I read an article this morning that disturbed me a little bit more than expected. As I took a 30 minute drive after reading the article I could not get it out of my head. It can be found here. The article describes a nationwide protest that has been developing for the last few days concerning fast food wages. Workers at fast food restaurants have been organizing across the country to demand higher compensation. The reasoning seems to go like this: many Americans live in nice homes and own 2 nice cars and it is unfair that fast food workers cannot at least have a shot at this. This type of reasoning bothers me on several levels and I will describe some of them, but before I jump into them I want to make a disclaimer and convey some empathy.
The disclaimer is this: I have never experienced what it is like to raise a family and have certainly not tried to raise a family on a minimum wage. I know raising a family on a single minimum wage income is nearly impossible, but I do not think the economic answer is raising the minimum wage. I truly feel for the people that try to raise a family on a single minimum wage, and I know that raising the minimum wage may seem like the answer to alleviating the pain, but I don't think it will work economically. I also empathize with the fact that some people have been dealt a hand that leaves them with minimum wage work as one of the only options. If one's family situation encouraged that he drop out of school at 16 and go to work full-time, then fast food work may be some of the only work available and that may seem unfair. I understand this, and am more appalled by the people that say career fast food workers are lazy and choose their lot than I am by the minimum wage folks who gripe about their wages. The people claiming laziness are being stereotypical and completely oblivious to the blessed road paved for someone to reach a $60,000 per year job. But I do take issue with anyone demanding $15 an hour for work that requires only a few hours of direct training. It will not work economically. I believe anyone that makes this demand is ignoring a few key truths, and ignoring truth does not have good consequences.
The biggest truth that is being ignored is the fact that the minimum wage is, always has been, and always will be $0.00. There is no way of dodging this. No matter what a ruling body sets the minimum wage at, they will never budge it from $0.00. There will always be unemployed people and they will always earn $0.00. In fact, setting the imposed minimum wage at a higher number will guarantee that more people are earning $0.00. If I am a business owner who can pay $500 in wages per day, I can pay 500 people, 50 people, 10 people, 5 people, 1 person, or a machine to do the work. If unemployment is low, I may pay 4 people $15 an hour to do the work. If unemployment is high, I may pay 12 people $5 an hour to do the work. If the authorities set the minimum wage at $20 an hour, then I will invest my money in finding a machine to do the work. Supply and demand will work out the details, but only if I am able to navigate a market with the real minimum wage ($0.00) in place. I, personally, would rather make $1 per hour doing meaningful work while I look for the higher paying kind than $0 per hour while I take it easy and fall into the temptation of feeling sorry for myself and doing nothing.
This leads me to another issue I have. We tend to value the money from our work more than we value the work itself. I understand that a family could not be raised on a $3 per hour job. These jobs could only serve as stepping stones at which skills and attitudes are learned, especially when young. Even when not young, it is much better to work for $3 an hour for 3 months while looking for other work than $0 an hour for the same 3 months. It looks better on a job application and I have to think one would feel better about themselves while continuing to work. 40 hour weeks at this rate will also lead to the worker being about $1500 richer. There could be government assistance on top of this $1500, rather than on top of the $0 otherwise earned in 3 months. We must recognize that the purpose of working is not solely to make money. This is easy for me to say as one with a salaried career, I know, but I think it is true across the board. Making money is one of the products of good work, but the even better products are 1) the sense of accomplishment that comes along with a good day of work, 2) the sense of community that accompanies working on a team, 3) the satisfaction of serving someone's needs with your abilities, and 4) the lessons that are learned through approaching different issues in the workplace and resolving them. God created us to work even before Adam and Eve sinned in the garden. It is an innate desire we have to work and not working leads to poor emotional health. I understand that work is not always enjoyable, that was a result of the sin in the garden, but I would rather work at Wendy's for 40 hours a week the rest of my life than chase pleasure in my beachside condo. I'm not sure a lot of people would share this sentiment with me, however. It seems that most are chasing an easy retirement, but doing so neglects the fact that we are designed the work more than we are designed to vacation. God created 6 days for work and 1 day for rest, after all.
