Living wage makes inroads with council

Medford officials want to take 'good, solid look' at proposal that would set employee pay standard

By JOHN DARLING
for the Mail Tribune

MEDFORD - City Council members want more information on a living wage proposal before they seriously consider it, although several council members already appear to support the controversial ordinance.

The ordinance was proposed by Oregon Action, which spearheaded the September passage of a living wage law in Ashland. The much-debated law mandates that employee wages and benefits total at least $10.75 per hour for city employees and contractors.

Backed by union and church leaders, Oregon Action Chairman Rick Rohde told the council that living wage laws in 73 cities have resulted in increased productivity with "almost no fiscal impact at all." Cities that raised taxes to cover the pay hike stayed within a 1 percent tax increase, he said.

"It's good for workers, it's good for employers, it's good for everyone," said Rohde, adding that many employers in the private sector saw the benefits and "moved up to a living wage" voluntarily.

The council meeting was a study session, with no votes taken. No date was set for a public hearing on the matter.

Most council members cited their duty to provide the most services for the least amount of taxes and said they'd first have to see the fiscal effects documented by staff, then hear whether city residents support the plan.

"We need more numbers and then we need to take a good, solid look at it," said Councilman John Michaels. "I lean against it, but if the numbers pan out and it doesn't have a significant fiscal impact, there's a possibility I could change. But I don't feel raising the bottom line is the answer. I'd rather teach someone to fish than give them fish."

"We're managed by taxpayer's money," said Councilwoman Claudette Moore. "We have to look hard at the fiscal impact and hear from taxpayers. You need to work real hard to get a living wage job in the commercial world."

Councilman Bill Moore said the city should be fair in looking at the proposal. A long-standing federal law mandates that cities must pay prevailing union wages on federally funded construction projects more than $25,000. At $40 an hour, he said, 20 percent can be added to construction costs. "Fairness dictates we listen to the other end of the scale," he added.

Councilman Skip Knight also indicated support for the proposal, noting that "anyone who contracts with the city should pay well above minimum wage."

The Medford-Jackson County Chamber of Commerce board has already voted to oppose the living wage. "We don't believe in prosperity by degree," said Brad Hicks, the chamber's director. "We don't know the fiscal impact on the city and we don't know if we can afford it."

Speaking for Oregon Action, Medford attorney Bill Mansfield said, "A civilized society requires that we pay citizens a civilized wage. We have the philosophical arguments and the high moral ground on this issue. The same tired arguments were used when Congress set the minimum wage in 1938, and the house has not fallen down.

"We've become the most prosperous nation on earth and it's partly because of the minimum wage. Individual workers don't have the bargaining power to get a decent wage and they need the help of governments to get it."

John Darling is a free-lance writer living in Ashland. E-mail him at darling@jeffnet.org 

 

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