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California’s $15 minimum wage law will result in job losses and accelerate dawn of automation

To watch the interview I did with on this topic on “Squawk Box”, please click on this link: http://tinyurl.com/zaj6lul

This morning, I joined CNBC’s “Squawk Box” Co-Anchor Becky Quick to discuss the new $15 minimum wage law in California and what it will mean for businesses and entry-level workers alike. As I explained to her, jobs will disappear when minimum wage increases make the cost of hiring employees exceed productivity. I also told Quick that raising wages so drastically will price entry-level workers out of jobs and force businesses to automate. The segment is entitled: Waging war on wages: CEO.

On a related note, the Financial Times published on article yesterday entitled, Why robots are coming for US service jobs, which focused on automation and the service jobs it might replace. The writer quoted me as saying that “The fact of the matter is automation is coming. The question is how fast is it coming.”

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