White House: Employers Can Prevent Job Losses After Minimum Wage Hike By Making Less Money, “Accepting Lower Profit Margins”…

[happyg]

Odds the person who wrote this for the Obama administration ever worked in the real world is somewhere between slim and none.

Via PJM:
The White House lauded a Congressional Budget Office report on the proposed minimum wage hike to $10.10 per hour while brushing off one key finding: that such a bill could cost half a million jobs, and maybe more. [...]

“Overall the logic for the finding that raising the minimum wage does not result in large adverse impacts on employment is that paying workers a better wage can improve productivity and thereby reduce unit labor costs. These adjustments, along with others that firms can make, help explain why the increase in the minimum wage need not lead to a reduction in employment. Higher wages lead to lower turnover, reducing the amount employers must spend recruiting and training new employees. Paying workers more can also improve motivation, morale, focus, and health, all of which can make workers more productive. In addition, by reducing absenteeism, higher wages can increase the productivity of coworkers who depend on each other or work in teams. In addition, businesses can adjust in other ways rather than reducing employment (for example, by accepting lower profit margins). CBO’s estimates do not appear to fully reflect the increased emphasis on all of these factors from the recent economics literature.”

Keep reading…
http://weaselzippers.us/174879-white-house-employers-can-prevent-job-losses-after-minimum-wage-hike-by-making-less-money-accepting-lower-profit-margins/

[Oceander]

First rate quack.

Here's the basic problem with the thesis:  in every business where the thesis holds, it's already been implemented, and in every business where it hasn't been implemented, it won't because it doesn't make economic sense.

Only a stupid effing idiot - or a liberal/democrat - would think otherwise.

[Formerly Once-Ler]

First rate quack.

Here's the basic problem with the thesis:  in every business where the thesis holds, it's already been implemented, and in every business where it hasn't been implemented, it won't because it doesn't make economic sense.

Only a stupid effing idiot - or a liberal/democrat - would think otherwise.

rats believe the purpose of business is not profit but to create jobs.

[Oceander]

rats believe the purpose of business is not profit but to create jobs.

true enough.

[rangerrebew]

true enough.

I don't think so.  If his job is to create jobs, by that standard he is a miserable failure.  His REAL  job is to destroy jobs and divide employers from the employees because, as Lincoln noted, a house divided against itself cannot long stand.

[mountaineer]

Because no one in this administration ever held a real-world job, how would they know that the "profit margin" in the food service industry, for example (where a lot of minimum wage jobs may be found), already is pretty darn slim?

[Relic]

I don't think so.  If his job is to create jobs, by that standard he is a miserable failure.  His REAL  job is to destroy jobs and divide employers from the employees because, as Lincoln noted, a house divided against itself cannot long stand.

I agree. I watched a local morning news program this morning. They had a view comment segment regarding minimum wage. Even Clevelanders seem to understand the negative aspects of raising the minimum wage. A couple small business owners commented, one said he'd close, the other said he'd downsize.

There is no way the Obama administration, or Obama himself, is this clueless. This is a statement for public consumption to rally the LIVs while covering the real agenda.

[raml]

Only very very low information voters would believe it is that simple. The scary fact though is this country is made up of many many very very low information voters. Businesses need to make a decent profit or why would any business owner stay in business.

[Gazoo]

White House: Employers Can Prevent Job Losses After Minimum Wage Hike By Making Less Money, “Accepting Lower Profit Margins”…

 

You really can't make this crap (Hey TS I said crap :) ) up!

Are we living in a twilight zone. There are idiots running the asylum.