The bill before the Maine Senate to increase the minimum wage is long overdue. The argument that the increase will hurt small business doesn’t seem to have much merit considering the increases in operating costs, products and materials, taxes and insurance costs that have been absorbed in the last 20 years.
In the Sun Journal, Feb. 13, Dave Clough from the National Federation of Independent Businesses says that, “Market forces are better at determining starting wages than government.” If those market forces include inflation and the cost of living, then the minimum wage would be between $12 and $15 per hour. We all know that is not going to happen so all we have is government, whose track record on the issue is abysmal.
The federal minimum wage of $5.15 per hour equates to about the same amount as a year of child care for one child. Imagine trying to live on that, which is all that those who are debating the issue can do, imagine.
Even with a staff of 12 to 15 employees, the increase equals the amount of hiring one more full-time employee for a year.
To the business owners, I would say it looks like an increase in the price of goods and services is in order. It seems to work good for big businesses, such as ExxonMobil, which saw record profits last year. Don’t worry, Americans will keep on buying whatever it is you are selling. Most of them can afford it; they make more than minimum wage.
Mike Johnson, Warren
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