Raising the minimum wage: another sign of the times

This video from Blue Collar Logic, explains how the minimum wage should work.  It applies, or should apply, everywhere and anywhere. The current debate about rising minimum wages here in Ontario and around the world is just another sign of the times. Young adults want and expect to earn lots of money at the beginning of their careers, instead of working their way up the ladder as most of their parents and grandparents did.

minimum wage

 

A recent post complained about how people here in Ontario are blaming a specific Tim Hortons franchise owner for reacting to a rising minimum wage by cutting back on paid breaks and benefits.  Because this particular franchise owner happened to be the rich relative of the Tim Hortons founder, their actions were judged to be greedy, mean and bully-like.  Because of the greed (perceived) of one small (wealthy) business owner some people are now boycotting all Tim Hortons franchises.  How much sense does that make?

The fact is, one that blind supporters of the rising minimum wages forget or choose to misunderstand, most small businesses are not run by wealthy people.  The majority are run by people who have worked very hard for years to establish their business. Most of them started out working for a low minimum wage, but were ambitious and motivated enough to climb a long ladder to achieve their current success at the top of that ladder.

minimum wage

 

Many of these owners have no choice but to cut back when forced with a rise in minimum wage.  It makes no (business) sense to raise the wage of inexperienced new hires simply get their wages closer to that of their owners.  Unless you are a politician looking to get votes after losing face with the hydro fiasco.  Then it makes perfect sense, give the young adults, the ones that don’t yet pay hydro bills, a raise.

 

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