I remember, as a teenager, I was preparing to get my first "real job" to work after school. I had really big dreams of buying my first car, getting all the clothes my parents wouldn't/couldn't buy, and just spending like there was no tomorrow.
Then, I got a job as a dishwasher at a local diner for minimum wage...
As you can probably guess, those dreams quickly went south, after receiving my first paycheck. I had worked my butt off for two solid weeks, and barely made enough to eat a meal at the place I worked!
Of course, this was a different time. So, I didn't whine and protest about how "unfair" it was. I got a newspaper, looked through the classifieds, and found someone willing to hire me at a higher rate.
Years later, I was managing a different business, when the federal minimum wage increased. Almost immediately, I had to raise our prices to cover not only the extra money I was paying my employees, but the higher cost I had to pay suppliers and vendors for raising their employees salaries as well. When the prices went up, suddenly all the employees were shouting that they needed another raise to cover the cost. Amazingly, no one saw the connection between the cost of living, and the amount they were being paid.
The sad thing is, they still don't.
The minimum wage was never intended to be a "living wage". It wasn't meant for a single mom with three kids to live on, or a father of five to support his family. It's a lower wage for unskilled workers, until they can acquire the experience and education needed to get a better job.
Unfortunately, the only way for people to really learn this, it seems, is to find out the hard way. Just like Seattle is doing right now.
According to recent reports, the city raised its minimum from $9.47 to $11 per hour, only to find no change for the employees. (As I stated in my personal experience, the prices rose at an equal rate, offsetting the raise.) So, they raised it again, to $13 per hour. This time the cost of living jumped dramatically. Suddenly, workers couldn't even afford as much as they used to under the lower rate.
Of course, there are already some Regressives blaming the "greedy" business owners, and screaming for another raise.
No one goes into business to lose money or go bankrupt. In fact, the only reason anyone starts a company, is to make as much money as they can. When the government forces business owners to pay higher wages, that money has to come from somewhere. And, to be "fair", no one ever wants to take a pay cut (including the owners and CEOs of a company). Therefore, the only way to cover higher wages is to either increase prices, or cut jobs and quality.
If you make the cuts, your business is finished, period. So, your only choice is to raise prices and reduce hours/the size of your workforce.
The cold hard truth of the matter is...
Higher wages equal higher prices, less hours to work, and fewer jobs for the poor. (The sector that needs them the most.)
As someone whom was raised in poverty, and has actually been homeless, I'm all for helping the poor, not handing them a living they didn't earn, while punishing those who create jobs and keep America working.
Once again, the Regressives are rallying an idea that sounds good, on an emotional level, but is a total disaster in the bigger picture. Money has to come from somewhere, and you can't demand more, while expecting everyone else to take less
No comments:
Post a Comment