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Why is it the employer's responsibility to provide a living wage?
#21
RE: Why is it the employer's responsibility to provide a living wage?
I don't think it is the employers responsibility, though I'dlike to think they should try to. Work is a contract, for which there is a market price. If business A pays a worker more than business B, for the same productivity, business A is under threat of going under. This leads to the race to the bottom, which is where I think the state should step in, in the form of minimum wage etc. Here in the UK for example. people on minimum wage get various subsidies to top up their income. Now in America there seems to be this mass hatred of the state, something I cannot get my head around.

As an aside, I have a friend who has a start up company with a couple of employees. He pays them more than he pays himself, to keep the business going/growing. I'm sure he'd rather it were the other way around, but this is what market forces dictate.
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RE: Why is it the employer's responsibility to provide a living wage? - by FreeTony - May 10, 2014 at 8:24 am

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