SENATE BILL: Right Wages for the Right Regions Act (On the President's Desk)

[🐒Gods of Prosperity🔱🐲💸]

I'd enjoy Shua's imput, just as additional advice, on his thoughts on job and business growth since we implemented the 12.00 minimum.

My impression is that businesses saw it coming since the law was passed, and so since that point have scaled back on additional hiring until greater consumer demand appears.  The  changes since the implementation of the 12.00 minimum is that hours have been cut back further where possible, and there may be some discouragement of hiring for new start-ups, plus increases in consumer prices in some sectors. Large retailers can generally deal okay with the increase in labor costs without immediate disruption, but it's hurting their profits and expansion and thus their stock prices as well.
Down the road higher wages may feed higher demand, but not yet.

[🐒Gods of Prosperity🔱🐲💸]

The effect of a higher minimum wage does suggest that there would be more jobs in larger, more established companies that are better equipped to deal with high labor costs, and there are some regulations that impact small businesses negatively. However, Atlasian policies redistribute a considerable amount of wealth to small businesses from large corporations.  I'd say small businesses are a comparable or slightly larger share of the market in Atlasia as in RL.

[🐒Gods of Prosperity🔱🐲💸]

The effect of a higher minimum wage does suggest that there would be more jobs in larger, more established companies that are better equipped to deal with high labor costs, and there are some regulations that impact small businesses negatively. However, Atlasian policies redistribute a considerable amount of wealth to small businesses from large corporations.  I'd say small businesses are a comparable or slightly larger share of the market in Atlasia as in RL.

What about the proportion of minimum wage workers? Wouldn't it be higher for small business than in RL?

It could be a little - I'm assunimg it would largely follow the comparative size of the market. Do you have any other thoughts?

[🐒Gods of Prosperity🔱🐲💸]

The effect of a higher minimum wage does suggest that there would be more jobs in larger, more established companies that are better equipped to deal with high labor costs, and there are some regulations that impact small businesses negatively. However, Atlasian policies redistribute a considerable amount of wealth to small businesses from large corporations.  I'd say small businesses are a comparable or slightly larger share of the market in Atlasia as in RL.

What about the proportion of minimum wage workers? Wouldn't it be higher for small business than in RL?

It could be a little - I'm assunimg it would largely follow the comparative size of the market. Do you have any other thoughts?

Well as I said, since the minimum wage is so much higher then in the RL, it is likely that a lot of what about be higher than minimum wage jobs at $8, $9 and $10 dollars an hour would be caught up in that and thus included in a much large pool of minimum wage jobs at the new $12 minimum. The point was that 2/3rds of minimum wage earners work for large corporations in RL, but since the minimum wage is so much higher, my thoughts are that a lot of small businesses are higher than minimum wage in RL but not higher than $12 an hour and so it is probably likely that a much large proportion of minimum wage earners work for small biz in Atlasia than in RL.

Good point, but would this dynamic be much less the case for large businesses?

[🐒Gods of Prosperity🔱🐲💸]

The effect of a higher minimum wage does suggest that there would be more jobs in larger, more established companies that are better equipped to deal with high labor costs, and there are some regulations that impact small businesses negatively. However, Atlasian policies redistribute a considerable amount of wealth to small businesses from large corporations.  I'd say small businesses are a comparable or slightly larger share of the market in Atlasia as in RL.

What about the proportion of minimum wage workers? Wouldn't it be higher for small business than in RL?

It could be a little - I'm assunimg it would largely follow the comparative size of the market. Do you have any other thoughts?

Well as I said, since the minimum wage is so much higher then in the RL, it is likely that a lot of what about be higher than minimum wage jobs at $8, $9 and $10 dollars an hour would be caught up in that and thus included in a much large pool of minimum wage jobs at the new $12 minimum. The point was that 2/3rds of minimum wage earners work for large corporations in RL, but since the minimum wage is so much higher, my thoughts are that a lot of small businesses are higher than minimum wage in RL but not higher than $12 an hour and so it is probably likely that a much large proportion of minimum wage earners work for small biz in Atlasia than in RL.

Good point, but would this dynamic be much less the case for large businesses?

Wouldn't the smaller businesses have less carrying capacity for higher paid workers then larger ones? The larger ones minimize labor costs to maximize profit, but when they do, they can afford to pay certain people much higher amounts because they have larger revenues, easier access to credit, etc ec. Hmm, think of regulatory capture, the big businesses can afford the lobbyists, consultants and attorneys to get around and it it is the small ones that take hit, in that case it concentrates the market share in the larger company. In terms of labor mix, they can afford the high end, but prefer to keep as many on the low end as possible. Small businesses might be more generous in rewarding good workers with raises, but their financial limitations still keep them in a relatively low range. Thus when you plow the minimum wage up through that range, small business takes proportionally more of hit, then they do if you raised the RL rate to say $8.00 from where it is now.

Right, small businesses take more of a hit financially and so have a more diminished capacity in hiring and other aspects, but I don't see the connection between that and the other process you are describing. If there had been a smaller proportion of employees paid a few dollars above minimum wage in large corporations as opposed to small business, I would see the distinction, but I don't know if that's the case.