« prev   random   next »

2
0

38 Percent Of Employers Will Lay Off Workers If Minimum Wage Is Hiked

By zzyzzx follow zzyzzx   2014 Mar 20, 1:04am 13,147 views   94 comments   watch   nsfw   quote   share    


http://washington.cbslocal.com/2014/03/19/study-38-percent-of-employers-will-lay-off-workers-if-minimum-wage-is-hiked/

WASHINGTON (CBS DC) – A new study has found that 38 percent of employers will lay workers off if the minimum wage is increased as President Barack Obama has proposed.

Express Employment Professionals, the nation’s largest privately held staffing firm, surveyed 1,213 business owners and human resources professionals nationwide asking them if they would be impacted if the minimum wage was increased.

Roughly 54 percent of the study participants said they would reduce hiring and 65 percent said they would raise prices on their goods and services.

“There’s been a lot of debate and speculation about the impact of a minimum wage increase on job creation,” Bob Funk, CEO of Express, and a former chairman of the Federal Reserve Bank of Kansas City said in a press release. “At Express, we decided to go directly to the employers who make those decisions to find out what a minimum wage increase to $10.10 would mean for them specifically and for the economy in general.”

Nearly 213 of those surveyed pay their employees the current $7.25 minimum wage.

“As with any such policy change, there are upsides and downsides,” Funk explained in the press release. “But based on this survey, there’s no denying that raising the minimum wage will result in layoffs, reduced hiring, and higher prices at a large chunk of American companies. How severe will those effects be? That remains to be seen, but policymakers will certainly want to be mindful of this reality as they legislate.”

#politics

« First    « Previous    Comments 36 - 75 of 75    Last »

55   zzyzzx   ignore (1)   2014 Mar 20, 4:18am     ↓ dislike (0)   quote   flag        

edvard2 says

We export a lot of oil too. Nice try.

We import way more oil than we export (if we export any oil). Nice try.

http://www.eia.gov/dnav/pet/pet_move_impcus_a2_nus_ep00_im0_mbbl_m.htm
U.S. Imports by Country of Origin

56   humanity   ignore (0)   2014 Mar 20, 4:19am     ↓ dislike (1)   quote   flag        

zzyzzx says

I probably don't have my 1988 bank statements saved, to back this up, but it's true. I also owned some stock that I am not counting here.

If you worked FULL TIME making $3.35, for 50 weeks a year while in college, for four years, and if you were paid in cash, or otherwise had no payroll taxes taken out, or any other taxes. And if you spent ZERO of that, then you would have $26800.

57   zzyzzx   ignore (1)   2014 Mar 20, 4:20am     ↓ dislike (0)   quote   flag        

Why do you assume it took me only 4 years to get my first degree? It took me longer than that. Why do you assume that, even working at a fast food place (which I was) I would only be making $3.35 the whole time. At times I made more, but still fast food wages. Yes, the minimum wage was $3.35 the whole time.

58   edvard2   ignore (1)   2014 Mar 20, 4:20am     ↓ dislike (1)   quote   flag        

zzyzzx says

We import way more oil than we export (if we export any oil). Nice try.

Your oil comment had nothing to do with the situation of Norway's governance anyway, so my fault for going down that road anyway. But I digress.... answer the question I mentioned above.

59   zzyzzx   ignore (1)   2014 Mar 20, 4:21am     ↓ dislike (0)   quote   flag        

edvard2 says

We seem to be in a problem-solving mood today. You want to fix things? Get rid of ALL lobby groups- both liberal and conservative, and get business OUT of government. Period. Do that and the decisions that need to be made won't be corrupted by outside influence and misguided lobby politics.

I agree with this part.

60   Dan8267   ignore (3)   2014 Mar 20, 4:22am     ↓ dislike (1)   quote   flag        

As a liberal, I can say, we don't need a minimum wage; what we need is a maximum tax of 20% that the employers can charge their employees. If we did that, those Walmart employees would be making $45,920 instead of $12,500, and we tax payers wouldn't have to make up the slack in the form of welfare and Social Security.

See this post for details.

That means that Walmart taxes its employees 78.2% of their wealth production. FUCK! Imagine if the federal government taxed the rich at 78.2%. And that's effective tax rate, not marginal.

