Economics 101: Wal-Mart Hikes Minimum Wages, Prepares To Fire 1000

[USNavyVet]

I know people who work at Wal-Mart and the pay increase only helps the new employees. Most others already make more than that and get no boost. Also, those who have worked there for years are seeing their times cut so the pay increase really doesn't matter. You'll see more of this as other companies also raise the pay of entry level employees.

 

[eagle1462010]

Anyone shocked by this will have little means to understand what it means... for the rest of you, it's just simple validation of your observations, RE: natural law.




"Please remember, these people are our neighbors and friends. You have a skill that will be very much in need when this goes down. You are experts in the job market and you know what it takes to get hired. This is a time for us to step up and do what we can to help."

The quote above is from an internal memo sent to employees of Northwest Arkansas recruiting firm Cameron Smith & Associates and references an expected wave of layoffs at WalMart’s home office in Bentonville.

The memo was obtained by the Arkansas Democrat-Gazette, who spoke with Cameron Smith himself via e-mail.

"The last time Walmart had a large layoff (800 plus), we were unprepared and overwhelmed with phone calls, emails, resumes and walk-ins," Smith told the paper, referring to a series of cuts at WalMart in 2009. The next round of layoffs are just around the corner and could affect as many as 1,000 employees Smith contends, citing conversations with company insiders.

As those who follow the retailer closely are no doubt aware, context is key here.

Back in April, we asked why WalMart was mysteriously shuttering geographically distinct stores nationwide for "plumbing problems." The company, citing the need to repair persistent "clogs and leaks", closed five stores across the country almost simultaneously. The 2,500 affected employees were in some instances given almost no notice whatsoever.

After a few enterprising reporters determined that no plumbing permits had been filed in any of the locales where the shuttered stores were located, conspiracy theories sprung up, the most outlandish of which posited a link between the store closings and the Jade Helm 15 military drills which began earlier this month in Texas and six other states.

For our part, we argued that the store closures were more likely the result of two things: i) the need to cut costs, and ii) the desire to close a "problem" store in California that had for years served as a hotbed for union activism. For now, we won’t dive into the union issue, but for those interested, see here, here, and here. "

Economics 101 Wal-Mart Hikes Minimum Wages Prepares To Fire 1000 Zero Hedge

That's not natural law. That's regulated capitalism at work, adjusting to market conditions, including regulation and the cost of labor. If you can't pay a living wage, don't bother starting the business, we don't need it.

Report 254 companies left California in 2011 - The Orange County Register
In 2011, 254 California companies moved some or all of their work and jobs out of state, 26% more than in 2010, according to Irvine business consultant Joe Vranich who has been tracking these departures since 2009.

Twenty-eight of these companies were in Orange County. Seven of them moved or expanded to Texas, three to Mexico, two to Washington and one each to 16 other states, said Vranich, who has changed the name of his business from The Relocation Coach to Spectrum Location Solutions,which helps companies define their goals, find new locations and coordinate the move.

The pace is accelerating, Vranich said. An average of 4.9 businesses left California each week of 2011, compared to 3.9 per week (202 total) in 2010 and one a week (51 total) in 2009.


The companies agree with you.

 

[eagle1462010]

California is run by retarded Liberals.

Then there's California's polar opposite: Texas.

A "no tax state", Texas takes it a step further by touting itself as the last bastion of freedom in this country. To its credit, four million people have migrated to Texas in the last 10 years.

Admittedly, it is due to a multitude of reasons but foremost is the economic opportunity Texas offers.

So how does California compare to Texas? Here's the breakdown:

• California has the 4th highest Cost Of Living Index in the country. Texas has 2nd lowest.
• Minimum wage is$8.00 in California. It's $7.25 in Texas.
• Including taxes,$8.00 buys $6.05 in goods and services in California. In Texas the same $8.00 buys $7.25
• Proportionately, there are42% more poor people in California than Texas.
• In California it is hard to start business requiring 4 to 5 years to break ground and start construction. In Texas it is 4 to 5 months.
• The gas tax is $0.49 a gallon in Cali. In Texas it's $0.20
• Median rent is $801 in Texas….$1,163 in California.
• And the median home price is $128,100 in Texas vs $370,000 in California.

