A funny thing happens at $15 per hour...

[UsualName]

Among those paid by the hour, 434,000 workers earned exactly the prevailing federal minimum wage of $7.25 per hour. About 1.3 million had wages below the federal minimum. Together, these 1.7 million workers with wages at or below the federal minimum made up 2.1 percent of all hourly paid workers.The percentage of hourly paid workers earning the prevailing federal minimum wage or less edged down from 2.3 percent in 2017 to 2.1 percent in 2018. This remains well below the percentage of 13.4 recorded in 1979, when data were first collected on a regular basis.

So raising the minimum wage will only impact 2% of workers.

 

[UsualName]

Big picture my friend

In transportation, the warehouse workers get a minimum wage boost, It narrows the gap with the non union truck drivers, drivers than ask for a raise, than unions look at the rising pay of non union drivers and they pressure UPS for higher driver wages....leads to higher dues and more democratic contributions

But I thought right wingers loved unions and populism now. Interesting.

 

[Mercor]

So raising the minimum wage will only impact 2% of workers.

But if you raise the base artificially it pushes the whole structure upward artificially
In the chart i posted, it seems like people who work at the minimum wage are disappearing due to the free market

 

[UsualName]

But if you raise the base artificially it pushes the whole structure upward artificially
In the chart i posted, it seems like people who work at the minimum wage are disappearing due to the free market

True. Let’s look at participation though...

Minimum wage doesn’t seem to make a difference. An efficient economy will reach full employment over time.

I totally get the argument that $15 an hour is too high for a lot of states but what I don’t follow is that something like $12 phased in is somehow an economic catastrophe. It will be fine.

 

[newwurldmn]

True. Let’s look at participation though...

View attachment 253634

Minimum wage doesn’t seem to make a difference. An efficient economy will reach full employment over time.

I totally get the argument that $15 an hour is too high for a lot of states but what I don’t follow is that something like $12 phased in is somehow an economic catastrophe. It will be fine.

Almost anyone can earn $40k/year plus benefits if they want to work 40 hours a week. issue is that some people can't work forty hours a week - for example single moms, or they don't want to (a lot of people on minimum wage choose not to apply themselves - i've seen it first hand). Some of these people choose not to apply themselves because they are actually lazy and others because they haven't seen or don't believe they can do more in this world.

You want to raise wages? Instead of supporting a minimum wage which will encourage businesses to automate or reduce their headcount, push for free community college. That will improve wages and improve the productivity of America. Germany is an expensive country with high wages - but they are also insanely productive because those employees have strong skills. In America there are no skills.

Urban legend is that McDonalds created the value meals because a minimum wage worker couldn't enter a big mac, fries, and a coke easily. paying that guy $15 isn't going to incentivize him to learn to count - but it will disincentivize the guy making $20 who's his shift lead.

 

[UsualName]

Almost anyone can earn $40k/year plus benefits if they want to work 40 hours a week. issue is that some people can't work forty hours a week - for example single moms, or they don't want to (a lot of people on minimum wage choose not to apply themselves - i've seen it first hand). Some of these people choose not to apply themselves because they are actually lazy and others because they haven't seen or don't believe they can do more in this world.

You want to raise wages? Instead of supporting a minimum wage which will encourage businesses to automate or reduce their headcount, push for free community college. That will improve wages and improve the productivity of America. Germany is an expensive country with high wages - but they are also insanely productive because those employees have strong skills. In America there are no skills.

Urban legend is that McDonalds created the value meals because a minimum wage worker couldn't enter a big mac, fries, and a coke easily. paying that guy $15 isn't going to incentivize him to learn to count - but it will disincentivize the guy making $20 who's his shift lead.

I am pushing for free community college and trade school, along with a minimum wage increase. However, I do not believe $15 is the right amount for federal minimum wage.

 

[newwurldmn]

I am pushing for free community college and trade school, along with a minimum wage increase. However, I do not believe $15 is the right amount for federal minimum wage.

I am very much in favor of free community college and trade schools. I am very much against an increase in the minimum wage. I don't think it solves any real problems but creates more. Even the proponents on here are in agreement it will hurt employment - even though very few workers actually get paid minimum wage.

 

[UsualName]

I am very much in favor of free community college and trade schools. I am very much against an increase in the minimum wage. I don't think it solves any real problems but creates more. Even the proponents on here are in agreement it will hurt employment - even though very few workers actually get paid minimum wage.

So, I’m not in agreement that it will “hurt” employment is phased in and accompanied by proper tax support - as is standard. I’m not sure if CBO used appropriate methodology in its analysis.

However, what I have said is that there will be some initial displacement - not as major as some would think but there will be some - and drive right back to full employment, barring some economic catastrophe but Democrat Presidents usually avoid economic catastrophe.

 

[El OchoCinco]

Based on this argument, there is no reason to increase the minimum wage.

because the current min wage does create a situation where a significant amount of people can be underpaid legally where states decided to keep the federal levels. It is easy to be rich and ignore millions of people earning $58 a day but it is a reality and why is it costs are allowed to increase with cost of living but minimum wage is allowed to stay the same for 20 years....

 

[piezoe]

Piezoe, didn't we have an extensive example of this where you kinda...stopped posting when I showed you how it would affect your average restaurant?

Indeed, and I'm now ready to take up that discussion again if you care to. I realized later there was something wrong with our assumptions.