In the policy world, there are carrots, and there are sticks. Washington, D.C. officials are hoping that the carrot approach will entice local businesses to pay their employees fairer wages.
It’s called the Living Wage Certification Program. In D.C., if you do business with the government, it’s the law to pay employees a “living wage” — currently set at $14.50 an hour. Under a forthcoming program, however, small businesses that choose to pay a living wage will be certified as Living Wage Businesses, giving them a boost among District shoppers who vote with their wallets.
The idea is to reward businesses that do right by their employees with publicity and promotion, similar to how a Fair Trade label carries cachet among some consumers. But as the District moves toward implementing the certification program, many questions remain — including how to define a living wage.
Continue reading Next City here, courtesy of Rachel Kaufman.