Raising the minimum wage.... Is that good for workers?

submitted by In-the-clouds from midi.moe

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[–]TemporarilyDeceased 5 insightful - 1 fun5 insightful - 0 fun6 insightful - 1 fun -  (4 children)

A 30% wage increase is a problem because it's being done in isolation. Pizza Hut could compensate for the increased cost of labor by raising prices by 10-15%. Those increased prices need to be borne by their customers, most of whom have not seen 10-15% pay increases. Until trickle-up economics causes all wages to rise, companies will need to find more creative ways to manage this rise is costs. This is all made worse because these companies have already raised prices due to the 50% increase in food prices and their customers are already paying for that.

Our family has reacted to the rise in the cost of dining out by going from eating at a pub or similar restaurant 2x per week to barely eating out at all... we're down to once per month and even then it's for something less expensive like hoagies.

[–]In-the-clouds[S] 4 insightful - 1 fun4 insightful - 0 fun5 insightful - 1 fun -  (2 children)

There are benefits for you eating at home. Regardless of cost, eating at home can be healthier. I don't add unknown chemicals to my food at home, I eat mostly organic, and feel better at home than when I go out to eat.

[–]ID10T 2 insightful - 1 fun2 insightful - 0 fun3 insightful - 1 fun -  (1 child)

For sure. I'm always shocked when people say they don't have enough time to cook for themselves. Almost every meal I eat I make in less than 20 minutes. Most in less than 10 minutes. And it's simple stuff, sauteed or steamed fresh veggies with a pan-fried meat typically. I eat very little grains or bread. Mostly just fresh, organic veggies and meat.

[–]In-the-clouds[S] 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (0 children)

You could have cooked and finished eating by the time someone drove to the local restaurant and received their food, and then had to make the return drive home. Yes, you can save time by eating at home.

[–]GuyWhite 2 insightful - 1 fun2 insightful - 0 fun3 insightful - 1 fun -  (0 children)

I rarely eat out too. Too much high fat and sugar. I pack coolers when I travel. Lots of other folks do to. Last fall, traffic came to a stop on I-90 in Montana. It was almost a picnic atmosphere with folks feasting out of their coolers while we waited for the wreck to be cleared.

[–]monkeymagic 2 insightful - 1 fun2 insightful - 0 fun3 insightful - 1 fun -  (2 children)

the problem only has so much to do with what the minimum wage is. if you don’t cap property tax and rent increases at some point you create a situation where the economy is going to fucking collapse. carrying on as though the responsibility for said impeding collapse somehow falls on laborers isn’t just stupid, it’s fucking scary.

moving to an area with rent control is really the only short term solution for allot of ppl.

[–]jet199 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (1 child)

Rents won't go up if no one can afford them.

You are missing out a huge part of the equation there.

[–]canuck3157 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (0 children)

If the rents are all affordable, then ALL people will NOT: 1) migrate out, nor 2) seek insurrection or rebellions acts, You are also missing out some of the bigger picture here, too.

[–]ID10T 2 insightful - 1 fun2 insightful - 0 fun3 insightful - 1 fun -  (0 children)

I delivered pizzas in high school. I did not need to, nor expect to make a "livable" wage. What I did need is a job to help save money for college. And that's what it was. I had a lot of different jobs growing up, from mowing lawns to paper boy to short order cook to working as a cashier. Delivering pizzas was my favorite because I got to drive around and occasionally meet cool people. One time I delivered to a local news crew at a TV station and got to meet the newscasters. That was fun. Mostly it was drunk college kids who would give me a beer as a tip.

Whatever, it was a really fun job, and it's really stupid to act like high school kids need to be paid a "livable" wage, resulting instead of taking away their opportunities.

[–][deleted] 2 insightful - 1 fun2 insightful - 0 fun3 insightful - 1 fun -  (0 children)

People dont understand that inflation is not normal.