If an executive is so fucking incompetent that he can't run a company off of a 20% employee tax, then he shouldn't be an executive. I'd love to be able to siphon 20% of the wealth production of a hundred thousand employees. Even if I could keep only 1%, that would make my income 1000 times more than the average American and me a million times richer.

The problem is that employers are just too damn greedy and overtax their employees. So, you see, we don't need a minimum wage, but a maximum limit on what employers can siphon (tax) from their employees.

61   humanity   ignore (0)   2014 Mar 20, 4:26am     ↓ dislike (2)   quote   flag        

zzyzzx says

Why do you assume it took me only 4 years to get my first degree?

MY bottom line:

Typical republican white male - born in to a good situation, with so many advantages and has so much given to him by parents and or others, but attributes all of his success to himself, and says...

"Anyone could do this."

62   control point   ignore (0)   2014 Mar 20, 4:26am     ↓ dislike (2)   quote   flag        

Lets see - a few assumptions:

Started working in high school, age 14.
Federal law allows no more than 18 hours per week for under age 16, during the school year.

So (school year) 2 years of 39 weeks at 18 * 3.35, 3.35*18*39*2 = 4,703.
(Summers) 2 years of 13 weeks at 40 * 3.35, 3.35*40*13*2 = 3,484
Then 6 years (age 16 - 22) of 52 weeks at 40, 3.35*40*52*6 = 41,808.

Total net wages is $49,995. Assume no income tax in your state, SS and Medicare Tax of 7.65%, and no federal income tax though this is very unlikely as you would have been claimed as a dependent on your parents return at least prior to age 18.

After taxes, you had $46,170. So said you saved $30k, and lets assume the new car was 410k.

That leaves $6,170 to pay for college and have as spending cash, if you worked full time while going to school for 8 years and you never took a single week off or had an unpaid sick day.

Granted also assumes you also never worked overtime...

Sorry, but LIAR, LIAR, PANTS ON FIRE!

63   Vicente   ignore (0)   2014 Mar 20, 9:23am     ↓ dislike (1)   quote   flag        

sbh says

Well, according to the libertarians firing everyone will

They should just Go Galt already, like they've threatened ever since that goddamn book was written.

64   zzyzzx   ignore (1)   2014 Mar 20, 9:39am     ↓ dislike (0)   quote   flag        

France has a minimum wage of 12.22 and an unemployment 10.9% Explain that.

65   zzyzzx   ignore (1)   2014 Mar 20, 9:41am     ↓ dislike (0)   quote   flag        

Switzerland has no minimum wage, and a 4.1% unemployment rate. Explain that.

66   zzyzzx   ignore (1)   2014 Mar 20, 10:24am     ↓ dislike (0)   quote   flag        

Texas has a lower minimum wage and way lower unemployment than California. Do I even have to provide a link for that?

And exactly what's so biased about the CBO? I didn't think you had any proof of that.

Actually the CBO has a LIBERAL bias and they still predict huge job losses:

http://www.thefiscaltimes.com/Articles/2014/02/19/CBO-Finds-Minimum-Wage-Research-Biased

Ironically, according to an appendix to the report, not only did CBO researchers look at the economic research, they also decided that it was biased and revised their estimates accordingly, in a way favorable to the White House’s position.

67   corntrollio   ignore (1)   2014 Mar 20, 10:29am     ↓ dislike (2)   quote   flag        

zzyzzx says

Texas has a lower minimum wage and way lower unemployment than California.

Texas also has the most people at minimum wage, tied with Mississippi. Most of Texas' "job creation" is from oil and from government jobs. Overall, Texas has a relatively speaking low-education/low-skill workforce and a lot of the jobs there are very low paying, as a result. Not exactly a model to follow...

68   zzyzzx   ignore (1)   2014 Mar 20, 10:34am     ↓ dislike (0)   quote   flag        

sbh says

Texas workers who ask for raises are shot and sold as fertilizer.

Texas workers are more likely to get a raise than CA workers.

69   zzyzzx   ignore (1)   2014 Mar 20, 10:55am     ↓ dislike (0)   quote   flag        

You lack any credible source to back up your claims, yet you assert them with religious certainty.

70   Bellingham Bill   ignore (5)   2014 Mar 20, 4:14pm     ↓ dislike (1)   quote   flag        

"38 Percent Of Employers Will Lay Off Workers If Minimum Wage Is Hiked"

vs

ain't that a bitch

71   edvard2   ignore (1)   2014 Mar 21, 1:43am     ↓ dislike (2)   quote   flag        

Ah, I see this worthless post is still going. It reminds me of something. In fact, I distinctly recall asking ZZyZZX a question based on the basic fundamentals of this topic.

