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Musicians, The Mayor, And The Minimum Wage: East L.A. Rockers Face Quandary

Jonathan Tolliver |
September 4, 2014 | 5:44 p.m. PDT

Staff Reporter

Musicians in Los Angeles’ Council District 13 who depend on side jobs for the bulk of their income could soon find themselves in the middle of a Catch-22.

Mayor Eric Garcetti revealed a plan on Monday to raise the city’s minimum wage to $13.25 an hour by 2017.  District 13, which includes Silverlake, Echo Park, East Hollywood, and Hollywood, is home to some of Los Angeles’ most active music neighborhoods, each featuring an abundance of record labels, music venues, and music festivals. Many indie rock and alternative musicians in the area work low-wage jobs.

For them, the change could be huge.

Glen Martin, Musician (Jonathan Tolliver/Neon Tommy)
Glen Martin, Musician (Jonathan Tolliver/Neon Tommy)
“It’d be great”, says Glen Martin, a singer/guitarist and longtime Hollywood resident. “Probably wouldn’t have to worry about working quite as much. Probably be less hungry for hours; more time to play music.” 

Martin spent years working at a coffee shop in District 13, using his hourly wages and tips to pay for living expenses and equipment costs. He recently moved out of the area in search of lower rent.

While he acknowledges that some businesses will have to raise the price of their goods or services, he sees that as part of standard operating procedure. 

“[Coffee shops] do that all the time. They raise the prices year-to-year. Ten cents. Twenty cents. Sometimes they go back down”. He sees these potential cost increases as a necessary part of a business’s evolution. 

Leron Gubler, President of the Hollywood Chamber of Commerce. (Jonathan Tolliver/Neon Tommy)
Leron Gubler, President of the Hollywood Chamber of Commerce. (Jonathan Tolliver/Neon Tommy)
Leron Gubler, president of the Hollywood Chamber of Commerce, isn’t so sure the wage increase will have a positive effect on small businesses and restaurants, many of which employ a significant number of musicians. While acknowledging that a wage change is in order, he expressed concerns about the scope of the plan. 

“I don’t think anyone would argue that there is a need for some sort of updating of the minimum wage. Without question”, Gubler explained. “But has any thought gone into really where do they come up with these figures to raise it to, and how does that affect a businesses ability to operate?” 

Gubler has seen a number of businesses leave Hollywood for neighboring cities due to what he considers a too-heavy tax burden. Though he acknowledges the reality that the Mayor’s plan is probably headed for passage, he worries that not enough is being done to help District businesses. 

“We would feel much better about this wage increase if we saw that the city was serious about doing something about the gross receipts tax”, he explained. “This is the worst tax system for business ever devised”.

SEE ALSO: Echo Park: More Than Just Making Ends Meet

The University of California, Berkeley Institute for Research on Labor and Employment (IRLE) released a study this month that indicates that the restaurant industry will be most affected by the minimum wage hike.  While restaurant employees will see more raises than those in other industries, they’ll also face the most layoffs. The study indicates that about 1,680 jobs could be lost in the three-year period between now and full implementation. 

Musicians working retail jobs have a slightly better outlook.  Almost 60 percent of retail workers affected by the wage hike will see a raise. That’s a significant portion of a group that tends to receive much lower wages than other sectors do.

Musicians who work for independent shops may have it even better.

Musicians say they could have more time to focus on music if the wage was increased. (Jonathan Tolliver/Neon Tommy)
Musicians say they could have more time to focus on music if the wage was increased. (Jonathan Tolliver/Neon Tommy)
“I don’t think it’ll matter too much here”, said Heath Allan, who works part time at Echo Park’s Blue Bag Records. “The independent stores always start me above minimum wage anyway.”

He allowed that those working for chain stores might see more of an impact, as they are more prone to receive low wages. For those fortunate enough to be employed by Mom and Pops, however, the wage hike is more like a cherry on top.

“I think [the hike] is generally good. This business is resilient enough to deal with any increases.”

Contact Staff Reporter Jonathan Tolliver here and here.



 

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