Quote:
Originally Posted by Jamesp
What's missing here is that businesses don't have the operating margins to pay more. They will be undersold, and go bankrupt. If a business does not turn a profit, it ceases to exist. If the owners don't get the required return on investment and risk, they go elsewhere or perish. Stock prices are no indicator of business health, I cite the tech bubble, Long and short, if Walmart employees or any employees want to make a point, leave. If you can not do that, stay. I have personally done that on more than one occasion. Vote with your feet. If every "low pay" Walmart employee walked out today, Walmart would cease to exist tomorrow.
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I'm not talking about
all businesses. I've long believed that if you're going to have a minimum wage, then every business in America should not be held to the same state and federal minimum wage. Businesses with a million plus employees like a Wal-Mart should lose deductions if they pay within a certain % of the minimum wage. They benefit from the low bar of minimum wage by paying peanuts since peanuts is all that the average small business struggling to survive must legally pay.
And I disagree that all businesses in America can't afford to pay any more. I don't think this side discussion was focused on businesses that are on the margin.
More so corporations that record more revenue than the GDP of most developing nations.