Los Angeles Nonprofits Fear Wage Hike Will Require Program Cuts

Some Los Angeles nonprofits and labor leaders are concered the city’s plan to raise the hourly minimum wage from $9 to $15 by 2020 will lead to program cuts, The Los Angeles Times reports.

Homeboy Industries, a nonprofit that operates a restaurant in City Hall, fears the wage increase will require it to cut 60 to 170 of the transitional jobs it offers through a training program by the time the wage increase reaches the cap.

The city ordinance originally contained a proposal to allow some nonprofits an extra year to comply, but when it was passed, that element was set aside for more discussion.