My next post responding to an article about the $15 an hour minimum wage.
Article 3 , Quote 1-"Many economists worry minimum wage increases tend to reduce employment, hurting young and less-educated workers the most."
It really is amazing how many economists think that paying workers more money will somehow reduce employment. Just where do they think all the jobs will go? While I have no doubt many employers will reduce the number of employees out of greed or spite; it's not like whole sectors of the economy will shut down forever. Thousands of restaurants might go out of business, but for everyone that does, I have no doubt one will amazingly find a way to stay open. After all, people have to eat.
The vast majority of businesses operate two shifts, a first and second shift. And many operate three or even four shifts. Most five days a week, but plenty are open seven days a week. Even for a small business, that can be a fair amount of people. And as any business owner can tell you, it's often hard to fill the early morning spots, the late closing spots and most of all the weekend spots. If the business wants to stay open, they have to be staffed with spots on every shift they are open. So, in short, there is no reason young and less educated workers won't be able to find jobs.
Article 3, Quote 2- " Many employers will be very reluctant to pay high wages to workers whose skills – including the ability to speak English, in the case of many immigrants – are so modest."
I guess many employers might be very reluctant to pay their workers a living wage, but they won't have much choice. The choice is simple: pay your workers or go out of business.
Article 3, Quote 3-"For instance, fast-food workers might be more easily replaced by robots. Hotels may reduce their tendency to automatically clean the rooms of their guests, and may charge extra for doing so."
Replacing employees with robots is nearly a pure fantasy. Self aware robots with human level intelligence don't exist. Some tasks can be replaced by robots, but few whole jobs. I doubt hotels could get away without cleaning guest rooms: that sounds like it would violate a health and safety law or two. And few people would pay for a used hotel room full of garbage and who knows what else from a previous person. And, as always with any business, they might always and an additional charge to make more money.
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