I was engaged in a Facebook discussion regarding workers wages and how much they earn for their efforts compared to the business owner’s compensation and how much effort they provide to create a the product or service they enjoy a vastly larger income from.
In the discussion a business owner went above and beyond, patting themself on the back for “really wanting to give larger raises,” but explains that operating costs unexpectedly rose too fast for the operation to be able to make the increased wage happen.
To that I say then you are not actually running a profitable business you are just endeavoring in a huge cover up story of producing a product or providing service so you can engage in wage theft.
This is not only problematic, but possibly criminal for a business operator. Or at the very least, should be criminal.
In my view, the business owner may be acting fairly under the current law but there is still some unknowns… does she pay her employees a wage that provides a respectable standard of living? does she provide the support and training that increases her workers’ worth?
Are the supervisors who she pressures to achieve her goals and hold her workers to the necessary standards paid well enough to not panic and become tyrants to those they manage?
Does she cap wages for certain roles but benefit when those roles are filled by long term experienced employees? What would a worker end up with as a retiree of her production? Can her average worker afford to take time off to tend to family emergencies, sicknesses, and / or wellness needs? What about vacations or community work? Are they able to be part of the community they work in?
Many workers, even highly skilled, well paid employees are unable to afford to live within the community they work in. This leads to increased commute times. Less time being present for a quick lunch break at home to walk a pet or take a late lunch to participate in a kids carpool or be available to be present for civic engagement with their local government because of the commute or some do not have flex time.
I encourage bosses, owners, and investors to realize that many times the sacrifices they ask of those employees they reward with bonuses are actually less able to be an active participant in socializing.
There are a lot of ways employees are under compensated and it’s not always about money.
Lastly, if expenses go up for your business, as mechanisms of market increases in utilities and taxes, I’m going to assume that those same expenses are also increased for the individuals in the community, at least through prices rising in the cost of living. So why, when an expense rises, isn’t assumed that wages will need to be adjusted upwards and therefore a new pricing structure is needed that covers all the costs of goods?
See here is the thing that is so wrong… businesses are not acting in good faith when operating costs go up if they do not also increase wages. Yes, then prices need to rise. Yes, that may create less sales but if it were regulated more in favor of workers, or more workers had less obstacles in seeking to organize, we suddenly find that as the costs of doing business increases, and therefore prices and wages also increase, we would actually see a market that remains active because compensated workers who are provided the flexibility and support to flourish can then afford the increased costs that bosses, owners, and investors need to charge so that each enterprise continues to be an ongoing concern.