Why do companies expect to get quality employees whilst insisting on paying them minimum wage?
Or barely above minimum wage.
I know a guy who owns several Wendy’s franchises. He constantly complains about not being able to find good workers.
"Well, what do you pay them?" I asked.
He said that his assistant managers would make around $12.5 and the regular workers minimum. The General Managers can make a fairly decent living, but it’s very hard work.
After hearing this I asked, "Well, what exactly were you expecting if you’re only paying minimum wage?"
He looked at me befuddled.
Hey, it’s worked in the past. And it’s still working. There’s a job shortage, and people, even very competent people, are getting desperate for any sort of work, so they’ll take minimum wage jobs.
And then companies wonder why consumers aren’t spending more, especially on discretionary items. If a consumer has a minimum wage job, s/he doesn’t HAVE any discretionary spending money, it all goes to necessities. Same thing when companies outsource their labor and manufacturing pool…when the people of the home countries are out of jobs, they can’t buy the products.
Most business people will tell you that it’s all about the bottom line. What they forget is that tomorrow will have a bottom line, too, and if they don’t build a CONTINUING customer base, then by tomorrow they’ll be out of business.
Also related…companies used to be loyal to their workers, and try to help them if they had problems. Now, though, companies want temp workers, and even permanent workers, to be loyal to the company, but the company doesn’t feel obligated to extend loyalty to the workers. And now the companies are surprised when workers are not loyal to the company.
That’s one of the problems for business owners – you need to pay your workers enough to keep a workforce. Training people constantly is expensive.
Henry Ford paid his workers twice the current prevailing wage. He had experienced, loyal workers who could afford to buy his products.
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Hey, it’s worked in the past. And it’s still working. There’s a job shortage, and people, even very competent people, are getting desperate for any sort of work, so they’ll take minimum wage jobs.
And then companies wonder why consumers aren’t spending more, especially on discretionary items. If a consumer has a minimum wage job, s/he doesn’t HAVE any discretionary spending money, it all goes to necessities. Same thing when companies outsource their labor and manufacturing pool…when the people of the home countries are out of jobs, they can’t buy the products.
Most business people will tell you that it’s all about the bottom line. What they forget is that tomorrow will have a bottom line, too, and if they don’t build a CONTINUING customer base, then by tomorrow they’ll be out of business.
Also related…companies used to be loyal to their workers, and try to help them if they had problems. Now, though, companies want temp workers, and even permanent workers, to be loyal to the company, but the company doesn’t feel obligated to extend loyalty to the workers. And now the companies are surprised when workers are not loyal to the company.
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ask that guy. Only a moron would think that there is some universal explanation for the mind-set of every employer in the world.
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He was probably befuddled because he read that unemployment rate has exceeded 8% for 32 months, and that minimum wage and the promise of a regular job would have been enough to get some reliable help.
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