Another big issue I have with the minimum wage is how it negatively affects the job market for youth. As a high school teacher, I often become frustrated with how divorced from the real world my class seems. In reality, a majority of my students may be better off working a job at a fast food restaurant than taking my Biology class. The life lessons to be learned from a job are much more vast than the life lessons to be learned in my class. People skills, timeliness, financial management, and teamwork are all things learned while working a job. My class serves a purpose, but most of my students will be leaning on financial management skills much more than they are a knowledge of mitosis 20 years from now. A high school sophomore is prepared to be serving the world in some capacity and this will happen more in a community that has 400 $3.58/hour jobs than 200 $7.15/hour jobs. If we look across the Atlantic we will see the systematic youth unemployment that accompanies trying to manipulate the job market. I am not arguing that we give up on education, but that we encourage internships, vocational training, and an ideology that balances school and work rather than a "school is the only path to success" mindset. I have worked a part-time construction job for $9 an hour this summer (more money that I probably deserved considering my skills) and have learned more than I would have learned from reading 10 books, all while contributing something of value and building meaningful relationships.
I also take issue with a specific quote that was in the Kansas City Star article. The article discusses how U.S. Representative Emmanuel Cleaver was present at the Kansas City protests. In his speech the Star reports that Cleaver discussed how the minimum wage has "risen only $7 an hour since his father earned the minimum of 25 cents in 1938". I want to point out, if my math is correct, that this is an increase in minimum wage of approximately 2700% in 75 years. This is astronomical growth, and we feel like we are entitled to it.
I do want to sympathize with one of the points made in the article:
"The Economic Policy Institute, which advocates for low-wage workers, reported recently that chief executives at the nation's top restaurant companies earn more in one morning that the average minimum-wage worker in their restaurant earns in a year."
This is kinda gross and I see it as symptomatic of our attachment of work to compensation. I have a hard time believing one person's time is worth 600 times more than the time of someone else. I understand that market forces dictate that some people make millions of dollars per year, but how great would it be if these people set a cap on the amount of money they allow themselves to make? What if Denzel Washington decided that everything above $250,000 compensation in a year would go to charity? Once again, work deserves compensation, but compensation is not the sole reason for working. Maybe the thinking at the top is: I worked hard to get to this place, I deserve big compensation. I guess it could be easy to think this way, especially if you have been working 80 hour work weeks for years. If one has sacrificed everything else for their job, then she may feel entitled to big bucks. However, I think it would be radical and may create quite a corporate culture if the CEO voluntarily made $80,000 per year or so. Her lifestyle would not crumble. She could still buy a modest house, 2 cars, clothing, and food. She would still stay in nice hotels because travel expenses would come out of the budget. She would only be occupying her position at the top because that is where she believes her gifts are best used, not so she can buy bigger and fancier toys. God gave her the ability to lead, so she is stewarding those gifts in a top leadership position. She is not there to get rich, she is there to serve. This would be cool, and maybe there are some executives out there that do this, I don't know. And maybe, it this was the norm, there would be a lot more money lying around for compensation of the people at the bottom of the organization. But the answer is not government setting limits on executives' pay or employees' pay, the greedy folks will still find ways around these rules, the answer is the executives choosing to limit themselves and further compensate their employees without compulsion.
I certainly do not possess all of the answers concerning the economy, nor will I ever. There are so many variables to account for that no one else will either. But we must not ignore obvious truths and we must not be greedy. We will never be happy with our work if the only reason we go is to make money and there will not be enough jobs to go around if we try to set wages or if we sit on a bunch of the money at the top. If individuals would adhere to two principles with respect to work, then workplaces, the economy, and society as a whole may be much more pleasant places. 1) We work because we have been given certain abilities that we can use to serve people. 2) We can be content with basic food, basic clothing, and basic shelter. Extravagant food, extravagant clothing, and extravagant shelter have never bought lasting satisfaction anyways. The recipe for lasting satisfaction includes much more lasting things. Some of the ingredients in this recipe can be provided through work. People do not solely need to be in the work place to be compensated, they need to be in the workplace to feel a sense of community and accomplishment.
