This additional 10% or 70 cent per hour increase for our low income American Workers is equivalent to a wage increase of only $5.60 each eight hour working day or only $28.00 for a five day working week that does not include any workers payroll tax or other reductions such as Medicare.
It is also inconceivable that if this identical minimum wage earner of today should purchase fifteen gallons per week of gasoline to travel to his work place over this ONE identical minimum wage $28.00 work week period at today's $2.20 per gallon retail gas prices, this one week alone would consume an entire week of his paid wages ( 15 gal. x $2.20 gal. = $33.00). Should the gasoline retail prices of the past should return to at least $4.00 per gallon in the future, this identical minimum wage worker's gasoline expenses alone would double, and his entire pay for "two weeks" contrary to one week would be devoted to his automobile. We also know that any time gasoline or diesel prices increase, so do other products that we purchase at the retail sector. In essence, this recent 70 cents per hour minimum wage hike looks nice but is not sufficient to meet the needs of the American People.
In addition, within the Nation of Australia, the 2008 minimum wage for workers was $14.00 per hour that also represents an increase of 100% when compared to the United States.
It is also ironic that while our minimum wage working people are receiving a 10% wage hike, the CEO's wage incomes in the form of corporation bonus's are increasing 100% in the sum of millions of dollars for one entire year through price gouging and paying low wages at the retail sector while our U.S. Government looked the other way.
I would also like to remind our working people that the recent 70 cents per hour increase was a portion of a minimum wage law bill that became effective in the year of 2006, and it was the "first" minimum wage law that had been passed by our U.S. Congress since the year of 1996 for a period of ten years. It was during this ten year period that our U.S. workers were not fully compensated for the inflation pricing trends that had accumulated during this identical period of time. In essence, our minimum wage workers of today are working at a ten year deficit period with "no pay" restitution for inflation. Public records indicate that this combined ten year "unpaid" deficit period for inflation from the year of 1996 to 2006 is approximately 25.14% that should be reimbursed to our present 2009 minimum wage workers now when they need it the most. This 25.14% also represents purchasing power income that has been removed from our economy over the previous years, and is also a contribution factor as to why we are now in a depression.
(Please Refer To The Statistic Verification Web Links Below)
Years 1996 & 1997 ( 2 yr. )
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As a former business owner for twenty years within my lifetime, I would like to inform you about the recent myths from the business world and news media lately who have been advocating "that increasing the present minimum wage in this Nation would be "harmful" to this Nation's business community" is false. What they do not tell you is that any business firm can deduct their labor costs or any other business expenses from their Federal or State income tax forms by filing a "Profit and Loss Statement" that in the interim will establish the business owners profits and income on a quarterly or yearly basis. It is also ironic that ALL business firms can utilize a "Profit and Loss Statement" as a tax credit reduction on electricity, natural gas, water supplies, labor, and telephone services from their Federal Tax Returns, but our average working citizens who rent or own their homes are not permitted to do so. (For confirmation and additional illustrated information in regard to "Profit and Loss Statements, please refer to the web link below:)
I would also like to remind the public that former President George W. Bush and his Republican controlled Congress would not sign the 2006 Minimum Wage Law that is also in effect in the present year of 2009 unless the small business sector would receive a 10% Federal Tax Deduction in return, so why is the business sector shouting "foul play" now?
Another alternative for a business owner to offset any additional labor costs is by increasing their existing retail prices on certain selected store items only, and not in regard to his entire store inventory. In addition to the previous, a retail business owner may also opt to have a "Store Sale" on just a few products within his store as "loss leader" items that would entice the public to enter his store to purchase other products that were kept at the "actual" original retail price that were in effect prior to the Store Sale that were not reduced to the public. The final alternative option would be for a business owner to acquire a Federal Small Business loan at low interest rates.
l therefore submit to you that the 2009 minimum wage increase at 70 cents per hour or $7.25 in total are inaccurate and also insufficient when you consider the inflation and wage data that I have previously presented to you. I also submit to you that the business sector's claim that paying higher minimum wages to our American Workers will result in the downfall of their present business establishments is not only a sham, but it is also a shame.
Leon is, and always has been, a yellow dog Democrat. He is also a Korea War Veteran and is a retired 76 year old Senior Citizen. He has also been active within his State campaigning for various Democrat candidates during his younger years and has (more...