Conscequences of $15.00/hr Minimum Wage

[wwjd_kilden]

RickyZ just made the point I was going to make : How can you have customers if "most people" barely earn enough to buy milk and bread? (Don't know how much most people do earn compared to the cost of living, but the idea that it affects the economy negatively to raise wages is ridiculous, and the fact that people actually believe it is ... well , incredible )

 

[RickyZ]

If you don't like how much your employer is paying you, go get another job.

The trouble with this answer is that middle class jobs lost in the great recession have been replaced with low class jobs. What was once called the ladder to success is now a lattice, in that more people move sideways instead of up in their search for a living wage.

 

[Persuaded]

Let's review a very basic tenant of the economy:

Rich people don't create jobs, consumers do.

Consumers require pocket money, else they have nothing to spend. If people don't spend there is less demand for products. Rich people do not create jobs to provide products no one is buying.

In the case of the hamburger flipper, more money in his pocket means he buys more hamburgers. The difference in pay is made up thru a greater volume of sales.

Too, poor people rely on government handouts - food stamps, housing vouchers, healthcare that you and I end up paying for... this is why the Walton family, of Walmart and Sam's Club fame, is one of the nation's biggest welfare recipients. Because you and I thru our taxes subsidize their employees.

And let's not forget good old greed. These same companies who claim they can't afford a raise in wages have parked trillions of dollars offshore, where they benefit no one except corporate executives.

Let's take a look at some corporate executives who rail against a living wage:

View attachment 163115

"We can't afford to pay a living wage" is a smokescreen. Bought into by the very people who subsidize those who do not make a living wage.

We have met the enemy, and he is us!

Do you really know how much Walmart pays it employees?
Here in Arkansas I have a friend that makes over $15 per hour at WM just to stock shelves.
When it comes to WM workers getting government benefits, yes some do. Those who are on Social Security who WM hires so they can live a better life. And yes some women with kids get food stamps. But that would be true at $15 per hour.
But WM starts new employees out at $10 per hour and they receive raises every year.
And the fact is that many WM employees are considered "unemployable" by many other companies, but WM will give them a chance to work and improve their life.
Some people are just uneducated, unskilled, or just to lazy to earn a "living wage".

In North Dakota, some WMs are offering over $17 per hour to new employees.


If they raise the minimum wage to $15 per hour, what about the employee who has put in his time andnow makes $15, $16, $17 per hour? That employee will demand and should receive an equal raise.
A raise in minimum wage effects ALL employees.

 

[Willie-T]

I don't like lawyers. They're always trying to mess up things lol.

The world would be a far better place with 85% less lawyers. Almost every politician in office was once a lawyer.

 

[RickyZ]

Do you really know how much Walmart pays it employees?

From Walmart's website:

When these changes go into effect [2/20/26], Walmart’s average full-time hourly wage will be $13.38/hour. The average part-time hourly wage will be $10.58/hour.

 

[Utah]

Someone, not mentioning any names, BLT, didn't answer their one question economics test. Another diversion tactic of, don't give me facts, on full display.

 

[Utah]

Hey, today's my two year anniversary on CC!

Can I get fries with that?

 

[Persuaded]

Hey, today's my two year anniversary on CC!

Can I get fries with that?

Only if you will agree to $15 hour for that Mickie D's fry man.

 

[Oncefallen]

Persuaded touched on this a little bit, but I'll expand on how raising the minimum wage by such a large sum would be catastrophic for not only minimum wage earners, but also for companies that pay more.

I work in the construction industry as a painter and for a decade and a half I have been a foreman / field supervisor. At any given time I can have anywhere from a half dozen to twenty men working under me on multiple projects, in other words I am not only at the top of my field in skill set, but also have good management skills. My job currently pays $17/hr with no benefits since the company is small enough to not get hit with the ACA employer mandate.