But those aren't the only reasons to like Texas….

Here's another: One state is poster child for big government while is representative of free enterprise.

Here's why. Just take a look at how each state went about building a bullet train.

It's a tale of two states:

In Texas: A bullet train was suggested and approved for construction from Houston to Dallas, financed totally through private business. Total cost for this venture is $10 billion with a completion date as scheduled. No increase in fees, overages or extensions are expected. In this case, no government funding is either anticipated or needed.

In California: The project is government funded. The original cost for the link from Los Angeles to The Bay Area was estimated to cost $45 billion but is now projected to cost $68.4 billion. The Bullet train's original 220 mph speed has been cut to a more conventional speed due to the local environment and the agency overseeing the project is $54 billion short for completion of the project. An additional $38 billion is needed in federal tax dollars over the next 15 years. At present, The rail agency can build the track from Bakersfield to Merced since it has the $5.9 billion to complete this phase. But after that funding is questionable at best.

At the end of the day, it appears the result could be, a high-speed bullet train that travels slowly on a lonely track thru a modestly traveled Central Valley where it wasn't really needed at all, at a potential completion cost of $68.4 billion dollars.

It is no secret, free enterprise is more efficient than big government.

 

[eagle1462010]

The Weekend Interview with Joel Kotkin The Great California Exodus - WSJ

Nearly four million more people have left the Golden State in the last two decades than have come from other states. This is a sharp reversal from the 1980s, when 100,000 more Americans were settling in California each year than were leaving. According to Mr. Kotkin, most of those leaving are between the ages of 5 and 14 or 34 to 45. In other words, young families.

The scruffy-looking urban studies professor at Chapman University in Orange, Calif., has been studying and writing on demographic and geographic trends for 30 years. Part of California's dysfunction, he says, stems from state and local government restrictions on development. These policies have artificially limited housing supply and put a premium on real estate in coastal regions.

"Basically, if you don't own a piece of Facebook or Google and you haven't robbed a bank and don't have rich parents, then your chances of being able to buy a house or raise a family in the Bay Area or in most of coastal California is pretty weak," says Mr. Kotkin.


The REPLACEMENTS.............
The Fiscal Burden of Illegal Immigration on California Taxpayers 2014

Californians bear an enormous fiscal burden as a result of an illegal alien population estimated at almost 3 million residents. The annual expenditure of state and local tax dollars on services for that population is $25.3 billion. That total amounts to a yearly burden of about $2,370 for a household headed by a U.S. citizen.

Nearly half of those expenditures ($12.3 billion) result from the costs of K-12 education for the children of illegal aliens — both those illegally in the country and those born in the United States. Another major outlay ($2.1 billion) results from the need to provide supplemental English language instruction to Limited English Proficient students, many of whom are children of illegal aliens. Together, these educational costs are 57.1 percent of total expenditures.

Other fiscal outlays result from the costs of medical care ($4.0 billion), public assistance services ($800 million), administration of justice functions ($4.4 billion), and general governmental services ($1.6 billion).

 

[PaintMyHouse]

The companies agree with you.

Capitalism has it's only brutal logic to it. We don't regulate it for nothin'.

 

[PaintMyHouse]

I can make millions of jobs here, if you'll work for $2 an hour. Planning to sign up?

If I am unemployed and can't find anything else....I just might. At least I'd eat (and not at someone else's behest).

Funny how what you describe is simply a reality of the market.

You could make a million jobs.......if....big if......

Nope. It would be a snap, at slave-wages. Keeps China in business just fine.

I have no idea what you are saying here. Your one liners don't carry much logic or connection.

