HereWeGoAgain
Diamond Member
Perhaps Ernie`s employees will have enough money to buy Ernie`s product. Henry Ford figured this out 100 years ago. Consumers create jobs.Most small businesses are in trouble. Take mine, for instance. There are some weeks where I could carry my bank balance in nickels in one pocket. Other than my own labor, which is not paid, I have 120 hrs of paid labor/week. Increasing that cost 50% would break me.If you care to dispute claims in the OP, some basis other than your emotions would be in order.
Are you calling Ritu Shah Burnham a liar?
Well the increase has hardly even taken effect. It will be years before it reaches $15. There is no way that a few cents increase to minimum wage workers is causing noticeable inflation. And a few cents increase shouldn't make it so a business goes under. They were in trouble already obviously. The claims of the article are obviously false.
I have to have bar staff and security and I can't raise prices the 20% or so I would have to, just to keep my head above water.
Sales would increase if there was a min wage increase. The increase won't be 50%.
Ernie's product costs will rise as his suppliers will also be paying not just higher MW but higher wages across the board. There is no chance that increased profits will cover his costs. None. Zippo. Zilch. Nada. He will either accept less or close his biz.
Pretty sure his employees can afford beer on tap. If they want to drink Makers Mark they could pool there money and buy a bottle.