Seattle Restaurants Cope with Higher Minimum Wage

6 Min Read By Carl Dombek

Several cities in the U.S. have raised the minimum wage paid within their city limits beyond the federal or state minimum wage, and others are considering following suit. With more than half of the country’s minimum wage workforce employed in occupations related to food service and preparation, the restaurant industry could arguably be the industry where the effects of a higher minimum wage will be felt most profoundly.

How will the industry deal with the changes on the horizon?

Actions taken by restaurants in Seattle, Wash., may prove instructive, or cautionary. Seattle’s $15 minimum wage, currently one of the highest in the nation, took effect January 1 for employers with more than 500 workers, which includes many of the city’s restaurant chains. Smaller employers will be phased in over the next few years. In most other areas of the state of Washington, the minimum wage is $11 per hour.

To compensate for those higher personnel costs, the city’s restauranteurs are combining…