IFA pledges to continue fighting Seattle ordinance

A federal judge has ruled that locally owned franchisees in Seattle will be required to raise their minimum wage at the same rate as large businesses despite objections from the International Franchise Association.

A Seattle ordinance that takes effect in April requires franchisees and large businesses to raise their minimum wage to $15 an hour by 2017, according to the Seattle Times. Small businesses—defined as those with fewer than 500 employees—have until 2021 to comply.

IFA sued Seattle last year, arguing that locally owned franchisees should be on the same timetable as small businesses. But in a ruling Tuesday, U.S. District Judge Richard A. Jones said franchise owners and association had failed to show the city had intentionally discriminated against them. http://bit.ly/1Lu5RIc

Seattle Mayor Ed Murray issued a statement after the ruling calling it "a great day for Seattle's fast food franchise workers."

"Our actions in Seattle have set the bar high for developing a process to raise wages in a way that works for workers and business," he said. "Rather than investing in lawyers to prevent workers from earning higher wages, it is time for these large businesses to begin investing in a higher minimum wage for their employees." http://bit.ly/1Lu6EsE

However, IFA CEO Steve Caldeira vowed his organization would continue to fight the ordinance.

"The ordinance is clearly discriminatory and would harm hard-working small business owners who happen to be franchisees," he said. "Those who have set out to destroy the long-accepted, time-tested and proven franchise business model must be stopped."http://bit.ly/19zrVAk