The minimu wage should be set at a level where the state does not need to subsidise the wages of those in work. Corporate welfare should not come out of taxpayers pockets.
First off, if you subsidize the employee.... that isn't corporate welfare. The corporate was never obligated for anything, whether the tax payer is stupid enough to subsidize a someone or not.
Again, as has been proven MILLIONS OF TIMES.... if you raise the minimum wage, people lose jobs.
Walmart had an average of 330 people employed per store in 2006, when the minimum wage was $5.25.
By 2010, when the minimum wage was raised to $7.25, the average number of employees per store was down to 280.
50 less employed per store, is thousands on thousands of people unemployed. Those unemployed were collecting far more benefits, than they were when they were employed.
Which is better? Partial welfare while they are at least working a job? Or full welfare, with them unemployed?
No one is subsidizing Walmart. You are just flat out wrong.
What you are parroting is the corporate mantra. They will never pay a decent wage if the taxpayer chips in to help. every time the mnimum wage is raised we hear the same stuff. But here is the thing. You have a minimum wage that has been raised in the past. And yet you have record employment.
So how does that work ?
No, that's just a fact. Everything I said, was documented fact.
They do pay a decent wage.
I've worked mom&pop shops, and I've worked at large corporations.
If these companies are so terrible, let's ban them, and see how much better off you are at tiny shops.
Tiny companies not only pay minimum wage, but they also have almost no benefits whatsoever.
The last company I applied to work for, openly said they no longer provided any health insurance at all. This was after Obama Care was passed. Before that, everyone offered health insurance.
And not just health insurance either. I had a friend who worked for Walmart. She got into Walmarts tuition reimbursement program, and ended up getting a degree in civil engineering, while working at Walmart.
If she had been working at some small business, she could not have done any of that.
You people do not know what you are talking about.
Your anecdotal testimony does not trump my point. You have record employment despite having a minimum wage.
I would agree that Walmart are not all bad. They trade in the UK and I have friends that work for them. They do some good things but not many.
We had your argument in the UK. Minimum wage would cause unemployment. This didnt happen.
Zero hours contracts and the gig economy are the other things we have imported from the US. These are ticking bombs as folk are unable t save for pensions or get credit,buy houses and so on.
So the kid who works on zero hours and is financially not viable will eventually turn to the state to support him when he cant work.
Meanwhile his parasite employers count their billions. It is so very wrong.
Actually it does trump your point completely.
You claim businesses are not paying enough, and yet all the businesses you cite, pay on average, better wages than the alternatives.
We had your argument in the UK. Minimum wage would cause unemployment. This didnt happen.
Your unemployment rate is comparable to the US unemployment rate, because your real minimum wage isn't that much different than ours.
The only minimum wage that is higher, would be for those over the age of 25, which is about $10/hour. But most people over the age of 25 are already earning more than $10/hour.
I was earning $10/hr when I was 20. That's with zero education, and zero skills.
By age 25, everyone should be earning $10/hour or close to it. That simply is not an impressive minimum wage.
What is more interesting, is that people under the age of 25, or people in apprenticeships, have a much lower minimum wage. $5.40 an hour, is not a high minimum wage.
So it doesn't surprise me that you have very little negative consequences. It is the very people who have the lower minimum wage, that are most likely to be earning minimum wage.
Now if you bumped your minimum wage up to say.... £12/hour ($15.50 USD), and then you had little to no negative consequence.... ok then you would have compelling evidence that I would consider. In fact, if you imposed a £12/hour minimum wage across all ages, across all of the UK, and you did not have a recession.... I would change my mind on the minimum wage. That would be clear evidence to me.
But guarantee you won't do that. It would destroy the UK economy.
In fact, I think your minimum wage, actually encourages people to work in some ways.
The 25 and younger group, is the primary group that ends up unemployed in most countries.
By have a minimum wage that is lower for that specific groups, you actually cause employers to demand that group. Everyone that gets older (I wager) is less desirable to employers. Thus employers are specifically looking for younger workers, the very group most likely to be unemployed.
By having a minimum wage, that is lower for the group of people most likely to be unemployed, you directly encourage employment of that group.
But if you have all of these exemptions from the minimum wage, then it almost doesn't exist.