why do company's always try to fight minimum wage?

Question

i just read an article on how california, is rasing their minimum wage, and how big corporations, and labor unions are fighting it, and i wonder why they would fight something that would help out working class people? are they just being greedy or are they just not sympathtic to their workers?

Answer 1

The secret, unknown war going on is that of the working class people fighting to keep jobs, against the upper management of corporations making more than they are worth.

The workers can't fight back very well, so they keep losing out to the upper management who have things their way.

They bought the elected officials through soft money political contributions.

Upper management usually makes most of their income through special arrangements where they buy stock in their company cheaper than the general public ( it's called stock options).

They want the working class to drop into the poverty class, so they fight wherever they can to keep the minimum wage very low.

Nobody can live in these times at the minimum wage level.

Minimum wage should be around $20.00 an hour.

If it was, the upper management of corporations would see profits disappear, thus their stocks would lose and they would take big losses.

Would economic collapse be the answer for killing off the corporate executives?

Or, is it better to get them gigantic reward through the manipulation of the worker?

Answer 2

One word: GREED.

The minimum wage hasn't been raised in 10 years, so it hasn't kept up with the cost of living. In fact, it's below poverty level. Greedy employers trying to maximize their profits make employees work for as little as possible and don't even feel guilty that they're taking home 50 times as much without doing one bit more work (probably less in fact). Worse yet, some don't provide benefits, so these unfortunate workers have to pay $150 a month or more for insurance when they can barely afford food and shelter. I'm sure some employers would pay less than minimum wage, maybe only a dollar or two a day, if there were no minimum wage. This is worse than slavery. Slave owners at least provided food, clothing, and shelter for their slaves. Today's employers just send them home exhausted without enough money to pay their bills. I'm not condoning slavery, just saying we need the minimum wage law to keep workers out of sub-slavery and sub-poverty conditions.

Answer 3

The jobs that pay minimum wage are usually for unskilled labor, so training new employees because of rutnover is not very costly.
Sales - Costs = Profit

If you sell something for $50 and it costs $25 to manufacture, then you keep $25 in your pocket.
If you sell the same product for $50, but it now costs you $35 to manf the same product because of higher wages then you only keep $15.

You can still make $25 by raising your prices to $60. But your competitor in Nevada's costs are still $25 and they can still sell the product for $50. As a consumer, would you buy from the California company selling the same product for $10 more? As a business owner would you want to be faced with the decision of making less money, or losing sales as a result of raising your prices?

Answer 4

They fight it because it is a HUGE payout... think about walmart for instance you are talking about 300,000 employees.... raise it a buck... 300,000 dollars per man hour, so 2.4 million a day. Minimum wage is useless now because it has gotten so out of control (not being raised and now is so low) that to make a dent you have to raise it immensely and that means that the cost for goods will go up, inflation will happen and price ceilings don't work (last time one was tried that i know in a non war time was in Ancient Rome and it almost destroyed the empire) I hate it as the govt has let it get out of control now to where it can't be helpful....If they would have went up .5 a year we would be in better shape, but with gas and everything else and no increase for 10 years it will shock our economy horribly. Hopefully that answered it. I wish we lived in a world where you had real social gospel and the govt didn't have to watch out for us, that our employers would instead. Oh well, I'm gonna be a teacher...that'll help hopefully

Answer 5

They are greedy bloodsuckers, but not as blood-sucking as were the California Congressmen and Women who voted THEMSELVES an 18 % pay increase right after they voted down a LONG overdue cost of living raise in the minimum wage. I'm getting to be an old person, and, I've seen good, bad and ugly when it comes to human decency. I tell you, I have never seen it get as indecent as voting yourself a raise so that you can have a fancier car, pool or mistress, when you've just voted to let hundreds of thousands of your own people fall into poverty, a vote that helped business owners. Why do people keep supporting bloodsucking businesses whose owners treat the working class so indecently? Shop over the Internet only from businesses not based in California, for example. And, why not vote that kind of traitor out of office?

Answer 6

unfortunately the value system in the country has changed more for the corporations and the investors who need all the profits for their lifestyle and yes the working class always seem to sufffer along with the working poor. I work for the gov't and they don't want to give a decent cost of living wage while the administrators and board of supervisors get their share..

Answer 7

if the company has to pay its workers a higher minimum wage, then its costs will go up. it will then have to raise prices for consumers to cover those increased costs. increased prices = less business.

plus, if the U.S. minimum wage goes up, it may change the calculus for outsourcing those jobs overseas: whereas before it may not have been cost-effective, an increase in the minimum wage may mean that the jobs are lost to overseas workers.

Answer 8

It decreases their bottom line!!!!! It isn't only the wage but there are tangible costs to them that are related to the wage cost. Unemployment, and disability insurances that they often pay will also go up as a result of a wage hike.

Answer 9

Because bullies will always fight those who will not fight back!

It is important to remember that the economic structure of the USA is historically based on Slavery, Indentured Servitude, and theft.

The opulent minority must protect themselves from the angry majority.

The post of LenardL is as accurate as it is eloquent. Though I disagree with him on only one point, when he states that the "common man can't fight back." I think it is more of a matter of they WILL NOT fight back.

A slave mentality is prominent & pervades throughout the minds USAmerican citizens. Most common people have more loyalty to the companies at which they serve than the people who will sell the company from them, lay them off, cheat them out of pensions and salaries, make them pay insurance, subject them to ridiculous scrutiny regarding hobbies entertainment and personal health matters. The common people are indeed slave minded because they refuse the ownership of being self responsible. They do not take care of one another. Example:
Teachers in a union decide to strike for higher wages and better working conditions are not supported by the other brotherhoods, namely teamsters, mechanics,electricians, plumbers, etc. and vice-versa. The teachers teach their children.

The common men are satisfied with voting for someone to make laws for the common men to remain at one economical level, pay high insurance, higher taxes, restrict bankruptcy, establish welfare payments, send people to war, restrict liberties in the name of nat'l security, etc. They vote for people whom are not subject be 1 or 2 paychecks from homeless, or required to work without a week of vacation, or be unemployed, or worry about SSI amount; or hospitalization, or pension.

It reminds me of the Malcom X statement comparing House and Field Slaves, He said the House Slave sees the Master sick and says "massa we sick." That is what I see among USAmerican common people, the working people, the true philantrophist, the ones who sacrifice their possessions, life, limb, marriages, health, homes, children, etc. You do not see the affluent with infirmities caused by work accidents, Politicians are not affected by with problems like getting refused medical treatment, or leave their current job to volunteer for military service, declaring bankruptcy,being subject to security screens, or small pesions from a job worked for 4 years.

We the People, that is whom the government is supposed to be. The people get the government they deserve. Healthy people get healthy government. Sick people get:


"massa we sick."
.

Answer 10

greed, also because minimum wage jobs are usually entry level jobs and there is a high turnover rate