Please post a little more when you've got time to give it some thought.

If you can't keep up, don't bother trying. I'm not here to spoon-feed you basic economics.

 

[eagle1462010]

The companies agree with you.

Capitalism has it's only brutal logic to it. We don't regulate it for nothin'.

Enjoy what is left of it...............as they all leave..................

But don't worry..........you got Mexicans coming to your rescue..................Perhaps they will sell you a taco................

Your State is Detroit on Steroids..................and under FREE TRADE...........the United States is Detroit on Steroids to places like Mexico, China, and Vietnam.............as the companies and CORPS flock to greener pastures.

 

[eagle1462010]

 

[PaintMyHouse]

The companies agree with you.

Capitalism has it's only brutal logic to it. We don't regulate it for nothin'.

Enjoy what is left of it...............as they all leave..................

But don't worry..........you got Mexicans coming to your rescue..................Perhaps they will sell you a taco................

Your State is Detroit on Steroids..................and under FREE TRADE...........the United States is Detroit on Steroids to places like Mexico, China, and Vietnam.............as the companies and CORPS flock to greener pastures.

Capitalists love cheap labor. You thought you didn't need to make TVs and computers here, let alone socks and underwear, because you were all hot-shits going to day-trade your way to owning a vacation house. Now you work at Wal-Mart in a race to the bottom.

The US slit its own throat, don't look at me, I have two companies and have been watching the train wreck of Free Trade for decades.

 

[eagle1462010]

The companies agree with you.

Capitalism has it's only brutal logic to it. We don't regulate it for nothin'.

Enjoy what is left of it...............as they all leave..................

But don't worry..........you got Mexicans coming to your rescue..................Perhaps they will sell you a taco................

Your State is Detroit on Steroids..................and under FREE TRADE...........the United States is Detroit on Steroids to places like Mexico, China, and Vietnam.............as the companies and CORPS flock to greener pastures.

Capitalists love cheap labor. You thought you didn't need to make TVs and computers here, let alone socks and underwear, because you were all hot-shits going to day-trade your way to owning a vacation house. Now you work at Wal-Mart in a race to the bottom.

The US slit its own throat, don't look at me, I have two companies and have been watching the train wreck of Free Trade for decades.

I've been arguing against Free trade since the beginning, and understand it's the wrong path. Just as your living wage crap will not solve the problem either...................

Again, tax the living shit out of all that is left there and enjoy the companies leaving......

 

[eagle1462010]

The companies agree with you.

Capitalism has it's only brutal logic to it. We don't regulate it for nothin'.

Enjoy what is left of it...............as they all leave..................

But don't worry..........you got Mexicans coming to your rescue..................Perhaps they will sell you a taco................

Your State is Detroit on Steroids..................and under FREE TRADE...........the United States is Detroit on Steroids to places like Mexico, China, and Vietnam.............as the companies and CORPS flock to greener pastures.

Capitalists love cheap labor. You thought you didn't need to make TVs and computers here, let alone socks and underwear, because you were all hot-shits going to day-trade your way to owning a vacation house. Now you work at Wal-Mart in a race to the bottom.

The US slit its own throat, don't look at me, I have two companies and have been watching the train wreck of Free Trade for decades.

Are you hiring illegals...........................Just asking.

 

[PaintMyHouse]

The companies agree with you.

Capitalism has it's only brutal logic to it. We don't regulate it for nothin'.

Enjoy what is left of it...............as they all leave..................

But don't worry..........you got Mexicans coming to your rescue..................Perhaps they will sell you a taco................

Your State is Detroit on Steroids..................and under FREE TRADE...........the United States is Detroit on Steroids to places like Mexico, China, and Vietnam.............as the companies and CORPS flock to greener pastures.

Capitalists love cheap labor. You thought you didn't need to make TVs and computers here, let alone socks and underwear, because you were all hot-shits going to day-trade your way to owning a vacation house. Now you work at Wal-Mart in a race to the bottom.

