News Flash: San Francisco Unveils Compromise Living Wage Proposal

In an effort to head off a sweeping living wage initiative in the November election, San Francisco has negotiated an alternative proposal with business and labor groups that would boost wages for thousands of low-paid workers. If the plan is adopted, San Francisco would be the 46th municipality in the nation to require a living wage. The proposal covers private employers with city contracts exceeding $25,000, as well as some nonprofit agencies with city contracts and San Francisco International Airport leaseholders. The plan would require an hourly wage of $9 in the first year and $10 in the second year, with an annual increase of 2.5% thereafter. Covered workers would receive paid vacation and sick days, and would also be entitled to unpaid time off for family emergencies and contributions toward their health coverage.