Now, if the minimum wage were to be raised to $15/hr, I would be bailing out on my job that requires a high level of skill and responsibility to take one of those minimum wage jobs that would come with benefits since the lost two bucks an hour would be more than offset by the benefits package. All of a sudden those minimum wage, entry level positions that are typically filled either young workers with no employment experience, or persons with less than desirable work histories will suddenly be getting filled by older persons leaving those young or otherwise unemployable persons without work whatsoever.

 

[Persuaded]

Persuaded touched on this a little bit, but I'll expand on how raising the minimum wage by such a large sum would be catastrophic for not only minimum wage earners, but also for companies that pay more.

I work in the construction industry as a painter and for a decade and a half I have been a foreman / field supervisor. At any given time I can have anywhere from a half dozen to twenty men working under me on multiple projects, in other words I am not only at the top of my field in skill set, but also have good management skills. My job currently pays $17/hr with no benefits since the company is small enough to not get hit with the ACA employer mandate.

Now, if the minimum wage were to be raised to $15/hr, I would be bailing out on my job that requires a high level of skill and responsibility to take one of those minimum wage jobs that would come with benefits since the lost two bucks an hour would be more than offset by the benefits package. All of a sudden those minimum wage, entry level positions that are typically filled either young workers with no employment experience, or persons with less than desirable work histories will suddenly be getting filled by older persons leaving those young or otherwise unemployable persons without work whatsoever.

$15 minimum wage is a no win situation for those unskilled/under skilled workers.
The welfare and food stamp roll would explode.

 

[laura_charlotte]

I live in an area where $10/hr is considered a good job. Most hourly workers earn around $9/hr. Only government jobs pay more. If you put the issue of a $15/hr minimum wage on the ballot, it would pass with a huge majority. When you are at the bottom, you don't think about the consequences of your vote until your job is gone. Can you be replaced by a robot?

How many jobs have we already lost to self service check out?

Our average minimum wage is 17.70 here, and generally speaking it hasn't caused nearly the issues in the economy or more specifically in businesses themselves as on your soil. The few times I've worked in America, I wasn't paid by the hour, but monthly, taking in the entire duration of the work experience, the rate was dependent on my qualifications and past experience, from there it fluctuated for all.

It was shocking to see some waiters receive a dismal 3 dollars an hour and survive on tips, so I gave them 40 U.S for the evening because I could see how inadequate the system was. There are so many factors that come into the equation of the economy which are independent of minimum employee pay rate.

 

[Yeraza_Bats]

RickyZ just made the point I was going to make : How can you have customers if "most people" barely earn enough to buy milk and bread? (Don't know how much most people do earn compared to the cost of living, but the idea that it affects the economy negatively to raise wages is ridiculous, and the fact that people actually believe it is ... well , incredible )

The first thing I always think of when I see points like this is, if they raise the minimum wage, companies will raise the price of their merchandies to keep up with the raises in wages, and the only difference is we will be spending larger amounts of money, but still barely able to get that milk and bread : p

Theres gotta be a better solution than just forcing these companies to pay their workers more money.

 

[BraveLittleToaster]

The first thing I always think of when I see points like this is, if they raise the minimum wage, companies will raise the price of their merchandies to keep up with the raises in wages, and the only difference is we will be spending larger amounts of money, but still barely able to get that milk and bread : p

Theres gotta be a better solution than just forcing these companies to pay their workers more money.

As mentioned earlier, minimum wage hikes don't cause significant price increases due to the fact that prices in a developed economy -- like the United States -- are tailored for individuals that earn far more than the minimum wage. You're imagining a scenario where a loaf of bread that ordinarily costs $2.99 would cost $3.49 with a minimum wage increase, but in reality, a modest wage increase would have virtually no effect on inflation. Even a wage increase as drastic as a doubling of the federal minimum (to around $15 per hour), while arguably harmful, wouldn't raise the price of that loaf of bread by more than a few pennies.

A company isn't going to significantly raise prices just because they have to pay their workers more, because upsetting their target demographic would only drive sales down and make things worse for the company.

