The news has been reporting on and off for the last few years about the possibility of increasing the minimum wage.
Now there are people lining up on both sides of the issue, but the more vocal proponents are those who want the increase. But I also doubt that they are giving any thought to the consequences of these actions.
Now I work with small to medium sized closely held businesses and most do not pay their employees the state minimum. For full disclosure, I do pay a small segment of my employees the state minimum. But these are my kids who work for me part time for money to cover their expenses.
But the consequences will be higher prices, less employees hired, an increased work load for those who work for the companies. The cost of hiring an employee can be tremendous for an employer. Especially a small employer. For every dollar paid, they have to pay not only the wage, but worker’s compensation insurance, match Social Security wages, match Medicare. They are required to pay state and federal unemployment taxes
One of my son’s worked for McDonalds for almost a year. After a year he would have been eligible for a $.10 increase. He left for a different employer and received a $1.00 increase per hour. This is the benefit of living in the United States, you don’t like your situation you can change it. Is it easy? Hell no.
Here he was a high school student that took it upon himself to make the change. He felt that the time he was selling was worth more than what he was paid. He had not special skills but applied at an office and was hired at an entry level. He worked there full time over the summer.
Running a business is not cheap in Illinois or in any other place in the US. But people do it on a regular basis. Not everyone is making a fortune. I know owners who make less than their employees. Because the employees come first and the owner sacrifices their immediate future for the long term game plan. There are business making a fortune, but there are those who are just trying to stay in business.
If you are not happy with your lot in life, then do something about it. Do not wait for the government to hand you anything. There are employers who have high school level starting positions that will reimburse for some college expenses. I have been asked to take on an intern from one of these employers. Now we have the challenge to assist them while they are working full time and going to school part time and finding time in all of our schedules to make this work.
It will take time and effort, but it can be done. You just have to want it enough.