The disclaimer is this: I have never experienced what it is like to raise a family and have certainly not tried to raise a family on a minimum wage. I know raising a family on a single minimum wage income is nearly impossible, but I do not think the economic answer is raising the minimum wage. I truly feel for the people that try to raise a family on a single minimum wage, and I know that raising the minimum wage may seem like the answer to alleviating the pain, but I don't think it will work economically. I also empathize with the fact that some people have been dealt a hand that leaves them with minimum wage work as one of the only options. If one's family situation encouraged that he drop out of school at 16 and go to work full-time, then fast food work may be some of the only work available and that may seem unfair. I understand this, and am more appalled by the people that say career fast food workers are lazy and choose their lot than I am by the minimum wage folks who gripe about their wages. The people claiming laziness are being stereotypical and completely oblivious to the blessed road paved for someone to reach a $60,000 per year job. But I do take issue with anyone demanding $15 an hour for work that requires only a few hours of direct training. It will not work economically. I believe anyone that makes this demand is ignoring a few key truths, and ignoring truth does not have good consequences.
The biggest truth that is being ignored is the fact that the minimum wage is, always has been, and always will be $0.00. There is no way of dodging this. No matter what a ruling body sets the minimum wage at, they will never budge it from $0.00. There will always be unemployed people and they will always earn $0.00. In fact, setting the imposed minimum wage at a higher number will guarantee that more people are earning $0.00. If I am a business owner who can pay $500 in wages per day, I can pay 500 people, 50 people, 10 people, 5 people, 1 person, or a machine to do the work. If unemployment is low, I may pay 4 people $15 an hour to do the work. If unemployment is high, I may pay 12 people $5 an hour to do the work. If the authorities set the minimum wage at $20 an hour, then I will invest my money in finding a machine to do the work. Supply and demand will work out the details, but only if I am able to navigate a market with the real minimum wage ($0.00) in place. I, personally, would rather make $1 per hour doing meaningful work while I look for the higher paying kind than $0 per hour while I take it easy and fall into the temptation of feeling sorry for myself and doing nothing.
This leads me to another issue I have. We tend to value the money from our work more than we value the work itself. I understand that a family could not be raised on a $3 per hour job. These jobs could only serve as stepping stones at which skills and attitudes are learned, especially when young. Even when not young, it is much better to work for $3 an hour for 3 months while looking for other work than $0 an hour for the same 3 months. It looks better on a job application and I have to think one would feel better about themselves while continuing to work. 40 hour weeks at this rate will also lead to the worker being about $1500 richer. There could be government assistance on top of this $1500, rather than on top of the $0 otherwise earned in 3 months. We must recognize that the purpose of working is not solely to make money. This is easy for me to say as one with a salaried career, I know, but I think it is true across the board. Making money is one of the products of good work, but the even better products are 1) the sense of accomplishment that comes along with a good day of work, 2) the sense of community that accompanies working on a team, 3) the satisfaction of serving someone's needs with your abilities, and 4) the lessons that are learned through approaching different issues in the workplace and resolving them. God created us to work even before Adam and Eve sinned in the garden. It is an innate desire we have to work and not working leads to poor emotional health. I understand that work is not always enjoyable, that was a result of the sin in the garden, but I would rather work at Wendy's for 40 hours a week the rest of my life than chase pleasure in my beachside condo. I'm not sure a lot of people would share this sentiment with me, however. It seems that most are chasing an easy retirement, but doing so neglects the fact that we are designed the work more than we are designed to vacation. God created 6 days for work and 1 day for rest, after all.
