Monday, April 20, 2015

What Will Raising Minimum Wage Actually Do?

If minimum wage is raised from $7.25 to $15.00 an hour, then what?  Seattle, Washington is apparently the trend setter in this notion, and the increase is slated to take place over the next three years.  Right now, according to this website, the current minimum wage in Seattle is $11.00 an hour.  While the wages increase annually toward $15.00, what will the cost of living do?  If we can learn anything from history at all, the cost of living will probably increase right along with or just ahead of the wage increase.  The wealth war between minimum wage and the elite will not be resolved by increasing minimum wage.

A part time job, even a full time job making $15.00 an hour will not close the wealth gap.  What it will do, however; is decrease the buying power of all those currently making between $10 and $30 an hour.  Even if minimum wage is doubled, we have to consider the fact that the earnings of most positions presently above minimum wage, will not be doubled.  This will negatively impact most of what's left of the Middle Class, as the pay scale for most nonfarm employment falls between $10 and $30 an hour.

It's time to wrap our mind around a simple fact.  Those earning the lowest income are always going to struggle, economically.  If minimum wage is raised to $50.00 an hour, the cost of bare basics will be commensurate with that figure.  There is no one who will be impacted positively by doubling the minimum wage.  What happens to those who are now earning less than $15.00 and hour but more than minimum wage?  Did you know beginning salary in some areas for firefighters is $11.00 an hour?  How will cities, which are already on the brink of bankruptcy, double their salary?  Surely no one believes a firefighter should be paid less than those flipping burgers.  Pharmacy Technicians earn an average of $11.86 an hour, which is an annual salary under $25,000.  Forty hours a week at $15.00 an hour amounts to $31,200.

 We also have to consider the number of people on fixed incomes and how that would compare to a doubled minimum wage.  There are also many state and health workers who are not earning $15.00 an hour.  Patient Care Technicians average about the same as Pharmacy technicians and we need to face facts, health care is huge in this country.  There are a number of people making less than $15.00 an hour taking care of people on fixed incomes that are nowhere near $30,000 a year.  

The entire concept of entry level positions and counter help making $15.00 an hour is simply ludicrous.  The economy would be shifted off center, with no stabilizing foundation.  The two things it would accomplish, is the absolute final destruction of the Middle Class, and fully impoverish those dependent upon government provision.  




Sunday, April 12, 2015

A Reminder of "My Place"

A recent purchase came with the sad reminder the days of being a customer are long gone . . . Even in a rather high dollar purchase, there was absolutely no customer service, until the very end.   Every time I made a phone call, it was reminiscent of watching Gilligan's Island in syndication.  As I dialed the various phone numbers and was answered by the automated voice telling me that my call was important . . . just like watching the castaways, I knew at the end of that conversation, I'd still be right where I was when I dialed the phone.

It all began with the idea of installing a couple of carports.  I had spoken with a gentleman whose company builds wood structures, because he was now carrying carports as well.  He was honest and said, the installation crew kept their own schedule and didn't seem to be in much of a hurry to actually install them.  I appreciated his honesty and when I called again, he said he would be changing installation companies but that was still some time down the road.  This is where Morrie enters the picture.

Although I never did actually see Morrie, I picture him to be a rather large man that sits at a desk most of the day selling used cars and taking orders for carports, while surfing the internet for entertaining sites.  I feel relatively certain that in my deal, the only activity he performed was sending an email and dialing the phone.  Upon saying he'd email me the contracts for signature, he took all the pertinent information, including my credit card number.  Once I looked over the contract, I had second thoughts about the whole deal, so I called Morrie back.  As it turns out, Morrie had already processed my credit card for the 10% down payment upon order and has a no refund policy.  He also informed me that there was no need to even sign the contracts!  Great . . .

Not ready, yet, to feel stranded on the deserted deal, I decided to contact the main office by email.  For the response, I waited, and waited, and waited . . . Five days later, I found a phone number for customer service.  Although my call was important, I was on hold for thirty minutes, with the gals in the office checking on my periodically.  One asked me if she could take my number and have the service manager call me.  I said I'd waited almost a week for an email response.  I also told her, I could understand that their customer service department a.k.a. complaint department, would be overrun with calls.  Suddenly the service manager was available.  This conversation was even less encouraging than the one I had with Morrie.  Christopher gave me his personal email address, since the email on the main page was not monitored . . . He then informed me that he was aware of my order and had no control over Morrie's policies.  By the end of this episode, all I could think was, "I want my time back."

I was gone on a Thursday, when I got home to 5 messages from various offices involved in Eagle Carport, all telling me the construction crew was ready to install Monday, and to explain their payment policies . . . I just wanted a coconut cream pie and to talk to Gilligan.  By 4:30 Monday, no one had arrived.  Two more phone calls made to two more dead end responses . . . The woman promised to call back, but never did, and Morrie said, the day wasn't over yet!  At dusk, the crew arrived.  I told them it was too late to start working.  The first time I heard the term customer, was when the foreman said, "You're the customer, we'll detach the trailer and return in the morning."

The construction crew was wonderful, but I will sound the warning about Eagle Carports.  Even the construction foreman in his very heavily accented English stated there was a communication problem within the company, the franchises, and the instructions for the installation crew.  As they pulled out, I just shook my head in the realization that even with seemingly major purchases, we're no long customers, but consumers, and Eagle Carports remind me of my place in the transaction.





Sunday, April 5, 2015

Cutting the Waste

Here is a link to an interesting way to identify ways we waste money.  In identifying those ways, we can hopefully, curb the waste.  

http://www.thepennyhoarder.com/10-ways-you-waste-money/