The state Legislature is about to increase New York's minimum wage.
But that will not create jobs, nor give people more money.
Assembly Speaker Sheldon Silver released a report to support his call for a higher minimum wage. There were two main points in his report that were particularly bothersome:
1. Raising the minimum wage will not lead to job loss. In 2012, a Cornell study examined what happened when the state raised its minimum wage by $1.60. The result: employment dropped by more than 20 percent for individuals aged 16 to 29 who lacked a high school diploma.
2. The minimum wage should be indexed to inflation. The speaker fails to tell people that he and his colleagues are part of the reason why gas, health insurance, and utilities cost so much.
Instead of raising the minimum wage, New York should cut taxes:
1. New York has the highest gas tax in the country. Let's cut some taxes so we're not on top.
2. New York currently has over $4 billion in taxes on health insurance via the Healthcare Reform Act. Let's cut HCRA taxes so health insurance is affordable.
3. On average, 25 percent of a total utility bill is due to taxes. Let's eliminate the Systems Benefit Charge and the 18A assessment and bring our energy rates in line with national averages.
The reality is that Silver and those who support increasing the minimum wage fail to acknowledge that they are the reason people can't make ends meet. Instead of reducing taxes, eliminating regulations, and fixing outdated laws, many legislators want to take the easy way out by raising the minimum wage.
Brian Sampson is executive director of Unshackle Upstate. He lives in Rochester.
