TUCSON, Ariz. - Thousands of Arizona workers have gotten a pay raise this month, but not everyone is happy about it.
A 2016 referendum raised the state's minimum wage over a four-year period to $12 an hour in 2020. It's given Arizona one of highest minimum-wage rates in the country, and economists say the so-called "living wage" is having a mixed effect.
Hourly workers at hotels, restaurants and retail stores are making more money, but many business owners cite higher expenses as a result. Economist George Hammond - director of the Eller College of Management at the University of Arizona - says predictions that mandatory wage hikes would cost the state thousands of jobs haven't panned out.
"The employment picture, in terms of jobs, it's not clear that there has been a significant negative impact on employment," says Hammond. "In terms of wages, average hourly earnings - both for leisure and hospitality, and retail - have really accelerated since 2017."
According to the federal Bureau of Labor Statistics, Arizona has added about 224,000 jobs since the end of 2016, and the unemployment rate has dropped to 4.7%.
While the number of jobs in Arizona has increased in the past five years, Hammond says factors other than the minimum wage are driving the labor-market explosion.
"We're seeing that wage growth across most sectors in the economy, so not all of it is being driven by the minimum wage," says Hammond. "Some of it's being driven by the fact that the state's unemployment rate has continued to fall - labor markets are getting tighter and firms are just having to compete overall more for workers."
Hammond says the jury is still out on the long-term effects of increasing the minimum wage - but in the short term, it could be making it more expensive to live in some parts of the state.
"We have seen an uptick in inflation in the Phoenix metro area," says Hammond. "The Consumer Price Index for all items for the Phoenix MSA - we've seen inflation rise from 1.6% in 2016 to 4.2% by 2018."
When Proposition 206 passed, Arizona's minimum wage was $8.05 an hour. It has increased about a dollar a year since then, and future increases will be tied to the inflation rate.
Prop 206 also mandates that most hourly workers get paid sick time.
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Coaches in the Renton School District, just south of Seattle, are organizing with the American Federation of Teachers to fight for what they say are "fair wages" in their first union contract.
Buddy Ryan, head boys track and field coach at Hazen High School, said Renton coaches get paid much less compared with neighboring school districts, which contributes to a 45% turnover rate in coaches from year to year.
"I'm not expecting to go buy a new car off a season of coaching, but I'm not expecting to make minimum wage to be responsible for all these kids," he said. "I think the reality is, a fair wage for a fair day's work is what everybody looks for."
Renton School District has proposed a 2.5% wage increase, far below what the coaches asked for. AFT has said the district has the funds to pay coaches fairly. The district did not respond to a request for comment.
Ryan said the low pay and high turnover rate costs the district more money in training and degrades the quality of the sports programs.
"And then what's the cost to the kids that get a different coach every year? Well, you know what ends up happening? These parents get tired of it and they take their kids to private schools, or they move and transfer them to other schools," he said.
Ryan noted that sports, along with other extracurriculars such as band, are what motivate many kids to keep their grades up in order to participate. He said the district should want to keep the programs strong.
"It's just like when you're a kid at dinner," he said, "and your parents say, 'You've got to eat your vegetables or you don't get dessert.' Well, that dessert is the after-school activities."
Disclosure: American Federation of Teachers of Washington contributes to our fund for reporting on Budget Policy & Priorities, Early Childhood Education, Education, Livable Wages/Working Families. If you would like to help support news in the public interest,
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Nevada groups concerned about affordability, clean air and health care are speaking out against the "One Big Beautiful Bill Act" recently signed by President Donald Trump.
The new law extends tax cuts from 2017, funded partially by huge cuts to Medicaid and SNAP food benefits.
Dr. Joanne Leovy, steering committee chair for the Nevada Clinicians for Climate Action, noted it also ends the tax credit for electric vehicles on Sept. 30, which drives up the price of an EV by $7,500 while promoting the sales of gas-powered vehicles.
"This bill will dump an extra 2.1 billion tons of climate pollution into the atmosphere over the next decade," Leovy pointed out. "Increasing greenhouse gas emissions by about 7% over prior projections; the equivalent of adding more than 400,000 cars to the road."
The new law also cuts tax credits for rooftop solar and energy efficient home upgrades. Backers said the savings were necessary to fund other administration priorities, such as increased funding for immigration enforcement.
Yolanda Kemp, a member of the American Federation of State, County and Municipal Employees Local 4041, said she worries about job losses in the public sector.
"When states, cities, towns, and schools lose essential federal funding, they will be forced to make cuts to their budgets as well, putting all public services and jobs at risk of being cut," Kemp stressed. "And let me tell you, the 'Big, Beautiful Bill' that is supposed to help hardworking Americans is nothing more than another billionaire giveaway paid for by us."
The change to Medicaid and SNAP are not immediate but will be phased in mostly in 2027 and 2028.
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More than 1,100 caregivers at Portland's Providence St. Vincent Medical Center have voted to unionize, joining the Service Employees International Union Local 49.
Hospital staffers, including certified nursing assistants, cooks, lab assistants, pharmacy techs, environmental workers and patient representatives, will soon begin collective bargaining with management over a new work contract.
Finn McCool, senior food service attendant at Providence St. Vincent Medical Center in Portland, said changes to working conditions in the hospital were a major driver to organize.
"There's a lot that makes St. Vincent a great place to work, but we've also seen just tons of changes over the years around staffing and benefits," McCool explained. "My fellow caregivers really knew that jobs were only going to get harder."
The St. Vincent caregivers will join thousands of other unionized workers at Providence hospitals in Oregon, Washington state and other parts of the country. Providence officials released a statement, recognizing the union and saying they were prepared to work with it toward a new contract.
McCool noted the company made several changes to staffing and work policies without feedback from its employees, with changes to the employees' health care benefits causing a major upheaval.
"It's been a recent change to our health care plan with Aetna switching over, and that was probably a very large reason why a lot of us decided to vote yes," McCool pointed out. "We had our own internal health care system. We changed to a different thing. Co-pays changed. Things were definitely a lot harder with increased deductibles."
McCool stressed political uncertainty, particularly in the government's health care policies, was also a significant concern.
"We're seeing a lot of changes going on with the government with cuts, especially right now," McCool observed. "What threatens us is cuts to Medicare and Medicaid. Our CEO said, 'These cuts are threatening the hospital.'"
Disclosure: SEIU Local 49 contributes to our fund for reporting on Livable Wages/Working Families, and Social Justice. If you would like to help support news in the public interest,
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