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Forums - Politics Discussion - St. Louis will drop minimum wage from $10 to $7.70.

$15 an hour in Seattle is probably the same as $7.70 in St. Louis.



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Superman4 said:
VGPolyglot said:

I realize that businesses require the exploitation of their employees to survive, that's why I don't encourage reformation of the current system, because it'll always have the same problems.

I wouldn’t say its exploitation for most scenarios. Being paid for your talent and worth to the company should be taken into consideration. Finding another Fry Guy to dip the potatoes in oil is hardly a hard job to fill or one that requires much talent. Minimum wage positions are generally the entry level menial task positions, you start to make more as responsibility and experience increase. Starting everyone out at $15/hr like in Seattle is just asking for a huge wage inequality issue. You will end up with Managers and Shift leaders etc. making the same as someone off the street with no experience, that doesn’t really bode well for employee morale. It’s just a bad idea all the way around. If a company wants to offer higher wages for its employees because it has run the math and decides it can do so than so be it, to force companies to pay what you think they should regardless of margins and sales revenue is overstepping. The "minimum" is a guideline that when increased to what is considered a high wage for entry level will only do damage to the middle class and broaden the gap between middle and upper class.

Sadly, this is not true, at least where I live. In Puerto Rico a lot of employers have that "do more for less" attitude, and it has worsen thanks to the economic crisis . I work for a Microbiology laboratory and I'm in charge of the whole administrative area of it.  I only earn $7.25.  The company has the ability to pay wayyyy more to its employees more but my boss is a cheapstake. 



:( damn this is bad, endure, my friends.



Yeah, reading into it makes it look like he's using minimum wage as a scapegoat for the fact that his business failed. 7.70$ is the same as about 5€, that is ludicrously small. Even at 40 hours a week, that only equates to about 10,000€ per year. That is not enough to pay a mortgage or rent in a city, let alone buy food and pay electric and heating bills.

Either way, if he is not doing good enough business to hire staff, then it is up to him to do the work himself, and to be productive. It sounds like he's one of these guys that wants to make money of the sweat of other people's labour while he sits back and skims the profits. Otherwise, he just has a bad business plan.



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SpokenTruth said:

This guy runs a mid-high end restaurant that sells a $32 scallops meal and he's paying his employees minimum wage?

Also, This is why he's losing money. A 50% reduction in revenue, not a $92 per week pay increase for a couple of employees.
http://stlouis.cbslocal.com/2014/10/16/washington-avenue-resturant-group-sounding-warning-about-lack-of-business/

You're aware that waiters aren't expected to make their money from wages, but from tips? I know there's plenty of complain about in the culture or expectations of tipping for service, but that's the current climate for resturants in the US. It's an expectation that you tip 15-20% every time you go out.

In fact, most waiters I know make $2-3/hr from their employers, but with tips they make very good money.



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VGPolyglot said:
I see a lot of people say how there'll be businesses that go bust if they have to pay their workers a higher wage, but the question is, is that really a bad thing? I'm sure there were businesses that relied on slavery that went bust too once it was abolished, should we have kept slavery legal to ensure that didn't happen?

The employees have a choice of other employment or entitlements. They aren't slaves. The comparison doesn't work because no force is used against them and no one owns them.



Well, when a large chain pushes wages down to push profit margins up, they can afford to charge so little for their products.

Combine that with the subsidies that only multinational corporations can secure, and you have small businesses that can't compete with their prices.



Razeak said:
VGPolyglot said:
I see a lot of people say how there'll be businesses that go bust if they have to pay their workers a higher wage, but the question is, is that really a bad thing? I'm sure there were businesses that relied on slavery that went bust too once it was abolished, should we have kept slavery legal to ensure that didn't happen?

The employees have a choice of other employment or entitlements. They aren't slaves. The comparison doesn't work because no force is used against them and no one owns them.

In a time when people looking for jobs outnumber the amount of available jobs, the force that motivates people is the fact that menial wages are better than no wages. For a system without minimum wage to work, there needs to be a surplus of jobs which have to compete for laborers to drive wages upwards. Otherwise, the forces of supply and demand drive wages downwards until you find the person who is willing to work for the least amount of money. 

That doesn't mean that higher minimum wage is better, it means that a middle ground should be reached which provides reasonable wages leading to reasonable costs for companies. Going too far on either end is potentially damaging. 



Pyro as Bill said:
Superman4 said:

So High School kids looking to make some extra money to pay for gas, car insurance deserver $100/hr? Wal-Mart greators who stand around and hand out stickers deserve it as well?

High school kids deserve $200/hr at least. How are they supposed to learn if they're working at he same time?

Walmart makes billions of dollars, is increasing wages to $100/hr really going to hurt them?

I'm pretty sure this is sarcasm. Otherwise, have fun learning about inflation