Its a cause of corruption. And the wolves atealing money from us for not working but getting resources.

No, anything to do with minimum wage is not really good. Its a by product of a shit system.

But this is like complain about tipping. You are still a cunt for not tipping, and a esoteric abstract argument doesn't change the reaility of our situation.

[–]Armedpleb 2 insightful - 1 fun2 insightful - 0 fun3 insightful - 1 fun -  (1 child)

It will just lead more inflation. More specifically wage-price spiral inflation where raising minimum wage will cause rent, bills, goods & services and other expenses to increase in price.

https://www.wallstreetmojo.com/wage-price-spiral/

Increasing minimum wage is not the way to get more money. It will only create the illusion of earning more money, which will be pointless when everything goes up in price. If they want more money, get a better job!

[–]In-the-clouds[S] 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (0 children)

From the link.... When people receive a pay raise:

either they will save it or spend it.

And of course most people today no longer consider saving, but continually go deeper into debt.

[–]xoenix 2 insightful - 1 fun2 insightful - 0 fun3 insightful - 1 fun -  (1 child)

Probably mostly drives demand for automation and robots. Regardless, the largest employers may be able to afford the wages but their (smaller) competitors might not. Corporations win.

[–]In-the-clouds[S] 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (0 children)

I agree. Increased human wages makes the machines a better investment, for those who value money more than people.

[–]Maggotus 2 insightful - 1 fun2 insightful - 0 fun3 insightful - 1 fun -  (1 child)

The problem is that even $20 an hour right now puts you just level with poverty. Prices climb relentlessly with little or no reason for many years now. These big companies make Billions in profits, and can easily afford to pay the employees, but they want handouts from government and they want to pass all costs of doing business to the consumers instead of taking some of that cost on themselves like they should. While the prices of all the products went up for 5 years the wages didn't rise all that much, so they should have plenty of profits to cover the extra cost. If they tell you any different they are lying.

[–]In-the-clouds[S] 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (0 children)

Pizza Hut made a profit for Yum Brands in 2022 in the amount of:

$387,000,000 (387 million US dollars)

It does appear they have enough money to increase wages for their workers, or to lower the prices for their customers.... or both.

[–]GuyWhite 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (2 children)

The folks they are laying off…they’ll find jobs in another state….where the minimum wage is lower. 😉

(Changing minimum wage depends on the competitiveness and labor supply in an economy. Change can be good or bad.)

[–]ID10T 3 insightful - 1 fun3 insightful - 0 fun4 insightful - 1 fun -  (0 children)

They'll probably stay in CA and become homeless drug addicts, which is a very pleasant, easy lifestyle to adopt thanks to the nice weather, no criminal enforement, and plentiful free benefits.

[–]jet199 2 insightful - 1 fun2 insightful - 0 fun3 insightful - 1 fun -  (0 children)

It depends on how many people actually have skills worth paying for. When wages are low companies don't mind employing stupid people with no skills to do easy jobs with no responsibility. With a high minimum wage all those people will be left unemployed and on benefits.

[–]lowrads 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (0 children)

About 2% of workers earn at or below the minimum wage. It's a higher percentage in places like Louisiana or Mississippi, but vanishingly rare anywhere in the northeast or west coast.

People should be far more concerned about the eroding median wage, and suppressing the people with the poorest bargaining position won't alter that. That turnip has been thoroughly wrung.

[–]Oyveygoyim 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (0 children)

20 dollars an hour to work at McDonalds!! Insanity but they got to pay their nigger pets

[–]Alan_Crowe 1 insightful - 1 fun1 insightful - 0 fun2 insightful - 1 fun -  (0 children)

"Minimum wage" is not the kind of thing that you can raise or lower. It is a restriction. The government makes it tighter or looser.

Will making the restriction tighter work through the economy to the benefit of some, at the expense of others? Probably. Who? Whom?

The sneaky language of raise rather than tighten is enough to warn you that the restriction is negative sum.