 

[Willie-T]

Our average minimum wage is 17.70 here, and generally speaking it hasn't caused nearly the issues in the economy or more specifically in businesses themselves as on your soil. The few times I've worked in America, I wasn't paid by the hour, but monthly, taking in the entire duration of the work experience, the rate was dependent on my qualifications and past experience, from there it fluctuated for all.

It was shocking to see some waiters receive a dismal 3 dollars an hour and survive on tips, so I gave them 40 U.S for the evening because I could see how inadequate the system was. There are so many factors that come into the equation of the economy which are independent of minimum employee pay rate.

They saw you coming. LOL

 

[Sirk]

Let's just go ahead and give even more to an entitled generation who many of, don't even deserve the minimum wage they're getting now.

 

[Persuaded]

Our average minimum wage is 17.70 here, and generally speaking it hasn't caused nearly the issues in the economy or more specifically in businesses themselves as on your soil. The few times I've worked in America, I wasn't paid by the hour, but monthly, taking in the entire duration of the work experience, the rate was dependent on my qualifications and past experience, from there it fluctuated for all.

It was shocking to see some waiters receive a dismal 3 dollars an hour and survive on tips, so I gave them 40 U.S for the evening because I could see how inadequate the system was. There are so many factors that come into the equation of the economy which are independent of minimum employee pay rate.

$17.70---------
But what does a Big Mack cost?
Can you buy a gal of milk for $2.99 like I can at Walmart?

 

[renewed_hope]

As mentioned earlier, minimum wage hikes don't cause significant price increases due to the fact that prices in a developed economy -- like the United States -- are tailored for individuals that earn far more than the minimum wage. You're imagining a scenario where a loaf of bread that ordinarily costs $2.99 would cost $3.49 with a minimum wage increase, but in reality, a modest wage increase would have virtually no effect on inflation. Even a wage increase as drastic as a doubling of the federal minimum (to around $15 per hour), while arguably harmful, wouldn't raise the price of that loaf of bread by more than a few pennies.

A company isn't going to significantly raise prices just because they have to pay their workers more, because upsetting their target demographic would only drive sales down and make things worse for the company.

Im going to assume you are right......minimum wage increase would cause items to go up by a few pennies, but those few pennies add up when you attach it to things you buy all the time like milk and eggs. I'll give you a clue on this, whenever you talk about money i can bet you it will have an impact on the economy....they go together like peanut butter and jelly

 

[Yeraza_Bats]

I dunno about all this "it would only go up a few pennies" thing : p I have met people here in my own state from states with a higher minimum wage, states like California and Georgia, who moved here because they couldnt pay their bills in their own state with a minimum wage job : p

My best friend comes from Massachusetts, his father was unemployed at the time they moved here and was collecting unemployment. According to my friend, when they moved here, his father was collecting way more money than they needed due to coming from a state where everything cost more : p

My state may have a low minimum wage, but I have met many people from states with a higher minimum wage, and according to them its much easier here in a state with jobs that pay less, but with a lower cost of living.

 

[Utah]

A company isn't going to significantly raise prices just because they have to pay their workers more, because upsetting their target demographic would only drive sales down and make things worse for the company.

Ever hear of a sales tax? Of course you have. It's a SALES tax, not a PURCHASE tax. Governments impose SALES tax on business owners but who gets stuck with the bill? The consumer! I've spent close to $100,000.00 in my life paying sales tax. That's the price of a modest house in many parts of the country. Doubling minimum wage will have the same long term results, and many more toxic short term results.

 

[BraveLittleToaster]

Ever hear of a sales tax? Of course you have. It's a SALES tax, not a PURCHASE tax. Governments impose SALES tax on business owners but who gets stuck with the bill? The consumer! I've spent close to $100,000.00 in my life paying sales tax. That's the price of a modest house in many parts of the country. Doubling minimum wage will have the same long term results, and many more toxic short term results.

I'm not sure what relevance sales taxes have with the ramifications of a minimum wage increase.