Analytical Memo- Raising California?s Minimum Wage

SITUATION In November 2014, voters approved Measure FF, an initiative that provides annual increases to Oakland?s Minimum Wage based on the Consumer Price Index for urban wage earners and clerical workers residing in the San Francisco-Oakland-San Jose, CA Metropolitan Statistical Area (CPI-W). In light of the 2.5% CPI-W increase from August 2014 to August 2015, on January 1, 2016, Oakland?s Minimum Wage increased to $12.55 per hour. Also, in November 2014, San Francisco voters approved Proposition J, raising the minimum wage to $15.00 by 2018. Six months later, in June 2015, the Los Angeles City Council approved and Mayor Eric Garcetti signed, the Los Angeles Minimum Wage Ordinance, a measure which increases Los Angeles? minimum wage to $15.00 per hour by July 1, 2020. Thereafter, wages will be indexed to inflation. Los Angeles had never set its own minimum wage before, and several City Council members expressed hope that more cities ? and the state of California ? would also adopt higher wage Laws to address economic inequality. Today is the day where Los Angeles said no to poverty,? City Councilman Mike Bonin said. ?Today is the day where Los Angeles said, ?We?re not going to tolerate someone working full time and living below the poverty line. On January 1, 2016 California?s minimum wage became $10.00 per hour. As of March 2016, two initiatives have been proposed for California?s November 2016 statewide ballot. Measure 15-0032: The Fair Wage Act of 2016 would increase the minimum hourly wage to $15.00 by 2021. Measure 15-0105: The Raise California?s Wage and Paid Sick Days Act of 2016 would increase the hourly wage to $15.00 by 2020. In California, if a measure will have a fiscal impact, a fiscal estimate is drafted jointly by the Department of Finance and the Joint Legislative Budget Committee. A Fiscal Impact Statement is available for Measure 15-0032. Your Client?s Concerns With operations throughout California, your client is aware of current efforts to increase California?s minimum wage and has asked you to research potential implications of an hourly wage increase to $15 or more on its business. YOUR TASKS 1. Select a company/client who must comply with California?s minimum wage policy. The company located in Los Angeles. 2. Research and analyze the minimum wage issue. 3. Prepare an Analytical ?Memo to the File? that addresses your client?s concerns. Example on the ?Memo reading? file. 4. Follow the example on the ?Memo Reading? file. (Page 5-6) 5. Prepare and deliver a five-minute briefing to your client. Part I ? Analytical ?Memo to the File? After discussing your client?s request with your boss, your boss advises you to research and analyze the issue and document your work in a ?Memo to the File.? Your one to two-pages ?Memo to the File? should be single spaced, use a 12-point font, use informal documentation, include a reference page (Works Cited), and use the following headings: ? Facts (Background / rationale for memo) ? Issues (Your client?s concerns) ? Applicable Law (What Law/s govern California?s minimum wage?) ? Analysis (Your analysis of the issue) ? Conclusions (Based on your analysis, what can you logically conclude?)

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