Good for Families: According to economist James Galbraith, raising the minimum wage would raise the incomes of 28 million Americans. Women would particularly benefit because they tend to work for lower wages than men. As Galbraith sees it, raising the minimum wage is family friendly policy: “With more family income, some people would choose to retire, go back to school, or have children, making it easier for others who need jobs to find them. Working families would have more time for community life, including politics; Americans would start to reclaim the middle-class political organization that they once had. Because payroll- and income-tax revenues would rise, the federal deficit would come down. Social Security worries would fade.”
Galbraith is an academic assclown. Let me tell you how it actually works. I have 27 employees. I need to keep 35% of them at or near $8.00/hr. Those aren't positions filled by middle aged men or women who are the primary bread winners in their respective families. They are teenagers on the register or in the mulch yard and retirees that already have retirement and/or social security. If minimum wage goes to $9.00 per hour, I won't just give everybody raises and I certainly can't just raise the prices on everything and expect to sell the same items to the same customers. The market is fluid and in this terrible economy, price is king in our neighborhood. We have pricing algorithims that help us manage our margins but any increase is almost always noticed, especially by our regulars. I would likely lay off two minimum wage workers per shift OR one of my full time workers who actually IS the primary bread winner in his/her family. The rest would have to take up the slack.
This post was edited on 2/13 at 11:25 am