The question asked was if the general opinion is that if people working at minimum wage jobs shouldn't see an increase in the minimum wage then logically the same would be true for any other income level: If raising wages is deemed harmful for the economy and jobs then I can only assume the OP feels that nobody should recieve raises either... right?

I say that because if the OP doesn't agree then that means that the case for not raising minimum wages is thus null and void, hence end of the conversation. If we're going to talk about economic logic, then you can't cherry pick the data.

72   zzyzzx   ignore (1)   2014 Mar 21, 1:58am     ↓ dislike (0)   quote   flag        

edvard2 says

The question asked was if the general opinion is that if people working at minimum wage jobs shouldn't see an increase in the minimum wage then logically the same would be true for any other income level: If raising wages is deemed harmful for the economy and jobs then I can only assume the OP feels that nobody should recieve raises either... right?

I already said that curtailing immigration and imposing import duties should cause everyone wages to increase. I happen to think it would be better if everybody got a raise, not just s small number of people.

73   rooemoore   ignore (1)   2014 Mar 21, 2:00am     ↓ dislike (2)   quote   flag        

edvard2 says

If raising wages is deemed harmful for the economy and jobs then I can only assume the OP feels that nobody should recieve raises either... right?

I believe the libertarian counter to your argument would be that nobody should be forced to give employees a raise. Only employees that are valuable and you want to keep from going somewhere else deserve a raise. While I agree with this theory for higher skill/income brackets, it is ridiculous at the bottom levels.

On paper the libertarian theory seems plausible. In the real, mucky world it is pure fantasy.

74   edvard2   ignore (1)   2014 Mar 21, 3:50am     ↓ dislike (2)   quote   flag        

zzyzzx says

I already said that curtailing immigration and imposing import duties should cause everyone wages to increase. I happen to think it would be better if everybody got a raise, not just s small number of people.

And yet again you didn't really answer the question. Your one and only response to basically everything on this post has been to stop immigration and create import duties. Both of those ideas aren't based in economic reality and historically when tried in the past were huge failures. Let's delve into this further so we can move on from unrealistic solutions to ones that are at least remotely sound.

First:
The last time the US undertook a policy of creating import duties it basically threw the economy into a deeper depression. This policy was enacted shortly after the crash of 29' and the result was that every other country did the same, hence freezing global commerce. I suggest reading further about this. So that debunks part of your "solution"

Second:
The whole comment about immigration makes no sense. Your parents, my parents, and everyone else other than the native Americans who lived here before immigrated to the US. The whole country is one of immigrants. Again- I think you need to really study up on your history- but over the entire time period of the US, immigrants have played a vital role in the US economy. I mentioned previously before the countless immigrants from Europe and elsewhere who filled our factories during the 1800's-1900's. This economic reality is still true today, especially in the ag business.

So basically you're going to have to come up with other reasons for not raising the minimum wage beyond these two above since I've more or less proven them to be incorrect based on widely accepted and well known historical facts.

Lastly, a raise in the minimum wage would not affect a "Small amount of people"-as you said. As previously mentioned, the single largest employer in the US is the leading Big Box store.
rooemoore says

While I agree with this theory for higher skill/income brackets, it is ridiculous at the bottom levels.

The reason I mentioned this idea in the first place was to prove a point. Point being that raises are given all the time in the middle and upper classes and the outcome has not resulted in lost jobs or negative impacts to the economy, much the same as how doing so for the working class jobs at minimum wage wouldn't. The takeaway is that the suggestion that raises in minimum wage would hurt the economy are null and void basically because that doesn't occur in other wage brackets either.

But I do get your points as well.

75   Vicente   ignore (0)   2014 Mar 21, 6:59am     ↓ dislike (0)   quote   flag        

rooemoore says

I believe the libertarian counter to your argument would be that nobody should be forced to give employees a raise.

Of course, employees demanding something, or voting to have it mandated, is bad. Employers banding together to demand more H1B visas is obviously good. Because AMERICA!

« First    « Previous    Comments 36 - 75 of 75    Last »


about   best comments   contact   one year ago   suggestions