Business owners, CEOs say higher minimum wage good for business
Cleveland, Ohio, October 31, 2006--Business owners, executives and venture capitalists around the nation -- including the states where minimum wage is on the ballot Nov. 7 -- are calling for a higher minimum wage to pay workers fairly, boost business and strengthen the economy.
The statement released today calls for raising the wage floor above $5.15 an hour, noting, "Minimum wage workers have less buying power than minimum wage workers had half a century ago. We cannot build a strong 21st century economy on a 1950s' wage floor."
"As a productivity adviser to major retailers, I've witnessed how inadequate wages can create a vicious cycle of high turnover and low productivity, which is bad for workers and businesses," says Paul Lightfoot, CEO of AL Systems Inc.
Inaugural signers include: Eileen Fisher, chief creative officer, women's apparel company Eileen Fisher; Arnold Hiatt, former CEO, Stride Rite; Robert Glassman, chair, Wainwright Bank; Deborah Nelson, executive director, Social Venture Network; Jeffrey Hollender, president, Seventh Generation, a leading brand of non-toxic household products; Peter Strugatz, CEO, IceStone; Jeff Milchen, co-founder, American Independent Business Alliance; Rink Dickinson, president, Equal Exchange, the nation's largest for-profit fair trade company; Peter Barnes, co-founder, Working Assets; Doug Hammond, president, Relief Resources and co-founder, Business Alliance for Local Living Economies.
Signers from states with a minimum wage increase on the ballot include:
OHIO: Adnan Durrani, president of Condor Ventures and venture partner, Blue Chip Venture Capital, Cincinnati. Mr. Darrani says, "I have found that without exception in the successful ventures we've backed, providing sustainable living wages yielded direct increases in productivity, job satisfaction and especially brand loyalty from customers, thus contributing to higher returns for investors/ shareholders, employees and vendors."
ARIZONA: Rick Keefe, president of R-Galaxy, Tucson. Mr. Keefe says, "Raising the minimum wage is vital because it enriches our entire community, by giving purchasing power to working people who deserve it for their hard day's work."
COLORADO: Marilyn Megenity, owner of the Mercury Cafe, Denver. Ms. Megenity says, "Workers deserve a living wage to allow them to participate in the economy with dignity."
MISSOURI: Lew Prince, co-owner of Vintage Vinyl, St. Louis. Mr. Prince comments, "To business owners I say, take a look at who walks in the door and see if putting an extra $200 a week in the pockets of 10 percent of them is good for your business."
MONTANA: Shalon Hastings, owner of Taco del Sol, Helena. Ms. Hastings says, "We're overdue for a minimum wage increase. It's a sign of respect for our employees and the work they do for us as business owners."
"Investing in employees is the single most important investment that a company can make," says Brian Smith, managing partner of the Blackfoot River Brewing Company in Helena, Montana.
Arnold Hiatt, former CEO of Stride Rite, explains, "In order to create a better tomorrow, we've got to plan responsibly today. Increasing the minimum wage will help the United States create a future with a stable workforce and a strong economy."
The Business Owners and Executives for a Higher Minimum Wage statement appears below, along with inaugural signatories. Sign-ons are continuing through Let Justice Roll, a national partnership of more than 80 organizations working for a higher minimum wage, at http://www.letjusticeroll.org/business-signup.html. Let Justice Roll was initiated by the National Council of Churches USA to seek economic justice for America's working poor and low wage workers.
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Let Justice Roll contact: Betsy Leondar-Wright, Betsy@classmatters.org, 781.648.0630, cell 781.704.4039 NCC News contact: The Rev. Dan Webster, 212.870.2252, dwebster@ncccusa.org
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BUSINESS OWNERS AND EXECUTIVES FOR A HIGHER MINIMUM WAGE
We, the undersigned business owners and executives, support an increase in the minimum wage to benefit workers, business and our economy. We know that a minimum wage of $5.15 an hour is simply not enough for workers to afford necessities for themselves and their families. We know that a fair wage floor is essential to healthy businesses and communities, and enduring economic growth.
We expect an increased minimum wage to provide a boost to local economies. Businesses and communities will benefit as low-wage workers spend their much-needed pay raises at businesses in the neighborhoods where they live and work.
Higher wages benefit business by increasing consumer purchasing power, reducing costly employee turnover, raising productivity, and improving product quality, customer satisfaction and company reputation. In a recent National Consumers League survey, for example, 76 percent of American consumers said "how well a company treats/pays employees influences what they buy."
States that have raised their minimum wages above the inadequate $5.15 federal level have had better employment and small business trends than the other states. Studies by the Fiscal Policy Institute and others show that in states with minimum wages above $5.15, the number of small businesses and the number of small business employees grew more than the other states -- contrary to what critics predicted. Likewise, after the last federal minimum wage increases in 1996 and 1997, the nation experienced lower unemployment, low inflation, robust growth and declining poverty rates.
At $5.15 an hour, today's minimum wage workers have less buying power than minimum wage workers had half a century ago. We cannot build a strong 21st century economy on a 1950s' wage floor. We cannot build a strong 21st century economy when more and more hardworking Americans struggle to make ends meet.
A fair minimum wage shows we value both work and responsible businesses. A fair minimum wage is a sound investment in the future of our communities and our nation.
