I saw happen in San Jose, specifically at Jiffy Lube's everyone was juiced they started raising it early, everyone was happy to sign their new employee paperwork. Then 1 person here, 2 people there, they needed to get let go because of the cost, then they had to shuffle employees to the busy stores, that killed the other stores, so now 2-3 locations are closed, and a dozen people are out of a job. And that doesn't just hurt Jiffy Lube, then my route volume goes down, all the other suppliers numbers go down, oil guys, water delivery guys, waste removal guys, everyone is doing less because these oil monkeys that barely graduated high school "deserved" more money.
Similar thing at a couple cafe's I delivered to, they have 5 full-time employees, 5 part-time employees, cost goes up, now they have 4 full-time employees and 2 part-timers. 4 extra people out of work hurts more than 6 people making more.