The US slit its own throat, don't look at me, I have two companies and have been watching the train wreck of Free Trade for decades.

Are you hiring illegals...........................Just asking.

Nope, but they do the work around here.

 

[eagle1462010]

The companies agree with you.

Capitalism has it's only brutal logic to it. We don't regulate it for nothin'.

Enjoy what is left of it...............as they all leave..................

But don't worry..........you got Mexicans coming to your rescue..................Perhaps they will sell you a taco................

Your State is Detroit on Steroids..................and under FREE TRADE...........the United States is Detroit on Steroids to places like Mexico, China, and Vietnam.............as the companies and CORPS flock to greener pastures.

Capitalists love cheap labor. You thought you didn't need to make TVs and computers here, let alone socks and underwear, because you were all hot-shits going to day-trade your way to owning a vacation house. Now you work at Wal-Mart in a race to the bottom.

The US slit its own throat, don't look at me, I have two companies and have been watching the train wreck of Free Trade for decades.

Are you hiring illegals...........................Just asking.

Nope, but they do the work around here.

Same thing going on around here...........but just not at the same levels..................do you sublet rentals to them...............and allow 20 to a small house while working here......................

Just a few miles down the road is one of those near here.........................

 

[Where_r_my_Keys]

Actually it's confusion of correlation and causation fallacy 101.

ROFLMNAO! There is absolutely nothing about reason that you understand, is there scamp?

There is nothing 'confusing' about any of this and the causation is self-evident. That YOU are confused and deny the causation, is where the fallaciousness comes in, DUMBASS!

 

[Where_r_my_Keys]

By now we all know that the O/P is an imbecile.....

Less workers=more pissed off customers.
Pissed off customers= LESS customers
Less customers= Less sales...
An opportunity hence opens up for competitors....

Yep, capitalism at work,

ROFL!

DELUSION ON PARADE!

But aren't they ADORABLE when they attempt to reason?

 

[Where_r_my_Keys]

That's not natural law. That's {socialism} at work,

Business depression due to the natural, unavoidable effects of unsound, unprincipled regulations, OKA: Socialism, is in fact: NATURAL LAW.

 

[Dont Taz Me Bro]

If you can't pay a living wage, don't bother starting the business, we don't need it.

If you don't want the wage being offered, don't take the job. They don't need you. Someone else will. That's how the real world works. Someday you might actually grow up and understand, but I'm not holding my breath.

 

[PaintMyHouse]

That's not natural law. That's {socialism} at work,

Business depression due to the natural, unavoidable effects of unsound, unprincipled regulations, OKA: Socialism, is in fact: NATURAL LAW.

Learn what Natural Law is, that ain't it.

 

[Where_r_my_Keys]

If you can't pay a living wage, don't bother starting the business, we don't need it.

If you don't want the wage being offered, don't take the job. They don't need you. Someone else will. That's how the real world works. Someday you might actually grow up and understand, but I'm not holding my breath.

'Someone else will', unless someone else is being subsidized at levels above the wage being offered.

This drives down available labor... driving down available labor, drives up the cost of labor. Driving the cost of labor beyond the means of the market to sustain those rates, drives the market to BUST.

We saw this principle come to fruition in the 2008 collapse of the financial markets. Of course the issue being subsidized there was not labor but mortgages.

It is however, the same principle... which will render the same consequences without regard to what is being subsidized.

 

[PaintMyHouse]

If you can't pay a living wage, don't bother starting the business, we don't need it.

If you don't want the wage being offered, don't take the job. They don't need you. Someone else will. That's how the real world works. Someday you might actually grow up and understand, but I'm not holding my breath.

People will work, under the right conditions, for slave wages. Should that be a business model we approve of as a society?

And I am grown up, which is why I own the company and charge my clients by the hour, by the minute actually, and that includes travel time at 50%.