Re:Job loss predictions over rising minimum wages haven't co...
by everdev on Monday November 25, 2019 @08:06PM
(#21634761)
There's still the challenge of overhead that comes with onboarding and managing a new full-time or part-time worker.
Most companies hiring for minimum wage positions want a respectful employee who will show up on time. I don't think they'd bend on those requirements for cheaper labor as the management overhead would quickly eat into any cost savings.
So, while I understand it's a "good faith argument", I don't think it holds much water. Companies will just use a no-minimum wage environment to negotiate cheaper deals with employees they would have hired anyway.
Also, one's salary is in large part due to one's ability to negotiate. A manager who hires dozens of workers a year is probably pretty good at negotiating while a low-income worker might not be experienced in that area. The minimum wage also helps correct that imbalance in negotiating power.
Most companies hiring for minimum wage positions want a respectful employee who will show up on time. I don't think they'd bend on those requirements for cheaper labor as the management overhead would quickly eat into any cost savings.
So, while I understand it's a "good faith argument", I don't think it holds much water. Companies will just use a no-minimum wage environment to negotiate cheaper deals with employees they would have hired anyway.
Also, one's salary is in large part due to one's ability to negotiate. A manager who hires dozens of workers a year is probably pretty good at negotiating while a low-income worker might not be experienced in that area. The minimum wage also helps correct that imbalance in negotiating power.