Some of the businesses interview in this article claim they start their employees at $20/he but that's not enough to pay rent and too much to qualify for government assistance.

To me that sounds like labour cost were subsidized by welfare in the past, and now needs to adjust for market realities. This causes shock to the market, but should eventually find an equilibrium.

Oh yes, I don't disagree at all, food stamps, section 8/public housing, medicaid (mostly medicaid expansion), WIC, etc can often take the form of corporate welfare.

Someone working full time should be able to pay life expenses without government assistance.

perhaps consider reading the article.