2007-04-25 06:32:22 · 4 answers · asked by baz c 1 in Business & Finance ➔ Careers & Employment
Do you mean the minimum wage being raised? Well, if employers are unable or unwilling to pay workers the higher wage, then they'll hire and keep fewer employees. A larger company might find another country to get labor from, and a smaller company might go out of business.
2007-04-25 06:38:17 · answer #1 · answered by Mad Tinkerer 2 · 0⤊ 0⤋
If it costs too much to hire staff because of a high minimum wage, many small employers will avoid growing their business or will only depend on contract help when they need it most.
2007-04-25 13:35:42 · answer #2 · answered by CC 6 · 0⤊ 0⤋
If the work value of a worker is below the wage paid to that worker...hiring that worker is a net loss to the employer.
The employer will therefore be encouraged to automate tasks at his work or, in the wrong run, get out of that line of business.
2007-04-25 15:59:30 · answer #3 · answered by Omer K 2 · 0⤊ 0⤋
Some smaller companies can not afford to hire people at this amount and in turn not hire anyone but they circumvent this by sub-contracting.
2007-04-25 13:37:19 · answer #4 · answered by Snaglefritz 7 · 0⤊ 0⤋