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Press Release; Living Wage Laws Reduce Poverty For Urban Families, Study Finds; Benefits of Increased Wages Appear to Outweigh Employment Losses
SAN FRANCISCO, California, March 14, 2002 - A pathbreaking national study finds that although living wage laws reduce employment, they also decrease poverty among urban families. A report released today by the nonpartisan Public Policy Institute of California (PPIC) shows that the substantial pay increases generated by such laws can outweigh job losses among low-income workers - and the net effect is a modest decrease in family poverty.
How Living Wage Laws Affect Low-Wage Workers and Low-Income Families - March 2002, 174 pp.
Since 1994, nearly 40 cities in the United States have passed living wage ordinances. These ordinances mandate that businesses under contract with the city, and in some cases businesses receiving assistance from the city, pay employees a wage sufficient to lift their families out of poverty. This report examines the actual experiences of cities implementing such laws