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You pay for work because it produces more value than out costs. Minimum wage requires paying at least $X/hr; some work is simply not worth that much - the emplo
by ctdonath 8y ago
You pay for work because it produces more value than out costs. Minimum wage requires paying at least $X/hr; some work is simply not worth that much - the employer loses money by paying for it.
Example: I'd like to hire someone to sweep floors every day, but a self-emptying Roomba is $949. At just 2 hours a week, and buying a new one each year, the Roomba costs less than $10/hr. At $15/hr minimum wage, I could buy a new one every other week and still save money. I'd rather hire a person who needs work, giving them a leg up to a better paying job, but between the state threatening me if I pay what the work is worth, vs the cost of buying robots to do the job, someone doesn't get a job.