I'm a small business owner and I need to hire 2 people for my business. In fact my business needs these 2 people to stay in business. I know I can afford to hire these 2 people at 6 dollars each. I hire 2 people who are high school drop outs and this is the only job they can find. They make the choice to work for me. I get the help I need and they get good experience for their resume. I expect them to use this job to aquire skills that will help them get a better paying job. In other words I expect them to use this job as a hand up. If minimum wage is increased to $7.00 I can only afford to hire one person. But I need 2 to run my business so I have to go out of business. Now I'm hurt because I no longer have a business and the two people I had employed are hurt because they no longer have a job. What do they do now? How is a minimum wage increase good for our country??
2006-11-08 08:33:34 · 16 answers · asked by Anonymous in Politics & Government ➔ Other - Politics & Government
Case in point MN raised minimum wage to 6.15 an hour (with soc, and medicare and other taxes that is 7.08 an hour. I had 104 employees of which 68 were minimum wage wait staff. Their take home pay was about $150 a night in tips plus the $30 in wages for a total of $46,800 a year on average. The 20% increase in the minimum wage cost all 104 employees their jobs.
(note: this was a upscale restaurant and bar. Two weeks before they passed the mim wage the Democratic also passed a smoking ban for the city, my daily bar business drove or walked five blocks away across city lines to be able to drink and smoke.
In addition my clientele was not minimum wage earners so the wage increase did not effect them.)
2006-11-08 08:50:06 · answer #1 · answered by mymadsky 6 · 1⤊ 0⤋
Minimum wage laws are not good for anyone. It doesn't raise the value of the work being done. Plus, the concept of a minimum wage was created during the post civil war era as a way to keep black work crews from undercutting the price of white work crews. Minimum wage laws do not make sense. The increase in pay just gets passed on to the consumer causing inflation and putting the person right back in the same situation.
2006-11-08 16:44:19 · answer #2 · answered by Chris J 6 · 0⤊ 0⤋
everyone wants to raise prices to pay for an increase in minimum wage. that makes no sense. raise prices and everyone pays higher prices. someone makes $7 an hour and the minimum wage is raised to $6.50. do you really think that guy's boss is going to give him a raise to compensate? NO. now he makes .50 over the minimum wage and everything he buys is more expensive. I do think it is time for a minimum wage raise (it has been 10 years) but here in Missouri the wage increase can go up every year forever. in states that have adopted this policy the rate at which it increases is about .20-.30 a year. At this rate, Missouri will have an $8.00 an hour minimum wage in just 5 years. How many businesses can pay that?
2006-11-08 16:54:24 · answer #3 · answered by stlouisrams1974 2 · 2⤊ 0⤋
It's not good for the country, it will put many people out of jobs and cost money to small business owners. IT is a feel good legislation.
If people realized that only 2% of the workforce is on minimum wage and most of those are high school kids to boot, nobody would support this.
2006-11-08 16:38:25 · answer #4 · answered by Philbert 3 · 2⤊ 0⤋
The Demon-rats do not care! Don't forget they will raise you payroll and other taxes! And when you have to raise your prices to make ends meet, fewer sales will be made because every body's prices will rise but only the lowest wage "earners" will get increases. Those making more than the minimum wage get not increase! The fools did not think this thru!
4.4% unemployment is a thing of the past!
2006-11-08 16:59:09 · answer #5 · answered by Bawney 6 · 1⤊ 1⤋
I think the minimum wage increase will be reflected in increases of goods and services. But you have to be willing to look at the bigger picture, rather than just how it will affect immediate wages. Also, for instance, in Ohio, if your business takes in gross annual receipts of less than $250,000, it won't apply. And if you're family owned and operated. Or if you are employing a 16 year old. There are exceptions.
2006-11-08 16:36:15 · answer #6 · answered by Rvn 5 · 0⤊ 1⤋
Today the President said he would put something into the bill for small business owners. Check that out.
2006-11-08 16:37:03 · answer #7 · answered by desertflower 5 · 0⤊ 0⤋
You can either pass on the costs to your customers (who will be receiving raises due to the increase in wages) or you can take less profit.
It sounds like the product or service you offer is not enomically viable. Capitalism and competition are challenges as well.
2006-11-08 16:36:34 · answer #8 · answered by Anonymous · 0⤊ 1⤋
wait, so you're saying that you never increase your prices for whatever you are selling?
my opinion- minimum wage should increase or decrease annually following inflation. I do think that it is b******* that they suddenly imposed a 37% increase here in michigan this year, for example, because it should be a GRADUAL process.
2006-11-08 16:36:31 · answer #9 · answered by ... 4 · 0⤊ 0⤋
Its good for the poor uneducated employees
Its bad business for the employers all the way around
2006-11-08 16:42:14 · answer #10 · answered by Mopar Muscle Gal 7 · 1⤊ 0⤋