CBO Report on Raising Minimum Wage

[Googballz 39]

I'm guessing his primary responsibility is to shareholders, not the employees.

I'm guessing I said nothing about his primary responsibility.

 

But now that you bring it up, what do you think his shareholders would do if he failed to keep Ford viable to support those 224,000 jobs?

[gocolts 300]

My take. It helps the lower earners and hurts the higher ones.

 

For example: Walmart pays cashiers from minimum-20 an hour. If they have to start people at 10 an hour then they will peak people at 14-15.

 

I do not know how it will affect all Walmarts because it only applies to a federal minimum wage. Does this mean since Walmart has federal contracts they must pay every employee the federal minimum wage?

It does not help the lower earners. Most prices for goods and services have to increase to cover the higher wages since we know these businesses do not just eat the increased labor costs.. So the entire increase is eaten but the higher costs. They gain NOTHING.

 

The folks who already make above minimum wage are hurt too. Just because minimum wage goes up, does not mean everyone making above minimum wage gets a raise. Most do not, yet all the prices went up, so they are bringing home less.

 

Raising the minimum wage is nothing but feel good legislation. It hurts us all, except the super rich.

[DankNuggs 305]

I'm guessing his primary responsibility is to shareholders, not the employees.

That simply isn't true, without that strong employee base you can't operate successfully. They complete for their employees loyalty. The employee is free to take their talents to the best opportunity that comes their way.

[DankNuggs 305]

It does not help the lower earners. Most prices for goods and services have to increase to cover the higher wages since we know these businesses do not just eat the increased labor costs.. So the entire increase is eaten but the higher costs. They gain NOTHING.

 

The folks who already make above minimum wage are hurt too. Just because minimum wage goes up, does not mean everyone making above minimum wage gets a raise. Most do not, yet all the prices went up, so they are bringing home less.

 

Raising the minimum wage is nothing but feel good legislation. It hurts us all, except the super rich.

This is true, but it is also true that if they paid 4 people 7.50 an hour for a scope of work, if forced to pay 10.00 an hour they'll try to get it done with 3 people, or 3.5 people. Prices will eat as much of it as they can bear and the rest will be eaten by efficiency.

 

Corporate austerity has proven extremely profitable in this recent cycle

[MDC 7,405]

That simply isn't true, without that strong employee base you can't operate successfully. They complete for their employees loyalty. The employee is free to take their talents to the best opportunity that comes their way.

As CEO's responsibility is to generate profit, not to keep people employed. Sometimes maintaining or growing a strong workforce is incidental to that goal, other times cutting workers or off shoring jobs is. The bottom line is that the CEO isn't in the business of keeping people employed.

[SUXBNME 1,499]

As CEO's responsibility is to generate profit, not to keep people employed. Sometimes maintaining or growing a strong workforce is incidental to that goal, other times cutting workers or off shoring jobs is. The bottom line is that the CEO isn't in the business of keeping people employed.

Me thinks you are mistaking the CEO with the CFO.

 

Either way back to my question, (worms) Please essplain to me why 30 mil a year is 'absurd' for the CEO of Ford. tia

[jerryskids 6,790]

As CEO's responsibility is to generate profit, not to keep people employed. Sometimes maintaining or growing a strong workforce is incidental to that goal, other times cutting workers or off shoring jobs is. The bottom line is that the CEO isn't in the business of keeping people employed.

Technically, a CEO's responsibility is to maximize share value. But to your point, that doesn't typically involve maintaining employees.

[MDC 7,405]

Technically, a CEO's responsibility is to maximize share value. But to your point, that doesn't typically involve maintaining employees.

That's like exactly what I said, only a few posts later.

[jerryskids 6,790]

That's like exactly what I said, only a few posts later.

No it's not. Maximizing share value != maximizing profit. Plenty of companies are measured by other metrics including market share growth etc. Tech companies have been valued at billions of dollars without ever making a dime.

 

But, thanks for making me regret agreeing with your general premise. I'll revert to my neorepublicontard persona now.

[MDC 7,405]

No it's not. Maximizing share value != maximizing profit. Plenty of companies are measured by other metrics including market share growth etc. Tech companies have been valued at billions of dollars without ever making a dime.

 

But, thanks for making me regret agreeing with your general premise. I'll revert to my neorepublicontard persona now.

We agree that a CEO's responsibility is not to keep people in jobs. Whether it's maximizing profit, growth etc. the size or security of the workforce is incidental to another goal. At least unlike Google and Dank you seem to get the idea.

[jerryskids 6,790]

We agree that a CEO's responsibility is not to keep people in jobs. Whether it's maximizing profit, growth etc. the size or security of the workforce is incidental to another goal. At least unlike Google and Dank you seem to get the idea.

Well then why did my agreeing with your basic premise call for a snarky remark, you socialist liberal doosh?

[MDC 7,405]

Well then why did my agreeing with your basic premise call for a snarky remark, you socialist liberal doosh?

Because I think you're an ass?

[IGotWorms 4,058]

Please explain to me how this is an absurd number.

 

Hi RP, so glad you're back