Hazard pay in focus as essential workers earn less than the jobless

Re:Hazard pay in focus as essential workers earn less than t... by godelski on Thursday July 02, 2020 @02:50PM (#23716617)

> Giving someone a cash payment and giving a loan to a business have very different actual costs in the long-run, obviously.

I want to stress this because many are missing it.

- Money to people = cash gift or grant.

- Money to companies = loan.

Companies have to pay it back, with interest. This also happened during the recession and the US made a hefty profit from it.

I often run into people that think that companies received these loans as grants. This of course makes for a lot of confusing discussions because two people are operating with completely different mental models.

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Re:Hazard pay in focus as essential workers earn less than t... by phonon on Thursday July 02, 2020 @05:57PM (#23718546)

Most of the PPP corporate loans will automatically convert to grants, as long as the funds are spent in a qualified manner, like payroll...that is why it was set up. Are you not familiar with this?

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Re:Hazard pay in focus as essential workers earn less than t... by ls612 on Thursday July 02, 2020 @08:46PM (#23719814)

That’s just a less direct way of giving the money to individuals, with the benefit that it facilitates preserving pre-pandemic formal economic relations. The money is still ending up in the pockets of the workers.

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Re:Hazard pay in focus as essential workers earn less than t... by phonon on Friday July 03, 2020 @04:08AM (#23722051)

What do you think businesses' number one cost is?

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