posted on May, 16 2014 @ 10:46 AM
originally posted by: AugustusMasonicus
Why would I have had to raise her salary prior? The new dynamic this creates would, in my opinion, cause her and anyone else in her position, that of
watching other people get a 20% raise just for being there and not necessarily meriting it, ask for at least the same.
It does cause inflation and unemployment as evidenced by past trends. Why should someone who I feels warrant a proportionally higher salary based on
their experience and/or performance have to watch that be eroded because others feel the person getting the raise somehow 'deserves' it? Pay should be
based on merit, not perception.
I think the lowering of taxes does create jobs. Business owners are more apt to use revenue for improvements or expansion and the consumer obviously
has more available buying power due to the hidden tax being removed.
You write, immediately afterwards, that pay should be based on merit. Assuming you had put this into practice, you would not raise Cathy's wages,
because she would already be paid wages based on her merits. Yet here, you claim a dynamic environment is at least partially responsible for wages.
Interesting, no? Surely other people have gotten raises while their coworkers did not.
The historic high minimum wage was in 1968, at $1.60/hr. This is equivalent to $10.90/hr in 2014. Clearly, minimum wage cannot be the only driver of
inflation. Is it a partial driver - perhaps, but how strong of one? You know how business works - you staff for how much you need. If the minimum
wage went up and you hired people at minimum wage, you wouldn't cut staff - you couldn't. You'd raise prices - you've said as much. Of course, if
you raise prices too much, you'll lose business and potentially even shut down. So, the only scenario where raising the minimum wage kills jobs is
when it causes businesses to close.
You said it yourself, though - you wouldn't necessarily
hire more employees. You might
if you expand business as a result of diminished
taxes/minimum wage. Or you might make capital improvements. Perhaps you would do both. If you did not
hire more staff, lowering taxes did
lead to more hiring. Correct?
edit on 10Fri, 16 May 2014 10:50:43 -0500America/ChicagovAmerica/Chicago5 by Greven
because: (no reason given)