Judge rejects bid by franchises to block new Seattle minimum wage

[Eugene]

Source: Reuters

Judge rejects bid by franchises to block new Seattle minimum wage

BY DANIEL WIESSNER
Wed Mar 18, 2015 1:24pm EDT

(Reuters) - A U.S. judge has denied a business group's bid to block part of a law that will raise Seattle's minimum hourly wage to $15, rejecting claims that it favors independent businesses over franchises.

U.S. District Judge Richard Jones in Seattle on Tuesday said the International Franchise Association had failed to back up its claims that the wage law is discriminatory because it requires franchises like McDonald's and Burger King to phase in the new wage more quickly.

The law, which takes effect April 1, requires businesses in Seattle with more than 500 employees nationwide to raise their minimum wage to $15 by 2018; smaller companies have until 2021.

The franchise association's 2014 lawsuit challenges the law's treatment of franchises as subsidiaries of parent companies, rather than completely separate businesses.

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Read more: http://www.reuters.com/article/2015/03/18/us-minimumwage-seattle-lawsuit-idUSKBN0ME2AQ20150318

[Romeo.lima333]

1. any little thing to screw workers

[Erich Bloodaxe BSN]

2. No doubt it will be appealed, but at least it got pushed up another level so far.

And hopefully puts pressure on the franchisees to push the larger companies to work with them to help keep them afloat by reducing what they have to pay the larger companies.

[cloudbase]

3. International Franchise Association?

Hmmmm, that sounds like a union!