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Lynnwood’s minimum wage push ignores last year’s failure and is repeating the same mistakes again

Like a re-run of Groundhog Day, Lynnwood is once again considering a local minimum wage increase above the statewide rate of $17.13 per hour. According to the Everett Herald, city leaders and activists are restarting discussions on a possible ballot measure that could push the local wage significantly higher. This has come just one year after a similar push failed to gain traction.

City leaders appear determined to ignore clear economic evidence and repeat a policy that has consistently harmed the very workers and small businesses it claims to help.

Last year’s attempt stalled and didn’t qualify for the ballot because of a lack of support from the public. Now, as Lynnwood restarts the conversation, Lynnwood residents need to consider what actually happens when cities layer local minimum wages on top of Washington’s already nation-leading statewide rate.

The University of Washington’s landmark Seattle minimum wage study remains one of the most rigorous examinations of this policy. When Seattle phased in its $15 minimum wage, researchers found that while hourly pay rose for some low-wage workers, hours worked dropped sharply, by 6 to 9 percent. Many workers ended up with lower total earnings because the reduction in hours more than offset the higher wage. Employment growth in low-wage sectors also slowed compared to surrounding areas.

Restaurants and small retailers, major employers in Lynnwood, are especially vulnerable. Higher labor costs lead to menu price increases, reduced staffing, shorter hours, and greater reliance on automation. Many small business owners already operate on razor-thin margins. Forcing them to pay significantly more will cut shift hours, delay hiring, or simply close locations.

Lynnwood’s retail and service sectors have already faced challenges from high taxes, regulation, and the lingering effects of the pandemic. A local minimum wage hike would make the city less competitive with neighboring communities that follow the statewide rate.

The evidence from Seattle, California’s $20 fast-food wage experiment, and other high-minimum-wage jurisdictions is consistent: these policies sound compassionate but deliver modest or negative net benefits for low-wage workers while punishing small businesses. Lynnwood should focus instead on proven strategies, reducing regulatory burdens, controlling taxes, and making the city more attractive for business investment that actually grow opportunity and jobs.

City leaders should reject this latest push for a higher local minimum wage. Lynnwood’s workers and small businesses deserve better than recycled policies that have already failed elsewhere.

 

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