The problems with high minimum wage
Many of the lower-wage, working-class people understand that the typical minimum wage does not provide them enough to live on, they should also understand that small stores and businesses can only stay in business when they generate more money than their expenses. So people should push for more hours, not higher wages.
There are several huge problems and poor outcomes with Senate candidate Juliana Stratton’s position on the minimum wage.
For one, you only have to look at what has happened to small businesses and franchises in California in the time since they passed the $15 minimum wage increase. Initially businesses reduced employees to manage their labor costs, and then many stores had to close due to costs overrunning revenue. A $20 minimum wage would also destroy Illinois’ small businesses and eliminate many of the entry level jobs.
Second, the hourly wage is not as important as the total number of hours worked. Current Illinois labor laws encourage the employers to limit part-time workers to 15 to 30 hours to avoid ACA responsibilities. Limiting the hours by hiring mostly part-time is done to avoid having to pay benefits. So a larger hourly wage is negated by being given fewer hours.
If Ms. Stratton’s pandering to the Illinois workers comes true, it will cost many people their jobs and ultimately the losses of the smaller businesses, just like California.
Arlan Converse
Buffalo Grove