Re: Anti-Wal-Mart movement will be job killer
- From: Thumper <jaylsmith@xxxxxxxxxxx>
- Date: Tue, 24 Jan 2006 20:37:16 -0500
On Tue, 24 Jan 2006 21:00:44 GMT, "MichaelC"
<mikecraney@xxxxxxxxxxxxx> wrote:
>
>"Jay Smith" <jaylsmith@xxxxxxxxxxx> wrote in message
>news:iq3dt1d5nsrgjk0tp637htgidhlsutavso@xxxxxxxxxx
>> On Tue, 24 Jan 2006 08:13:12 -0800, Sordo <sordo T@xxxxxxxxxxxxx>
>> wrote:
>>
>> >Anti-Wal-Mart movement will be job killer
>> >
>>
>>http://www.detnews.com/apps/pbcs.dll/article?AID=/20060122/OPINION01/601220
>332/1008
>> >
>> >Democratic proposal is bad for Michigan businesses and workers
>> >
>> >A merican consumers love Wal-Mart. They've made it the nation's top
>> >retailer, choosing to spend more of their dollars there than in any
>> >other store.
>> >
>> >But the left hates Wal-Mart. Its efficiency, low-price strategy and
>> >ability to convince its workers not to unionize drive liberals nuts.
>> >
>> >The battle against Wal-Mart in Michigan is intensifying with a
>> >Democratic proposal to demand that the retailer provide health
>> >insurance for its work force. The proposal by state Sen. Ray Basham,
>> >D-Taylor, covers all businesses above 10,000 employees, but its target
>> >is Wal-Mart.
>> >
>> >Basham wants Wal-Mart to direct 8 percent of its payroll toward health
>> >care for its employees, or repay the state $54 million for the
>> >Medicaid and related expenses it incurs from Wal-Mart employees and
>> >dependents who don't take advantage of the company's health care
>> >plans.
>> >
>> >Basham patterned his bill after a similar measure adopted by lawmakers
>> >in Maryland.
>> >
>> >It's not likely that the Republican-dominated Legislature will adopt
>> >such a blatantly anti-business law.
>> >
>> >But the notion that Wal-Mart is what's wrong with America says a lot
>> >about where the Democrats are coming from in solving Michigan's
>> >problems. Theirs is clearly not a pro-growth strategy, but one that
>> >would drain profits from job-creating businesses to fund ill-conceived
>> >social crusades -- like the Wal-Mart bill.
>> >
>> >On Thursday, Basham wrote a letter to Senate Commerce and Labor
>> >Chairman Jason Allen, R-Traverse City, requesting a public hearing on
>> >his bill, which has been appropriately stalled in committee. If that
>> >hearing comes, someone hopefully will show the senator the headlines
>> >from Maryland, where Wal-Mart is said to be seriously considering
>> >moving a planned distribution center to another state. Along with the
>> >center will go hundreds of jobs it would have created.
>> >
>> >Is that what Basham envisions for Michigan, a state with one of the
>> >nation's highest unemployment rates?
>> >
>> >Placing the state between an employer and employees is a sure way to
>> >kill jobs. Unions should not look to the state to do what they haven't
>> >been able to convince Wal-Mart workers to do -- organize themselves
>> >and demand the benefits they want.
>> >
>> >Basham isn't doing Wal-Mart workers any good. But he is sending yet
>> >one more message that Michigan is hostile ground for job creators.
>>
>>
>> What a load of crap. Every time the minimum wage is raised or
>> additional benefits are paid, Corporations whine about loss of jobs.
>> They are crying wolf as this hasn't happened.
>
>Employers *never* accept lower profits. Period. They always move to recoup
>those profits over time. You're right, the threat of massive job losses in
>response to minimum wage or benefit regulations is always used as a scare
>tactic, but it doesn't happen according to the threat.
>
>What does happen, however, is that employers recoup over time by (1) failing
>to replace retiring or quitting workers over time, (2) reducing benefit
>contributions, primarily in health care, (3) accelerating productivity gains
>through the use of new techologies, (4) freezing raises for those
>above-minimum wage workers, and other methods.
>
>You can actually see this occurring in the quarterly statements of heavily
>affected businesses. There's a quick spike in the wages-to-profits ratio,
>then quarter after quarter, the ratio declines right back to where it was
>prior to the new regulations.
>
>So, over time, the condition of the worker usually ends up unchanged.
But employees HAVE to get raises and higher wages. How else will they
pay ther heating bills when oil goes up?
Thumper
>As I'm
>sure you'd agree, a minimum wage increase resulting in an annual raise of
>$1000 (basically what a fifty cent kick in the MW gets the worker) isn't
>much of a "win" if the cost of their health care goes up by $80 per month
>plus inflation.
>
>'Wages will go up,
>> Prices will go up across the board to spread the cost amongst
>> customers. Customers will hardly see a difference and Walmart
>> employees will be covered. Right now taxpayers are subsidizing health
>> care for those Walmart employees that cannot afford the company plan.
>
>Yea, we are, but "rearranging the deck chairs" through regulations isn't the
>solution.
>
>Mike
>
.
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