Why is the minimum wage so low?

This isn't much of a rant but perhaps someone can explain this to me...

Why is the minimum wage so low?

In Ontario where I live its $10.25... and while that isn't as bad as other places in the world its still hard to live off of such a meager wage...

Now with a quick google search one would find the minimum wage in the US is $7.25... I would assume that is almost impossible to live off of but im sure people make it work... Congrats to those that do, that is talented budgeting

Personally... I think the minimum wage should be $15.00 an hour across the board... It would stimulate the economies of the world because people would have the money to buy more things and live comfortably...

I can and have lived off $15 an hour... quite comfortably

I would say most people know where the money in every company goes... likely to the CEO of the company or share holders... but theres so many of these higher ups making well over 5-6 figures while the people that actually run the business struggle to make ends meet with $7-8 dollar wages...

Its sad that the only explanation for this pathetic wage of living is greed from the higher ups...

$15.00 an hour is a fair wage... its not great but its definitely workable...

with that people would have more money to spend... people would be happier, and a good portion of it would be returned to the economy of the country...

so I say $15 across the board for the minimum wage.... its only fair for people that bust their asses trying to earn a living

Why is the minimum wage so low?

The minimum wage is so low because people accept the pay.

I understand people need to work and the economy is .....sucks. If people refused the jobs or walked out on the employers then wages would increase.

You can't blame the companies. Well you can but put yourself in their shoes. For example....

Tommy will mow your lawn for $7.50 then Billy comes along who says he will mow your lawn and wash your car for $6.00.

Who do you hire?

reply to post by justreleased


I can blame the companies... IF you work at McD and make $10 an hour, while the CEO's of the company make millions every year... something is wrong there

Any successful business has someone at the top collecting money...

these companies choose to pay smaller wages because they're the only jobs available for some people... but if the rule was $15Hr across the board, their employees would be happier, which would give a bit of incentive to keep their jobs...

and again the money would be put back into the local business anyways

Federal minimum wage is a joke. It makes for no competition between companies.

justreleased

Why is the minimum wage so low?

The minimum wage is so low because people accept the pay.

I understand people need to work and the economy is .....sucks. If people refused the jobs or walked out on the employers then wages would increase.

You can't blame the companies. Well you can but put yourself in their shoes. For example....

Tommy will mow your lawn for $7.50 then Billy comes along who says he will mow your lawn and wash your car for $6.00.

Who do you hire?

You hire Tommy because:

Tommy is a human being and you are a multinational company with many offshore accounts that hide your true assets. You know that you could easily pay Tommy $7.50 for his hard work and also that Tommy would have earned a fair wage for the task at hand. Paying him fairly also mean's Tommy will more than likely have disposable income, which will better other businesses large and small.

You could hire billy and get the same stuff, you'll save yourself $1.50 that you will only store in an offshore tax haven and benefit absolutely no one.

Tommy is definitely your guy.

reply to post by Akragon


I think you are right but in a few you will get the usual crew here claiming it would drive prices of everything up while completely ignoring the fact that upper management has been soaking up those profits for years making ungodly sums of money.

It used to be that CEO types made 10 to 20 times what median wage was now they make 100 to 500 times more. Do they work 180 to 480 times more than the CEO's of the 50s? Nope they do not. Anyway that's why the median and minimum wage hasn't gone up all the money went to the slave masters.

In Australia the unions and people worked towards a higher minimum wage. It works on a sliding scale based on age.
This means that people who work can maintain a standard of living that is at least slightly better than welfare.


Ref:www.fairwork.gov.au...
"National minimum wage for adults

Currently the full-time minimum wage is $16.37 per hour or $622.20 per week. This means that most employees in the national system shouldn't get less than this.

Casuals covered by the national minimum wage get an extra 24% ($20.30 per hour).
National minimum wages for apprentices, juniors & trainees

There are special national minimum wages for trainees, apprentices and juniors who don’t have an award or agreement. From 1 July 2013 these are:

Juniors:

Age % of national minimum wage Minimum hourly rate
Under 16 36.8% $6.03
16 47.3% $7.74
17 57.8% $9.46
18 68.3% $11.18
19 82.5% $13.51
20 97.7% $16.00

Apprentices

Apprentices who aren’t covered by an award or agreement are entitled to the relevant rates in the Miscellaneous Award 2010.

Year of apprenticeship % of the level 3 adult hourly rate ($19.07) Minimum hourly rate
1 55% $10.49
2 65% $12.39
3 80% $15.25
4 95% $18.11"

Minimum wage is low, and most minimum wage companies give 28 hours or less per week to avoid having to pay benefits.

There is no 'creative' budgeting; it qualifies workers for government handouts in order to survive, making them dependent. You don't bite the hand that feeds you.

If minimum wage goes up, inflation goes up even more.

I just looked up Alberta's minimum - it's $9.95 an hour. Lowest in Canada.
I had thought it would have been one of the higher waged places.
There's a fee for everything. It's expensive here

reply to post by Akragon


Okay but the thing is you can't compare the average person to a CEO of a major international corporation.

