Let’s Take A Look At Homeless

By  John Derby
Times Publisher
January 14, 2016

In the past two years, we have raised the minimum wage twice. Have any more people gone to work?
Hardly likely.
Actually, if they took a survey, they would find that less people have worked less hours, and their take-home pay will be about the same.
The problem is that businesses need to increase revenue in order to pay more wages. It is a simple axiom: You can only pay out what comes in.
So now we have raised the cost of production. Who pays for that? Well the consumer still has the same amount of money to spend so there is no additional income.
Let’s look how it worked in our newspaper business. Our lowest paid employee made $9.35 an hour when the minimum wage was $8 an hour. He made $9.35 when the minimum wage was $9 and hour. When it went up to $10 an hour, his hours were cut.
How was he helped? How did it affect the business?
Well the business could not raise rates because it would lose business, and have even less money for payroll. So it kept it same rates. Everyone was asked to work harder.
In the real world, the cost of labor should go up when the company brings in more money. The company brings in more money when more people want the product. Wages go up when the company needs to hire more people to help fill the orders.
Now we can recall years ago when the company had 22 paper carriers. It didn’t last, however, because the state decided to mandate workers compensation insurance for all the carriers. You may have noticed over the past couple decades that there are no longer any paperboys or papergirls riding around the neighborhood delivering papers.
In the wisdom of the state politicians, they decided that the combination of riding bikes and delivering papers was a dangerous one, even though most of the kids rode their bikes all the time, with carefree enthusiasm.
Or, perhaps, it was some union that felt these young entrepreneurs were taking a job away from some union member who needed to make $5 an hour.
We have no paper carriers now. It is all done by the Post Office.
But think about the lessons that were once taught when the carriers delivered their papers.
These young kids had to learn to be on time. They had to learn to be polite, and also be a business person. Many of our presidents and judges have been paper carriers and it seems to have served them well.
Now let’s look at the homeless. Some are simply people who can't find jobs. What has happened to the jobs? Well most have gone out of the country where the workers don’t make what ours do.
No one can beat Americans when it comes to production, however, if the ones who produce the products are being paid half the price of an American worker that is foul play. We can’t compete, nor should be forced to.
Free trade should be fair trade, which means that everyone in on the same playing field. Of course Chinese goods are cheaper. They steal our technology and make their products with forced labor. It’s UNFAIR.
Why do we let them do it? Why do we allow that work to go overseas when we have able bodied men and women who need work here?
There are people who are homeless who would work if they could, but many of them have addiction problems, mental problems, or have sexual problems which force them to live on the streets. Many of them are qualified for welfare, but are unable to go through the application process or follow the rules.
Our biggest job should be to provide jobs and that means allowing small business to put America back to work.
If the government insists on forcing them to pay inflated wages then they cannot hire people. Why not spend some of the money being spent on welfare and provide it as an incentive for small business to hire more people.
We have gotten to the place where only fast food stores can afford to hire, and they don’t even offer full-time or full-pay positions.
Maybe what we need is the return to the intern program where veterans teach the newcomers how to work.

Call (209) 383-0433
or (209) 358-5311

© 2016 Merced County Times. All Rights Reserved. Powered by  Imedia West