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Thursday, February 19, 2015

$15 per hour grows unemployment in Seattle

Seattle’s $15 minimum wage has claimed its first casualty… and the union-driven, completely arbitrary policy has yet to be implemented. Cascade Designs, an outdoor recreational gear manufacturing company, announced it is moving 100 jobs (20% of the workforce) later this year from Seattle to a new plant it is leasing near Reno, Nevada.

Cascade Designs “manufactures MSR camping stoves, Platypus hydration packs, SeaLine dry bags, and Therma-A-Rest sleeping pads — hundreds of products made by workers in Seattle.” The company has offered some employees positions in Reno, but others must reapply.

Founder John Burroughs and son David Burroughs (Vice Chair) said that Seattle’s $15 minimum wage “nudged them into action.” Burroughs wants to keep production in the United States, though the company does have a plant in Ireland. Burroughs said Seattle’s new minimum wage would “eventually add up to a few million dollars a year.”

The need to expand—an expensive prospect in Seattle—added to Cascade Designs’ decision to move.

published by Shiftwa

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