Another big issue I have with the minimum wage is how it negatively affects the job market for youth. As a high school teacher, I often become frustrated with how divorced from the real world my class seems. In reality, a majority of my students may be better off working a job at a fast food restaurant than taking my Biology class. The life lessons to be learned from a job are much more vast than the life lessons to be learned in my class. People skills, timeliness, financial management, and teamwork are all things learned while working a job. My class serves a purpose, but most of my students will be leaning on financial management skills much more than they are a knowledge of mitosis 20 years from now. A high school sophomore is prepared to be serving the world in some capacity and this will happen more in a community that has 400 $3.58/hour jobs than 200 $7.15/hour jobs. If we look across the Atlantic we will see the systematic youth unemployment that accompanies trying to manipulate the job market. I am not arguing that we give up on education, but that we encourage internships, vocational training, and an ideology that balances school and work rather than a "school is the only path to success" mindset. I have worked a part-time construction job for $9 an hour this summer (more money that I probably deserved considering my skills) and have learned more than I would have learned from reading 10 books, all while contributing something of value and building meaningful relationships.
I also take issue with a specific quote that was in the Kansas City Star article. The article discusses how U.S. Representative Emmanuel Cleaver was present at the Kansas City protests. In his speech the Star reports that Cleaver discussed how the minimum wage has "risen only $7 an hour since his father earned the minimum of 25 cents in 1938". I want to point out, if my math is correct, that this is an increase in minimum wage of approximately 2700% in 75 years. This is astronomical growth, and we feel like we are entitled to it.
I do want to sympathize with one of the points made in the article:
"The Economic Policy Institute, which advocates for low-wage workers, reported recently that chief executives at the nation's top restaurant companies earn more in one morning that the average minimum-wage worker in their restaurant earns in a year."
This is kinda gross and I see it as symptomatic of our attachment of work to compensation. I have a hard time believing one person's time is worth 600 times more than the time of someone else. I understand that market forces dictate that some people make millions of dollars per year, but how great would it be if these people set a cap on the amount of money they allow themselves to make? What if Denzel Washington decided that everything above $250,000 compensation in a year would go to charity? Once again, work deserves compensation, but compensation is not the sole reason for working. Maybe the thinking at the top is: I worked hard to get to this place, I deserve big compensation. I guess it could be easy to think this way, especially if you have been working 80 hour work weeks for years. If one has sacrificed everything else for their job, then she may feel entitled to big bucks. However, I think it would be radical and may create quite a corporate culture if the CEO voluntarily made $80,000 per year or so. Her lifestyle would not crumble. She could still buy a modest house, 2 cars, clothing, and food. She would still stay in nice hotels because travel expenses would come out of the budget. She would only be occupying her position at the top because that is where she believes her gifts are best used, not so she can buy bigger and fancier toys. God gave her the ability to lead, so she is stewarding those gifts in a top leadership position. She is not there to get rich, she is there to serve. This would be cool, and maybe there are some executives out there that do this, I don't know. And maybe, it this was the norm, there would be a lot more money lying around for compensation of the people at the bottom of the organization. But the answer is not government setting limits on executives' pay or employees' pay, the greedy folks will still find ways around these rules, the answer is the executives choosing to limit themselves and further compensate their employees without compulsion.
I certainly do not possess all of the answers concerning the economy, nor will I ever. There are so many variables to account for that no one else will either. But we must not ignore obvious truths and we must not be greedy. We will never be happy with our work if the only reason we go is to make money and there will not be enough jobs to go around if we try to set wages or if we sit on a bunch of the money at the top. If individuals would adhere to two principles with respect to work, then workplaces, the economy, and society as a whole may be much more pleasant places. 1) We work because we have been given certain abilities that we can use to serve people. 2) We can be content with basic food, basic clothing, and basic shelter. Extravagant food, extravagant clothing, and extravagant shelter have never bought lasting satisfaction anyways. The recipe for lasting satisfaction includes much more lasting things. Some of the ingredients in this recipe can be provided through work. People do not solely need to be in the work place to be compensated, they need to be in the workplace to feel a sense of community and accomplishment.
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