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Do the numbers on what the minimum wage increase is going to cost an average fast food franchise. It's hundreds of thousands of dollars a year. I think I thumbnailed it, making assumptions about staffing, hours, etc.. It came to about $450K a year. And if they automate, they don't just get rid of the increased cost due to the minimum wage increase, they get rid of the entire employee cost (salary, taxes, insurance, other benefits.) If a fast food restaurant went from 10 employees to 3 a shift, it might save them $600-650K/per year. I bet the first year savings would pay for the equipment and installation. So year two and onward, the owners would pocket the savings.
Before the current push to raise the minimum wage to $15, AFAIK NY had no state minimum wage, so it was $7.25. So $15 is over a 100%. That's huge. Now not too many people in NYC were working for 7.25. I had heard that they need to pay $9 to get anyone to take the jobs. So that still a huge jump.
The cost of doing any business will keep going up. Buying into a franchise will keep getting more and more expensive as their value increases. Cost of living keeps going up. If businesses can continue to operate in this atmosphere, they should be able to pay their workers more. They should pay their workers a wage that reflects this.
If businesses cannot survive unless they pay their workers a wage that is so low, their workers can barely survive, then these businesses should go out of business. They need to rethink their business model. Let them fail, and it makes it easier for someone else to start one up and fill in the gap.
Quote:
Originally Posted by livingsinglenyc
Math must not be your strong suit
40 hours a week at $15 a hour =$600
52 weeks in a year = $31,200
Its $31,200 a year that someone who works min wage full time gets NOT $43,800
Thats a difference of almost $13,000!
Its really not a lot. Its a small token/gesture to the minimum wage workers. They have just a little more spending money, and be a just a little more happy. If businesses cannot afford this, then they should not be in business or be allowed to.
You miss the point, increasingly as technology improves, the can just not have nearly as many workers. If labor is cheap, it makes sense to use it. As it gets more expensive, it make sense to get rid of the workers. Or if the business just doesn't work without cheap labor, the business goes away.
Either way, it means less jobs for low skilled labor.
Quote:
Originally Posted by NJ Brazen_3133
The cost of doing any business will keep going up. Buying into a franchise will keep getting more and more expensive as their value increases. Cost of living keeps going up. If businesses can continue to operate in this atmosphere, they should be able to pay their workers more. They should pay their workers a wage that reflects this.
If businesses cannot survive unless they pay their workers a wage that is so low, their workers can barely survive, then these businesses should go out of business. They need to rethink their business model. Let them fail, and it makes it easier for someone else to start one up and fill in the gap.
Its really not a lot. Its a small token/gesture to the minimum wage workers. They have just a little more spending money, and be a just a little more happy. If businesses cannot afford this, then they should not be in business or be allowed to.
You miss the point, increasingly as technology improves, the can just not have nearly as many workers. If labor is cheap, it makes sense to use it. As it gets more expensive, it make sense to get rid of the workers. Or if the business just doesn't work without cheap labor, the business goes away.
Either way, it means less jobs for low skilled labor.
LOL you miss the point
As tech improves it will get cheaper to implement tech. Plus, even when tech gets so cheap, as long as there exist human workers, there will always be those at the minimum wage or at the very low end of pay scale.
It does not matter how skilled you are, or how many are at that skill level. The people above everyone else will always try and keep as much as they can for themselves. So most workers will still be at or closer to the lowest scale of pay. Do job description does not matter.
Technology does not factor into minimum wage discussions. There is no point in bringing it up.
You're wrong. Minimum wage, plus other government imposed increases in labor costs, is a huge factor. Technology costs money. The point that you make workers cost more than technology is the point at which technology replaces people.
Quote:
Originally Posted by NJ Brazen_3133
LOL you miss the point
As tech improves it will get cheaper to implement tech. Plus, even when tech gets so cheap, as long as there exist human workers, there will always be those at the minimum wage or at the very low end of pay scale.
It does not matter how skilled you are, or how many are at that skill level. The people above everyone else will always try and keep as much as they can for themselves. So most workers will still be at or closer to the lowest scale of pay. Do job description does not matter.
Technology does not factor into minimum wage discussions. There is no point in bringing it up.
You're wrong. Minimum wage, plus other government imposed increases in labor costs, is a huge factor. Technology costs money. The point that you make workers cost more than technology is the point at which technology replaces people.
Oh yeh really, then why dont we lower the minimum wage? Lets bring it to $3/hr. No machine will replace us now.
LOLZ
Its like photography shops disappearing because of the computer programs that develop the photos digitally for you.
Minimum wage or the social construct of lowest paid worker is something that will always be around no matter what kinds of jobs are available or how highly skilled the lowest form of employment is.
A gubment imposed anything is only huge if the increase is huge. In lieu of all other costs, I pretty sure this jump is small potatoes. Its not even a living wage. And it has not increased for many years prior.
Oh yeh really, then why dont we lower the minimum wage? Lets bring it to $3/hr. No machine will replace us now.
LOLZ
Its like photography shops disappearing because of the computer programs that develop the photos digitally for you.
