Business leaders have sunk to a new low!! When only 6% of the workforce is involved, how cheap can industrial leaders be when raising the minimum wage is considered a 39% increase in expenses. If low-paid workers are responsible for your successful bottom line, pay them.
To borrow one of President Obama’s most irksome phrases, “Let me be clear,” increasing the federal minimum wage to $10.10/hr is to be a starter wage. This is the amount paid to part-time high-school students flipping burgers after school or working at the mall on the weekend. The minimum amount can apply to inexperienced workers entering the job market for the first time. Whether employees work for two hours to buy a CD or a forty-hour week to meet independent life expenses, $10.10/hr is not catapulting them into a life of opportunity. If paying your employees this amount breaks the entrepreneurial bank, maybe it’s time to go work for someone else so both sides of the employment equation can be fully appreciated. Expending pennies on the dollar off profit lines is the cost of being in business.
Logically, reasons not to pass the new minimum wage law are based in a culture of greed. Global moguls who control all facets of the work force will still close some businesses, raise prices and lay off workers whether salaries go up or not.
$10.10/hr is a solvable fundamental rate not an ugly merger of clichés against earned compensation. Business models must plan for across-the-board labor cost increases as their profit levels rise. People aren’t pieces of machinery to be written off like outdated equipment. Small business and corporations spend millions to lobby for taxpayer-funded subsidies, incentives and partnerships and think it is their right to have these dollars. StartUpNY and other high-tech foreign and domestic tax-break programs flood the country with promises of higher pay, yet continue to pay from the top, down. Keeping employees at minimal pay, replacing experience by hiring new and younger for less or stagnating a corporate pay scale is the greatest creator of economic injustice.
It is crucial that America develop a new philosophy between the people and industry. The majority of workers cannot continue to earn nominal wages and subsidize lucrative corporations through tax farming. Pay must be relative to industrial profit. Taxation must be relative to dollars earned, personally and corporately.
That’s a lot of ‘musts’ but they’re strictly my opinion as one of the people living with the mess the economy has become and the future that will result if we do not change something.