Like them or not most of the people in those positions have advanced degrees and deserve a higher income. It's ridiculous to imply a high school drop out should earn the same as a person who achieved a Master's degree.

Minimum wage should be at a higher rate than what it is in most areas but as I stated earlier if people continue to accept the wage then why blame the companies?

reply to post by Akragon


My Dad always ranted about how as living costs go up wages should go up too...

How they expect us to be able to afford to even just live on the small wage we receive is utterly sickening. While they line their pockets with anything money can buy...

But I try not to complain too much. Peeps out in Angola earn $2 a day...

However it needs to be changed as it will come to a point where the consumers that the companies rely on cannot afford to consume. So something has gotta break right...?

SearchLightsInc

justreleased

Why is the minimum wage so low?

The minimum wage is so low because people accept the pay.

I understand people need to work and the economy is .....sucks. If people refused the jobs or walked out on the employers then wages would increase.

You can't blame the companies. Well you can but put yourself in their shoes. For example....

Tommy will mow your lawn for $7.50 then Billy comes along who says he will mow your lawn and wash your car for $6.00.

Who do you hire?

You hire Tommy because:

Tommy is a human being and you are a multinational company with many offshore accounts that hide your true assets. You know that you could easily pay Tommy $7.50 for his hard work and also that Tommy would have earned a fair wage for the task at hand. Paying him fairly also mean's Tommy will more than likely have disposable income, which will better other businesses large and small.

You could hire billy and get the same stuff, you'll save yourself $1.50 that you will only store in an offshore tax haven and benefit absolutely no one.

Tommy is definitely your guy.

What?

No, I hired billy because I work at McDonalds and they pay me minimum wage.

justreleased
reply to post by Akragon

 

Okay but the thing is you can't compare the average person to a CEO of a major international corporation.

Like them or not most of the people in those positions have advanced degrees and deserve a higher income. It's ridiculous to imply a high school drop out should earn the same as a person who achieved a Master's degree.

Minimum wage should be at a higher rate than what it is in most areas but as I stated earlier if people continue to accept the wage then why blame the companies?

these companies are part of the community they're in... thus being a part of the community I believe its only responsible to give employees something more then table scraps...

its nice to know at the end of the week you can afford groceries, and be able to pay the bills... perhaps even have a bit left over for a case of beer...

im not expecting people to make 50k a year... hell $15 an hour isn't that much of an income....

but again, when theres people in that community with that degree making 100k a year... theres more then enough money to give the simple folk a bit more then slave wages

reply to post by Akragon


I agree.

Making a little more than minimum wage I still struggle at times. I'm not justifying the greed of corporations I'm just saying until the average person makes a stand it won't change.

We can bitch and moan but at the end of the day it does no good.

As they say actions speak louder than words.

Higher wages = extra cash to be spent = higher demand for goods = higher costs of goods = higher costs of living.

You think $15.00 an hour sounds good until the cost of bread jumps 100% soon thereafter.

I believe people should be paid based on their ability, not a federally mandated set $$ amount.

Peace.

reply to post by QUANTUMGR4V17Y


Im gonna have to disagree with that...

IF a bread company is making more money from their product because more people can afford to buy it... they turn a good profit, and theres no reason to increase the cost of their product.

and besides that.. IF bread is say 2$ an loaf, and it increases to $4... its still affordable on a $15hr wage...

IF said person makes $7 an hour, bread isn't affordable anyways.... which is just sad

This is what happens when unions lose power. I worked one Union job as a local truck driver I made like $18 an hour and on the weekends did a long haul to make extra on a different pay scale. My dues were like $20 a week not a lot. The company had a sister company that wasn't union, and they actually paid more with less benefits. After a couple years management changed up the way they operated things and ran the company into the ground while building up the other company. One year after the closed CF(consolidated freight) they lowered the pay at their sister company to about half of what they were paying before all while increasing the management and CEO pay.

With Unions becoming fewer and fewer the lopsided pay scales will remain the same or get worse. Employers do not give a damn about their employes they only care about what they make.

The cost of living has gone up the cost of food has skyrocketed and the companies supplying those services and goods has been collecting it the difference is that the management figured out they could pocket that money instead of paying their employes proportionately. If the minimum wage increased the CEOs would expect to increase their pay as well.

The lords and masters have to adorn their throne's and hilltop castles.

reply to post by Akragon


Factor in taxes like PST, GST or HST...a gallon of milk, loaf of bread, gasoline... and 15 per hour is a luxury in the US. In Canada...still bargain bin shopping.

Not saying it's all roses but much better IMO.

Peace

To control the money. Society takes 3 levels of people, high minimum wage would not be seen as being minimum as its inflated to a middle class earning. Therefore, they would see all hell break lose.

Gotta keep the poor under control, and all that jazz

If $15 / hr. is good, why not make the minimum wage $150 / hr.? I could pay off my mortgage in no time.