermination of the leftist scum and their fellow travelers. Damn shame there is no virus which specifically vectors those defectives with the survival-adverse gene mutation causing liberalism. Then again, perhaps Michael Savage is correct in his claim it is a mental disease and thus treatable. In either event, there is an immediate need for a cure if America is to survive.

Out of courtesy, I’ll keep Tom’s full name and email address to myself (along with the names of the online gun forums on which he frequently deals firearms). But that is some seriously fucked up shit.

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print

What Do Critics Fear Most About Seattle’s $15 Minimum Wage? That It Will Succeed!

by Goldy — Thursday, 6/19/14, 11:50 am

You know, what the headline says. Really.

No doubt there are local business owners who genuinely fear for their own profit margins, but nationally, this is an ideological conflict. And if the economies of cities like Seattle and San Francisco continue to thrive despite imposing the highest minimum wage in the nation, it would strike a substantial blow against free market dogma.

No, just because a $15 minimum wage works here in Seattle doesn’t mean it’s appropriate for Yakima. But this is about more than just the minimum wage. This about undermining the deregulatory, low-tax, supply-side orthodoxy that has guided US economic policy since the Reagan administration, and that has played a major role in creating the crisis of income inequality we face today.

It’s also about being proven right or wrong. And everybody hates to be proven wrong.

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print

If Philly Gets It’s Own Space Needle, I’m Heading Home!*

by Goldy — Thursday, 6/19/14, 8:37 am

Skyspire

SOURCE: US THRILLRIDES

Finally, I can move back to Philadelphia!

PHL Local Gaming — one of the five contenders for that ever elusive casino license in Philadelphia — has announced a potential new feature for its LoSo Entertainment Center: a 615-foot-tall Skyspire with rooftop restaurant and observation deck, both of which would be reached by gondola. The tower would be designed to look much like Seattle’s Space Needle, though it would be 10 feet taller (take that, Seattle!).

Except for the casino part, it sounds great.* Though personally, rather than the Skyspire, I would opt for the Polercoaster, which instead of those stupid gondolas would wrap the tower with a 615-foot vertical roller coaster!

* Note: Not really.

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print

Welcome, Fox News Wingnuts!

by Goldy — Wednesday, 6/18/14, 11:44 pm

I did an interview with Fox News about Seattle’s $15 an hour minimum wage, which of course is bringing a lot of new readers to HA. For example, Tom, who via email, goes out of his way to establish himself as an Old Testament Christian. Genesis 18-19, to be exact.

Here’s hoping the next earthquake, or better yet, wild fire, will wipe out everything within 50 miles of the existing coast …. If it should, I promise to celebrate even more joyfully than I did the death of the Chappaquiddick swim champ – toasting it with a grin on my face, a song in my heart and an appropriately delightful aged single malt I can savor in my memory for years as I recall the pleasure taken in the demise of the vile scum infesting this Republic.

Not sure what you have against the Olympic Peninsula, but hey, thanks for the constructive criticism, Tom!

As for the rest of my new Fox friends, please feel free to use this post as an open thread in which to wish death and/or destruction on us freedom-hating liberals.

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print

What To Cut

by Carl Ballard — Wednesday, 6/18/14, 5:16 pm

In a press release about the budget forecast there’s, a paragraph about McCleary where Representative Terry Nealey says:

“The demands by the state Supreme Court for the Legislature to meet educational funding requirements under the McCleary decision will likely lead for new calls during the 2015 session to raise taxes. That would be devastating to our state’s economy. The correct course of action is to fund education first within the budget and let the economy heal by resisting job-killing tax increases. If we stay the course, Washington’s citizens will have more job opportunities, our state will reap the benefits of higher revenue, and we will be able to meet our constitutional requirements as it relates to education.”

This is a broader press release about how the revenue forecast increased $157 million for the biennium. But we’re billions behind. As long as 2 billion or so is more than 157 million, we’re not just going to be able to grow out of our problems.

But I will meet Rep Nealy part of the way: Yes raising taxes can have a deleterious effect on the economy. That’s true. But what the GOP never acknowledges is that so does cutting government services. So I would like to hear how the state could cut the difference between what grew or what the state can expect to grow and what’s needed to fulfill the McCleary obligations. Because suddenly making massive cuts to social services will also affect the economy in a negative way.

Hell, even the largely mythical wringing efficiencies from the government or cuts to wages and pensions would hurt the economy as it would mean less money being pumped into the economy. Government spending drives the economy in its way. Obviously, when we have a balanced budget, those efficiencies are generally balanced out by the taxes that have to be paid to fund them. But that’s the point: we’re going to have to look at spending and at taxes if we want to fix McCleary without doing too much damage to the economy. And since we’ve been mostly cutting in the past years, it may be time for more taxes.

Share:

  • Facebook
  • Reddit
  • LinkedIn
  • Email
  • Print
  • « Previous Page
  • 1
  • …
  • 236
  • 237
  • 238
  • 239
  • 240
  • …
  • 1038
  • Next Page »

Recent HA Brilliance…

  • Friday Night Multimedia Extravaganza! Friday, 6/6/25
  • Monday Open Thread Friday, 6/6/25
  • Wednesday! Wednesday, 6/4/25
  • Drinking Liberally — Seattle Tuesday, 6/3/25
  • If it’s Monday, It’s Open Thread. Monday, 6/2/25
  • Friday Night Multimedia Extravaganza! Friday, 5/30/25
  • Friday Open Thread Friday, 5/30/25
  • Wednesday Open Thread Wednesday, 5/28/25
  • Drinking Liberally — Seattle Tuesday, 5/27/25
  • Friday Night Multimedia Extravaganza! Friday, 5/23/25

Tweets from @GoldyHA

I no longer use Twitter because, you know, Elon is a fascist. But I do post occasionally to BlueSky @goldyha.bsky.social

From the Cesspool…

  • Roger Rabbit on Friday Night Multimedia Extravaganza!
  • Roger Rabbit on Friday Night Multimedia Extravaganza!
  • EvergreenRailfan on Friday Night Multimedia Extravaganza!
  • Elijah Dominic McDotcom on Friday Night Multimedia Extravaganza!
  • Roger Rabbit on Friday Night Multimedia Extravaganza!
  • Roger Rabbit on Friday Night Multimedia Extravaganza!
  • EvergreenRailfan on Friday Night Multimedia Extravaganza!
  • Roger Rabbit on Friday Night Multimedia Extravaganza!
  • Roger Rabbit on Friday Night Multimedia Extravaganza!
  • Roger Rabbit on Friday Night Multimedia Extravaganza!

Please Donate

Currency:

Amount:

Archives

Can’t Bring Yourself to Type the Word “Ass”?

Eager to share our brilliant political commentary and blunt media criticism, but too genteel to link to horsesass.org? Well, good news, ladies: we also answer to HASeattle.com, because, you know, whatever. You're welcome!

Search HA

Follow Goldy

[iire_social_icons]

HA Commenting Policy

It may be hard to believe from the vile nature of the threads, but yes, we have a commenting policy. Comments containing libel, copyright violations, spam, blatant sock puppetry, and deliberate off-topic trolling are all strictly prohibited, and may be deleted on an entirely arbitrary, sporadic, and selective basis. And repeat offenders may be banned! This is my blog. Life isn’t fair.

© 2004–2025, All rights reserved worldwide. Except for the comment threads. Because fuck those guys. So there.