INAUGURAL SIGNATORIES: (* available to speak with the press)
Kathy Webb Owner, Lilly's Dim Sum, Then Some Little Rock, AR
Michael Alexander* President, Conscious Consulting Inc. Chair, Sedona Economic Development Task Force Sedona, AZ
Margarito Cordero President, Durango Drywall Phoenix, AZ
Rick Keefe* President, R-Galaxy Inc. Tucson, AZ
Trudy Mills Co-Owner, Antigone Books Tucson, AZ
Richard Shapiro* Owner, Richard Shapiro LLC Accounting Firm Scottsdale, AZ
Peter Barnes Co-Founder & Former CEO, Working Assets Point Reyes, CA
Anirvan Chatterjee CEO, BookFinder.Com Berkeley, CA
Bill Denham Owner, Urban Harvest Design and Construction Berkeley, CA
David S. Gast Owner, David S. Gast & Associates, Architects San Francisco, CA
Barry Hermanson Former Owner, Hermanson's Employment Services Berkeley, CA
Deborah Nelson Executive Director, Social Venture Network San Francisco, CA
Mal Warwick Founder & Chairman, Mal Warwick Associates Berkeley, CA
Robert (Andy) Bardwell Owner, Bardwell Consulting Denver, CO
Lalania Carrillo and Faatma Mehrmanesh Co-Owners, Karma Cafe Denver, CO
Linda Franklin Owner, Sew Far Sew Good Tailors Littleton, CO
Ron Gamino* Owner, Gamino Printing Company Denver, CO
Darold Killmer Killmer, Lane and Newman LLP Denver, CO
David Lichtenstein Attorney at Law Denver, CO
Thomas Marquez Pyramid Print and Graphics Denver, CO
Tim Marquez* Owner, The Laughing Bean Denver, CO
Marilyn Megenity* Owner, Mercury Cafe Denver, CO
Doug Naiman* Owner, Aviano Coffee Denver, CO
Dylan Norton Co-Owner, Durango Doughworks Durango, CO
Hugh Pixler Law Offices of Hugh S. Pixler LLC Denver, CO
Jerry Powell Owner, Color Graphix Denver, CO
Barry Roseman Roseman and Kazmierski LLC Denver, CO
Jenni Sonnen Co-Owner, Tesoros LTD Indian Hills, CO
Cherylin Vandergrist Cherylin K. Vandergrist LLC Denver, CO
Stephen Jones Blessman Investor and Member, Social Venture Network Chicago, IL
Gary S. Best President, Best Enterprises Sharon, MA
Bill Densmore Former Senior Vice President, Norton Company Worcester, MA
Rink Dickinson President, Equal Exchange West Bridgewater, MA
Robert A. Glassman Chairman, Wainwright Bank & Trust Co Boston, MA
Steven Grossman President, Grossman Marketing Group Somerville, MA
Doug Hammond* President, Relief Resources Co-Founder, Business Alliance for Local Living Economies Hatfield, MA
Arnold Hiatt* Chairman, Stride Rite Foundation Former Chair & CEO, Stride Rite Corporation Weston, MA
Prakash Laufer Former CEO, Motherwear Inc. Member, Pioneer Valley Business Alliance for Local Living Economies Northampton, MA
Kirsten Poole Owner, Kirsten's Cafe Silver Spring, MD
James F. X. Wellehan President, Lamey-Wellehan Shoes Auburn, ME
Michael Kitchen
Managing Partner, Waking Up (Sweat-Free Clothing) Warren, MI
Michael J. Corgiat President, Keystone Financial Services LLC St. Louis, MO
Lew Prince* Co-Owner, Vintage Vinyl Member, BUILD St. Louis St. Louis, MO
David W. Scott and Aimee L. Sanita* Owners, Circle Tax and Accounting Inc. Kansas City, MO
John Scott* Owner, John Scott Fitness Kansas City, MO
Linda Spitzer
President, IMS-Information Management Solutions Inc. St. Louis, MO
Dayna Baumeister Keystone, Biomicry Guild LLC Helena, MT
Shalon Hastings* Owner, Taco del Sol Helena, MT
Jeff Milchen
Co-Founder, American Independent Business Alliance Bozeman, MT
Brian Smith*
Managing Partner, Blackfoot River Brewing Company Helena, MT
Jane and Donald Gilbert Owners, Gilbert Farm Leland, NC
David Kirkpatrick Founder & Managing Director, SJF Ventures National 2005 Practitioner of the Year, Community Development Venture Capital Alliance Durham, NC
Don Reeves Farm Owner & Policy Consultant Central City, NE
Charles Henderson President, Chuck Roast Equipment Conway, NH
Paul Lightfoot* President & CEO, AL Systems Inc. Rockaway, NJ
Dr. Elizabeth A. Letzler Baldwin, NY
Martin Rothenberg Owner and President, Glottal Enterprises Syracuse, NY
Peter Strugatz* CEO, IceStone LLC Brooklyn, NY
Adnan Durrani* President, Condor Ventures Inc, Stamford, CT Venture Partner, Blue Chip Venture Capital (BCVC) Cincinnati, OH
Warner Mendenhall Owner, The Law Offices of Warner Mendenhall Akron, OH
Joe Mosyjowski Owner, Mosyjowski & Associates Engineers Hartville, OH
Susan Nelson Principal, Improvement Works, LLC Cleveland, OH
Bishop Stephen A. Scott*
CEO, Dr. J.W. Jones Center for Training and Inner-City Development Cincinnati, OH
Steve Hanrahan Owner, Mirador Community Store Portland, OR
Phyllis Combs Owner, Farm Fortune Bed & Breakfast New Cumberland, PA
Danielle Liddic
New Choices/New Options Project Facilitator, West Branch Technology Center Lock Haven, PA
Judy Wicks President, White Dog Cafe Philadelphia, PA
Gwendolyn Young-El
Program Manager, Mental Health Association of South Eastern Pennsylvania Philadelphia, PA
Jeffrey Hollender* President, Seventh Generation Burlington, VT