Minimum wage or the social construct of lowest paid worker is something that will always be around no matter what kinds of jobs are available or how highly skilled the lowest form of employment is.
A gubment imposed anything is only huge if the increase is huge. In lieu of all other costs, I pretty sure this jump is small potatoes. Its not even a living wage. And it has not increased for many years prior.
You also fail to take into account it isn't just the increase pay alone; but higher payroll taxes (FICA, unemployment, disability, etc...) that employers face as result of increase. NYS also has a vast and bewildering array of various taxes, fees and surcharges tacked onto payrolls (such as the MTA surcharge), employer sponsored health insurance, etc.. all of which likely are affected by increasing worker pay.
It is never wise to look at just an employees paycheck, but their total compensation to get an idea of true labor costs. That number includes all taxes, fees, surcharges, benefits and everything else which make up the entire real cost of an employee.
If businesses cannot survive unless they pay their workers a wage that is so low, their workers can barely survive, then these businesses should go out of business. They need to rethink their business model. Let them fail, and it makes it easier for someone else to start one up and fill in the gap.
Its really not a lot. Its a small token/gesture to the minimum wage workers. They have just a little more spending money, and be a just a little more happy. If businesses cannot afford this, then they should not be in business or be allowed to.
Sorry the point of a business is not altruism. Not sure where you got that idea.
Wages are a MUTUALLY agreed upon rate by both employee and employer.
Don’t like it? Find another job or start your own business.
Oh yeh really, then why dont we lower the minimum wage? Lets bring it to $3/hr. No machine will replace us now.
LOLZ
A gubment imposed anything is only huge if the increase is huge. In lieu of all other costs, I pretty sure this jump is small potatoes. Its not even a living wage. And it has not increased for many years prior.
Correct. Minimum wage should be eliminated altogether. The free market will determine what the wage floor is. If it’s too low and no one is hired at the asking wage, it would naturally have to go up until an equilibrium is found.
Plenty of First world countries and advanced societies function without a minimum wage.
You keep bringing up living wages. It is not the employers job to pay for your lifestyle. It’s your own responsibility. As stated before, the function of the employer is to pay the going rate for what you bring to the table. An exchange of your labor for money.
“I’m pretty sure” is synonymous for “I have no clue wtf I’m talking about” in this context.
Correct. Minimum wage should be eliminated altogether. The free market will determine what the wage floor is. If it’s too low and no one is hired at the asking wage, it would naturally have to go up until an equilibrium is found.
Plenty of First world countries and advanced societies function without a minimum wage.
You keep bringing up living wages. It is not the employers job to pay for your lifestyle. It’s your own responsibility. As stated before, the function of the employer is to pay the going rate for what you bring to the table. An exchange of your labor for money.
“I’m pretty sure” is synonymous for “I have no clue wtf I’m talking about” in this context.
LOL. In this whole thread, I haven't seen anything but nonsense. I've seen cliche talking points, but nothing of substance and certainly nothing backed up by actual data.
Studies of human history indicate that the owner of capital will always exploit the producers of capital for as much as possible so long as there is an unequal distribution of negotiation power. Automation is very expensive, but eventually take over ALL jobs, not just the entry level ones. Predatory capitalism is the condition where there are no checks and balances that say, "you are not allow to pay people SLAVE wages." And frankly, if a 40 hour a week job cannot pay a living wage, it is a SLAVE wage. Slavery was abolished some time ago due. Some people never really got on the same page as that, because human nature can be that way.
IONS ago, some jobs that paid poorly provided housing and food. (Company housing it was often called.) And while the wage was low, the money the person did make, was available to stimulate the economy. The economy is not stimulated when people hoard money. The economy is not stimulated when people have no money to spend. The economy is not stimulated when money is not reinvested in a business through upgrades, training etc. If all the surplus income is siphoned upward off the backs of other people's surplus productivity, that is effectively WAGE THEFT. Especially since many padrone DO NOT ACTUALLY OWN THE CAPITAL and are just captains of industry, AND DID NOT CREATE THE VALUE to begin with. Of course the last sentence is a moral one, not a data-point.
We will need a UBI sooner or later. If we are evolved, we should be looking toward automation so that we can all work less, not more. Isn't that the point. Were we really put on this earth to work every hour of our life until we die? What a twisted point of view really. Work should be for necessity only. Our values are so f'd up, but part of it, is because we are working for the leisure of a few. That's why regulation is necessary. The US should not be a nation of indentured servants.
Correct. Minimum wage should be eliminated altogether. The free market will determine what the wage floor is. If it’s too low and no one is hired at the asking wage, it would naturally have to go up until an equilibrium is found.
Plenty of First world countries and advanced societies function without a minimum wage.
You keep bringing up living wages. It is not the employers job to pay for your lifestyle. It’s your own responsibility. As stated before, the function of the employer is to pay the going rate for what you bring to the table. An exchange of your labor for money.
“I’m pretty sure” is synonymous for “I have no clue wtf I’m talking about” in this context.
In a state/city like NY your tax dollars will go to support those workers if the wage floor drops too low.
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