This ought to solve the problem.
But “Fight for 15” right?
We are far too dignified to say that we told the SEIU so. We’d never do that. No, no, never. Ed Rensi, former CEO of McDonalds would however.
The minimum wage debate is one we’ve covered closely here at ACC. One of the primary reasons is we know that a significant increase in the minimum wage above the market rate for unskilled labor will result in job losses. No one wants job losses.
But even though a significant minimum wage increase would pretty obviously put some people out of work, reduce hours for others, and force some businesses to just close up shop, there are those who have continued to push for a higher wage.
The push for a higher minimum wage is a subject that we’ve followed closely at ACC. It is such an obvious example of ridiculous pandering to political constituencies. But that’s run of the mill stuff. What makes “Fight for 15” fascinating to us is that a $15/hour minimum wage would hurt the very people calling for an increase in the minimum wage.
As such we’ve watched this effort with a mix of bemusement and sadness. Bemusement because so many people want to believe that sheer will alone will make a $15 an hour minimum wage work.
We at ACC give anyone who is respectful of the site and other readers a chance to share their views. We count many “progressive” readers within our audience and we are thankful for them. But many of these “progressive” readers are likely unfamiliar with the history of progressivism.
It was not about broad, inclusive, social justice. On the contrary, it is a philosophy which often embraced racism and even eugenics in the name of “progress.” (Not to mention government sponsored cartels for the benefit of vested interests,
The minimum wage shuts people, the least skilled in a society, out of jobs. There is no doubt about it. It does. If someone’s labor is worth less than a $15/hour minimum wage that person will not get the job. It’s not complicated, and yet so many want this simple equation to be false. They will bend over backwards to justify an increase in the minimum wage and will insist that such an increase will raise all boats. Unfortunately, when the minimum wage is increased far above the real wage rate of unskilled labor most boats don’t rise and many sink.
Starbucks is one of my wife’s favorite companies in the world. I enjoy their products too. They always have good coffee and if one is going to have coffee it’s only enjoyable if it’s good. I am thankful to have fairly ready access to their stores in and around my little town.
But there are limits to how much I will pay for a cup of well brewed joe. Even good coffee is only SO good. It’s great that you want to pay Aiden $15.00/hour but I’m not going to buy a $10.00 latte.
The only part missing here is the fact that special interests are manipulating the cop to create barriers to entry (licensing and minimum wage laws) or to create government subsidized streams of income to bureaucracies and corporations (food stamps/welfare).
(From Investor’s Business Daily)
Back in 1948, when inflation had rendered meaningless the minimum wage established a decade earlier, the unemployment rate among 16- to 17-year-old black males was under 10%. But after the minimum wage was raised repeatedly to keep up with inflation, the unemployment rate for black males that age was never under 30% for more than 20 consecutive years, from 1971 through 1994. In many of those years, the unemployment rate for black youngsters that age exceeded 40% and,
And the robots will only get better and cheaper.
Again we ask how it is that the SEIU and the other unions agitatiting for a radically higher minimum wage don’t understand that they are putting people out of work?
My bet actually is that they do understand that there will be big job losses but that they figure in the short term in states like California and New York there is hay to be made and perhaps new union dues to extract.
One can’t blame Wendy’s. Labor will be too expensive to make money on hamburgers and frostys soon. So they must automate. They have no other choice. By automating they will eliminate thousands of jobs which didn’t pay $15/hour, but they did pay something.