One of the big priorities right now for the Biden administration is to increase the minimum wage across the country.
There are, however, some cities that have taken it upon themselves to try and raise wages on their own accord, and as a result, they are finding out the hard way that they should have just kept their nose out of other people’s business.
Mandating wage increases is a bad idea for so many reasons that I just don’t have time to go into all of them today.
In Long Beach, California, they approved a wage increase that as a result, is closing down big-name employers.
Kroger is closing two stores because they were already giving more to their employees due to the pandemic, but now to demand that they pay them more, they’re throwing in the towel.
On Monday, Kroger announced that it would close two stores in the city, Ralphs and Food 4 Less, on April 17, citing the ordinance.
“As a result of the City of Long Beach’s decision to pass an ordinance mandating Extra Pay for grocery workers, we have made the difficult decision to permanently close long-struggling store locations in Long Beach,” a Kroger spokesperson said in a news release. “This misguided action by the Long Beach City Council oversteps the traditional bargaining process and applies to some, but not all, grocery workers in the city.”
Last month, the city unanimously approved the wage boost to be paid by private companies, with Mayor Robert Garcia (D) tweeting victoriously, “Taking a moment in-between watching inaugural events to sign a $4 an hour pay increase for grocery and supermarket workers. You have earned this hero pay. Thank you for your hard work.”
What the heck is hero pay for a grocery store clerk? Showing up? Is it really an act of heroism to go to work?
The way society is headed, it’s really starting to look like liberal states are wanting to put more and more people out of work by forcing businesses to lose enough money that it’s not even feasible to keep the doors open.
To us capitalists who understand how money and economy works, we know that this sort of stunt is extremely destructive. The government has no business AT ALL in telling someone how much they can or can’t pay their employee.
“Well, if the government doesn’t designate a minimum wage, then they won’t make enough money because they won’t pay them enough.”
Then don’t work there! Problem solved! Go somewhere else that will pay more. Not all jobs are equal. Some take a lot of time or skill to do. Flipping burgers or scanning items from a conveyor belt does not take a lot of skill. That’s why they are designed to be introductory level jobs so that they can still earn some money while making something out of themselves.