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The person who makes $16.50 an hour probably costs near $25 an hour. Cash payroll doesn't include employee benefits, including medical, dental, other insurance,
by valuearb 10y ago
The person who makes $16.50 an hour probably costs near $25 an hour. Cash payroll doesn't include employee benefits, including medical, dental, other insurance, paid time off, bonuses, and company share of payroll taxes. It's not unreasonable to estimate the entry level jobs pay about $26,000 a year in cash, and another $10,000 a year in benefits, for a total of around $36,000 a year. In Alabama.
You can't have a discussion about pay levels without accounting for total compensation. These are good jobs that pay well given it's an employer trained position that unskilled laborers could get.
- kesselvon 10y agoThe COL and tax difference isn't 2x. Alabama doesn't have unions, so they can't bargain collectively. That's the whole reason manufacturing has been moving south
- dragonwriter 10y ago> Alabama doesn't have unions Alabama disagrees: https://labor.alabama.gov/inspections/unions.aspx https://labor.alabama.gov/inspections/unions.aspx
- kesselvon 10y agoAlabama is a right-to-work state, unions aren't as effective and there's significant action by local politics to suppress labor activism and organization
- dragonwriter 10y agoThat's true and important, but it's very different than "Alabama doesn't have unions", is all I'm saying. (It's kind of like saying "C doesn't have static types" just because it's type system is far less powerful than, say, Haskell's.)