Posted on 02/22/2021 5:59:52 AM PST by gaggs
Doubling of the minimum wage does not double the retail price of a product, that is plan retarded thinking.
Have friends who are generally Conservative but think this is a good idea. One works at factory that pays well over twice the current min wage. I explain to him that if it increases to 15 hr, their stating pay will be only a couple of bucks an hour over min wage. They can’t get enough people now. Forget the union bump angle for a moment. We’re in a right to work state and no union people work there. I argue that the company will have to raise prices to make up for the increase and he says they won’t.
China will sure be happy about this.
Social security should pay $15.00 an hour!
Doubling of the minimum wage does not double the retail price of a product, that is plan retarded thinking.
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Normally yes but not now.
Prices will begin to double under Xiden and the $15 min, as union jobs are predicated on the min wage as the base wage from which their wage is calculated; the higher the min, the higher their wages. This will translate across the entire food economy from grocery stores to trucking to farming.
Remember the goal is to totally destroy the US and its culture, which means some sacrifices have to be made. Which is why I made that exaggerated pun - was not meant to be serious - sorry you took it literally
BS BS BS. Take a loaf of bread that costs $3.00. I am guessing that the cost of production labor is 30 cents per loaf. That is probably a high guess but I will use that.
Remember we are DOUBLING labor costs in this example (which nobody is talking about doing).
Before doubling labor costs:
After DOUBLING labor costs:
Amsterdam has several locations for this;
https://www.youtube.com/watch?v=ENOcDhNcUs0
Saw in another video where thy had only a couple of people (that I could see ) working there.
Yes, we had “The Automat” but the high cost of labor ( behind the scenes ) and too many menu items closed all of them.
How about NO minimum wage? You’re paid what your employer thinks you’re worth. I know there are workers out there who aren’t worth $1.00 per hour.
Well, for a small business that predominantly pays "minimum wage" (the real minimum wage is $0/hr), I'd consider having to double the payroll "existential".
Never mind that you don't seem to care what power the government has just decided is theirs to wield. Can they tell businesses what to charge for certain items? How many employees they should have? Their store hours?
Maybe those small business owners should learn to code?
How about NO minimum wage? You’re paid what your employer thinks you’re worth. I know there are workers out there who aren’t worth $1.00 per hour.
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Better not complain when there are massive new government programs for these unemployable workers.
You mention $1/ hr. Are you absolutely fine with people earning $160 a month, living in massive tent cities or on the streets?
I have nearly 30 years in a particular field (teaching and software engineering and games development). Outside of it, I have absolutely applicable job skills, for me, I admit I don’t provide enough labor worth for $15 a hour at say Walmart, Amazon warehouse or McDonald’s. But those are the only job choices for me as globalist Republicans and Democrats prefer cheap foreign labor.
So are you fine with a massive government retraining program for those of us displaced by cheap foreign labor from India?
So, you’re OK that an employer has to pay an illegal alien $15.00/hour, even though the illegal alien has a 6th grade education and doesn’t speak english? I’m not. Have you ever owned a business and had to manage a payroll, profits, and healthcare payments for employees?
I think it should be based on age:
at 65 / $65 hr.
at 95 / $95 hr.
Great point!
So what’s the excuse the last 4 years that good went up up up including McDonald’s? You can’t say something is going up due to increase wages when they were going up with low wages.
The cost of producing a loaf of bread used to be around three cents, but not .30.
BTW the whole thing was a send up which you, for reasons known only to you, took as gospel and took off on the assumptions you drew from the satire. Again sorry.
and to all of those that worked their way UP to $15.00??? 
So, you’re OK that an employer has to pay an illegal alien $15.00/hour, even though the illegal alien has a 6th grade education and doesn’t speak english? I’m not. Have you ever owned a business and had to manage a payroll, profits, and healthcare payments for employees?
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No I-9, no e-verify, no trabaho.
LOL! You're GUESSING? LOL!!!!
I GUESS labor is $2.00 of the loaf. Labor is always the highest cost in producing product.
So now, rework your fantasy with labor at $2.00 and see what you come up with.
You are grossly mistaken. Cars are perfect example. The industry rule of thumb is it takes 30 man-hours to build a car. Even at UAW rates, for a $30,000 car that is only 8% of the cost of NEW car around $2,400 per car.
This guy says over 10% per car but I think he is too high:
It's not a well-known figure, and it varies from one vehicle to the next, but after trying to get an answer to this question myself for the better part of a decade...the answer is "10-15%."
Here's what I know:
You can find an old copies of the Harbour report accidentally published online (I'd paste links but I don't want any of them taken down). This report (I've seen a few of them over the years) consistently shows that the average car can be built in about 25 hours. If you use the labor cost figures thrown around over the years ($65-95 an hour, depending on how you account for retirees), than labor costs on your average car are $1600-$2400. The average car costs about $25k (sales weighted average transaction price), so you're at 10% or less.
When GM and Chrysler were headed for bankruptcy, the UAW published some data showing that UAW labor costs were about 10% of a vehicle's price (see Economic Scene - Figure Skews Debate of a Bailout for Detroit - NYTimes.com ). This 10% figure was probably skewed in the UAW's favor, so I'd say 10% is the low end of the real figure.
My discussions with a variety of engineers, field reps, designers, and other associated insiders over the years always come back to that 10-15% figure.
Incidentally, if you're wondering what else I've learned about average vehicle pricing (emphasis on average):
10-15% of a vehicle's cost is labor Another 20-30% of the cost is materials 50-60% of a vehicle's cost is "overhead," defined as the plant that builds the car, the army of engineers employed by each manufacturer, the corporate structures (HR, accounting, etc.), advertising and marketing costs, etc. 10-20% of the cost goes towards sunk costs (engine development costs, chassis modeling, etc), but these are often included in the "overhead" figure above, so basically you can infer plants and the rest are 40-50% of a vehicle's cost.
5% is profit (sometimes a little more, sometimes a whole lot less)
Are any of these numbers sourced? Absolutely not. You'll occasionally hear auto execs mention that half the cost of any given vehicle is "the plant," but beyond that you'll be hard pressed to find proof of anything I've said here.
But still, I'm confident in my figures (for whatever that's worth).
Recent Foxconn revelations hint at higher costs than previous estimates that are still staggeringly low by Western standards.
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Dediu took two key revelations from the "Nightline" report--that each iPhone takes 24 hours to be built, including 6 to 8 hours of software and component "burn-in" and testing, and that workers on the line make $1.78 an hour.
He then ran that information through some calculations to come up with a new cost range for the labor it takes to make each iPhone, and found the following.
Those costs are likely to range between $12.5 and $30 per unit.
Labor costs are still a small part of the overall cost structure at between 2 percent and 5 percent of sales price.
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