Measuring the Employment Impacts of the Living Wage Ordinance in Santa Fe, New Mexico

Abstract

The Bureau of Business and Economic Research has previously examined trends in employment data and survey results in an effort to ascertain the effects of the Living Wage Ordinance on businesses and residents in Santa Fe. In this analysis, BBER compared changes in employment levels and growth rates before and after the ordinance, with Albuquerque as a control region. The present analysis showed that overall employment levels have been unaffected by the Living Wage Ordinance. In contrast to prevailing economic theory, the accommodations and food services sector did comparatively better, while the construction sector was negative, but for uncertain reasons. Other industries such as retail and health care showed negative changes relative to Albuquerque, but not at a statistically significant level.