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Will raising Min Wage cost people jobs

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Are these statements I heard about minimum wage true? 1. Only 1 1/2% of the working force make minimum wage. 2. Well over half these individuals are still living at home with their parents. Most are still in high school or college. 3. A % of these workers are just looking to supplement the family income and are satisfied with what they earn, although I sure they would take more. 4. Many of those earning minimum wage have few skills to earn more money, they are earning what they skills are worth.

 

If true, then these efforts to raise the minimum wage are just for political points. For those companies that are raising wages to get better workers or to retain trained workers, that is what the capitalistic system is all about.

 

I think it's about 1.5 to 2 percent of those over 25.

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Should also point out that if the minimum wage is X and it's being raised to Y, then the increase also affects large numbers of people earning more than minimum wage (X) but less than Y.

Maybe a small raise but a raise to over 10 is 35-40% raise. The inflation that would result would be awful. JMO.

 

I think raising the minimum wage actually makes people who work those jobs poorer.

I am trying to 'follow the money' on this. This a big jump - bigger than previous times. Why this big?

 

Financially - from a government perspective - maybe that the increase is need to fuel more tax revenue. Raising the minimum wage raises tax revenue and social security revenue and medicare revenue.

 

Three bucks an hour more kicks in 45 cents toward social security and medicare (in round numbers). That 15%. Some may say but I only pay around 7 or 8% for SS and Medicare. Well - the employer pays the half on your behalf. It is a terrible shell game of these programs. But the fact is funding of these very in trouble programs would get a little shot in the arm.

 

Now to the employer this mimimum wage increase is not just the $3. Its $3 + $0.23 (apx) since the employer pays have that SS/Medicare increase. And I not sure how unemployment insurance rates work but it may drive up that additional cost to the employer.

 

Business owners chime in. There must be other 'hidden costs' driven by such large increase that will hit business hard - and drive that 500,000 estimate out of work.

 

While the % is higher, I believe 2 thru 4 hold true. People are in these jobs for it fits their needs at this time, for minimum wage jobs allow them flexibility or the chance to gain some workplace skills or they do not have the skills to earn more. As always, there may be a small number of exceptions.

If there were no minimum wage set by the federal and/or state government, what does everyone think the going minimum wage would be?

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Let's see.

Raise min wage.

People make more, pay higher tax and more tax.

People end up making less

Due to min wage increase, price of goods go up

Those complaining then quit and draw welfare

Just what those idiots in charge want.

You'd be wrong about that... but I'll be darned if I can figure out what exactly it is the Wayne Corporation does.

 

They make Batman stuff.

 

Seriously, I will be willing to bet the government is the primary source of revenue.

You communicate them as if those numbers are determinable and real. Do you honestly ask that question and contextually link it to raising the minimum wage?

 

I report them as the CBO states them which is what the basis for this entire thread is.

 

I asked a theoretical question using projected numbers. What part of the equation do you disagree with?

Any time you're talking a hike in the wages there's mixed bag of results. CBO says a lot of people will lose jobs by 2016. They also say 900k families will be out of poverty and 16.5M low-wage workers will have more money.

 

CBO said it was also possible that no jobs would be lost and that the estimate of 500k was imprecise.

 

It's not just a boon to low-income/poverty folks. People who have 2 to 3 times the poverty level in income will also benefit.

 

Costs of some products could go up. OR people with low-wage jobs will be replaced by automation.

 

Let's say it is 500k people who lose their jobs by 2016. Is 900k families being lifted out of poverty a net win for the country?

 

Did the report explain how 900K will be lifted out of poverty? Will earnings of $20,000/year get you out of poverty? Not sure what is considered poverty.

I have no way of knowing because I can't figure out what they do.

 

Someone else try. Is it some sort of consultancy?

 

Wayne Corporation - Quality Employee Assistance Programs | EAP

 

They offer Employer Assistance Programs. Basically they contract with companies, usually larger firms, who offer their employees counseling services as part of their wellness packages. The counseling can be because of drugs, debt, depression, etc. If it is drug counseling this is sometimes the only way to keep their job for an employee who has violated the company's drug policy. This is a good benefit that many businesses (aren't they supposed to be evil?) offer.

 

However, if the Rep. equates running a consulting business to a service or any other labor intensive business, he needs to partake of his own services.

However, if the Rep. equates running a consulting business to a service or any other labor intensive business, he needs to partake of his own services.

 

LOL

If there were no minimum wage set by the federal and/or state government, what does everyone think the going minimum wage would be?

 

Boy that's a great question but I have no idea at all.

They offer Employer Assistance Programs. Basically they contract with companies, usually larger firms, who offer their employees counseling services as part of their wellness packages. The counseling can be because of drugs, debt, depression, etc. If it is drug counseling this is sometimes the only way to keep their job for an employee who has violated the company's drug policy. This is a good benefit that many businesses (aren't they supposed to be evil?) offer.

 

However, if the Rep. equates running a consulting business to a service or any other labor intensive business, he needs to partake of his own services.

 

What I mean by that is that his firm is hiring PHD's. Those at the minimum wage level would only normally be those at the starting level of a job in the service or manufacturing or logistics industries.

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