I made this thread because I don't want the overall message to be lost with Bill Maher and his comedic undertone. He made some very good points in that bit that was posted in that other thread about minimum wage and I will further expound on that very idea that he had going. Someone kept asking me to go ahead and "share my thoughts" in that Bill Maher thread so here it is.
So here is the deal, McDonald's and Wal-Mart are underpaying their employees and that is no secret. We can debate as to how much the employees SHOULD be getting paid until we all pass out, but that's not really the issue here.
In business there is a simple goal that ALL companies want to achieve...reduce costs as much as possible. Makes sense right? Sure it does, but the way it is being done today is extreme and not enough people are blasting it.
Wal-Mart and McDonald's are probably the 2 most influential retail spots in the world and the impact that they have on the economy stretches far beyond what a basic person's understanding of what economics are. Bill Maher and a few others have touched up on it and the simple fact is that in essence what Wal-Mart and McDonald's have done is that they have found a way to recoup some of their loss on what they pay their employees.
So for example let's say that the employees at McDonald's eat at McDonald's 3x a week average and on average McDonald's makes a clean $2 profit off each combo meal...that's $6 per worker per week. McDonald's has over 500,000 workers in the United States alone, so theoretically that's an extra 3 million per week or 156 million per year. Essentially McDonald's has figured out a way to earn a return on their biggest expense - the employees. I am just throwing numbers out there, but best believe it factors into the masterminds at the top of the company's master plan. McDonald's workers don't earn much money to have any if at all expendable income which clearly hurts the economy, but doesn't affect McDonald's because they are in a position to offer floor level burgers for $1 a piece. Same goes for Wendy's, Burger King, Hardees etc.
So let's all think like a minimum wage employee would think. You have $20 of expendable income from this last check and all your bills are paid, food is in the fridge, but want to buy some food outside on the weekends to relax after your long week at Mickey D's. What food industry can you really shop at for 3 days worth of cooked food? That's right, fast food joints...they can't lose since they are all competing for that same dollar that the majority of the U.S. has to work hard for. It has become a situation in where you work hard at your job...to shop at your job. In turn this not only hurts the U.S. economy because you have full time workers
Wal-Mart is even WORSE because they sell EVERYTHING generally lower than what other retailers can offer and have the perfect setup in where they have that combination of "competitive" wages plus offer everything one could ever need for their home. Why would someone getting paid shyt @ walmart shop anywhere else? Pride? Throw that out because at the end of the day its all about the numbers, screw quality...BUY CHEAP!
Before the handful out there dismiss this as some sort of liberal rhetoric, understand that I view all politicians the same. They are all businessmen in my eyes.
My solution? Increase wages at the rate of inflation, its the only sensible way to fix this mess that has been created in the first place. The country NEEDS workers with expendable income...want to complain? Fine, GTFOH and have your business somewhere else in the world so that those WITH THE NOW EXPENDABLE INCOME can start new ventures. I feel like I am talking to high school students that don't understand basic principles
So here is the deal, McDonald's and Wal-Mart are underpaying their employees and that is no secret. We can debate as to how much the employees SHOULD be getting paid until we all pass out, but that's not really the issue here.
In business there is a simple goal that ALL companies want to achieve...reduce costs as much as possible. Makes sense right? Sure it does, but the way it is being done today is extreme and not enough people are blasting it.
Wal-Mart and McDonald's are probably the 2 most influential retail spots in the world and the impact that they have on the economy stretches far beyond what a basic person's understanding of what economics are. Bill Maher and a few others have touched up on it and the simple fact is that in essence what Wal-Mart and McDonald's have done is that they have found a way to recoup some of their loss on what they pay their employees.
So for example let's say that the employees at McDonald's eat at McDonald's 3x a week average and on average McDonald's makes a clean $2 profit off each combo meal...that's $6 per worker per week. McDonald's has over 500,000 workers in the United States alone, so theoretically that's an extra 3 million per week or 156 million per year. Essentially McDonald's has figured out a way to earn a return on their biggest expense - the employees. I am just throwing numbers out there, but best believe it factors into the masterminds at the top of the company's master plan. McDonald's workers don't earn much money to have any if at all expendable income which clearly hurts the economy, but doesn't affect McDonald's because they are in a position to offer floor level burgers for $1 a piece. Same goes for Wendy's, Burger King, Hardees etc.
So let's all think like a minimum wage employee would think. You have $20 of expendable income from this last check and all your bills are paid, food is in the fridge, but want to buy some food outside on the weekends to relax after your long week at Mickey D's. What food industry can you really shop at for 3 days worth of cooked food? That's right, fast food joints...they can't lose since they are all competing for that same dollar that the majority of the U.S. has to work hard for. It has become a situation in where you work hard at your job...to shop at your job. In turn this not only hurts the U.S. economy because you have full time workers
Wal-Mart is even WORSE because they sell EVERYTHING generally lower than what other retailers can offer and have the perfect setup in where they have that combination of "competitive" wages plus offer everything one could ever need for their home. Why would someone getting paid shyt @ walmart shop anywhere else? Pride? Throw that out because at the end of the day its all about the numbers, screw quality...BUY CHEAP!
Before the handful out there dismiss this as some sort of liberal rhetoric, understand that I view all politicians the same. They are all businessmen in my eyes.
My solution? Increase wages at the rate of inflation, its the only sensible way to fix this mess that has been created in the first place. The country NEEDS workers with expendable income...want to complain? Fine, GTFOH and have your business somewhere else in the world so that those WITH THE NOW EXPENDABLE INCOME can start new ventures. I feel like I am talking to high school students that don't understand basic principles
