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DonViejo

(60,536 posts)
Mon Jun 17, 2019, 04:47 PM Jun 2019

Amazon Fires Back at AOC: She's 'Just Wrong' to Say We Pay 'Starvation Wages'


By Morgan Phillips Jun 17th, 2019, 4:33 pm

Amazon said Monday that Rep. Alexandria Ocasio-Cortez is “just wrong” for accusing the company of paying its employees starvation wages.

ABC News’ This Week host Jon Karl reminded AOC that she once said an economic system that has billionaires is immoral, and asked if in a true progressive system Jeff Bezos would remain a billionaire.

Ocasio-Cortez said she wasn’t really concerned whether Bezos was a billionaire or not, but whether the average Amazon worker was making a living wage, had guaranteed healthcare, and could send their kids to college tuition-free.

“If that’s the case, and Jeff Bezos is still a billionaire, that’s one thing. But if his being a billionaire is predicated on paying people starvation wages, and stripping them of their ability to access healthcare, also if his ability to be a billionaire is predicated on the fact that his workers take food stamps so I’m paying for him to be a billionaire…” said Ocasio-Cortez.

“Do you think that’s why he’s a billionaire, because he pays his workers starvation wages?” Karl asked.

-snip-

Amazon tweeted that AOC is “just wrong” because Amazon pays a $15 minimum wage and full benefits from day one, and they also lobby to raise the federal minimum wage.




more
https://www.mediaite.com/uncategorized/amazon-fires-back-at-aoc-shes-just-wrong-to-say-we-pay-starvation-wages/
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Amazon Fires Back at AOC: She's 'Just Wrong' to Say We Pay 'Starvation Wages' (Original Post) DonViejo Jun 2019 OP
Yeah! It is not starvation wages, it is "decide whether to pay rent or starve" wages. Thomas Hurt Jun 2019 #1
so what is the correct minimum wage then? qazplm135 Jun 2019 #13
I was being sarcastic, and I don't know what the number is... Thomas Hurt Jun 2019 #16
So it is up to the states? former9thward Jun 2019 #20
Who says a federal minimum wage has to be the same number? Thomas Hurt Jun 2019 #44
The Constitution. former9thward Jun 2019 #59
Make your argument, got case law citations. Thomas Hurt Jun 2019 #60
Show me a federal law where standards are changed based on the state. former9thward Jun 2019 #62
A minimum wage law is not a duty or an impost or an excise, those are all taxes... Thomas Hurt Jun 2019 #65
Every state has the same federal income tax rate. former9thward Jun 2019 #97
you left out the actual clause containing the enumerated power, number 3, in Sec. 8 Celerity Jun 2019 #77
And??? former9thward Jun 2019 #96
And????? you tried to answer that poster's question and did Celerity Jun 2019 #115
I made no mistake. former9thward Jun 2019 #116
The Commerce Clause, you knew this I think Celerity Jun 2019 #76
Federal and State minimum wage can be (and often are) different. thesquanderer Jun 2019 #106
And? former9thward Jun 2019 #113
Where I live in Northcentral Florida, $15 per hour for a single person Blue_true Jun 2019 #35
So should we require people with kids to be paid more? Recursion Jun 2019 #71
As a business person, I think that the minimum wage is irrelevant. Blue_true Jun 2019 #34
That struck me too Recursion Jun 2019 #70
Like Walmart, the problem is that many of the.jobs are part time n/t TexasBushwhacker Jun 2019 #54
So you're saying you want more business for WalMart and Amazon Recursion Jun 2019 #74
I'm saying that I think both could offer more full time TexasBushwhacker Jun 2019 #98
"sorry, I meant to say pays no income taxes..." nt msongs Jun 2019 #2
You can afford food working at Amazon Calculating Jun 2019 #3
Don't blame Amazon only...Walmart, among other companies are this same way, ... SWBTATTReg Jun 2019 #4
Blame congress. mobeau69 Jun 2019 #63
Well everyone MyNameGoesHere Jun 2019 #5
No. Caliman73 Jun 2019 #15
Exactly what is a living wage? Blue_true Jun 2019 #37
Wow! Fifteen whole dollars an hour? Every hour? gratuitous Jun 2019 #6
The 50,000 jobs at the NYC "HQ2" NewJeffCT Jun 2019 #14
The key is average. A $3 million per year executive and a lot of people paid much less. Blue_true Jun 2019 #42
Depends on what average they're using. Mean, median or mode? mobeau69 Jun 2019 #64
They always use mean. That is the problem. Blue_true Jun 2019 #66
This message was self-deleted by its author mobeau69 Jun 2019 #69
They're hiring tech workers in DC. They're going to have to pay six figures Recursion Jun 2019 #72
It was only 25,000 (the other 25K were to be in Virginia) and only half were in tech. It also Celerity Jun 2019 #48
$150K was median, at least for Northern Virginia Recursion Jun 2019 #78
The concept of a living wage is nonsensical if we don't have mechanisms Blue_true Jun 2019 #40
+10000 Celerity Jun 2019 #49
Rent can't go down because we told people housing is an investment Recursion Jun 2019 #75
What has to happen is governments have to step into the breach. Blue_true Jun 2019 #119
I agree. The only way housing and childcare can work is public provisioning Recursion Jun 2019 #120
You know that democrats don't leave people to burn, even when people are stupid. Blue_true Jun 2019 #123
Yes, he's a billionaire partly because he pays his workers dirt wages. LonePirate Jun 2019 #7
$15 a hour to start is now "dirt wages"? former9thward Jun 2019 #21
Yes, $15/hr ($30K/yr) is dirt wages. $7.25/hr min wage is subterranean wages. LonePirate Jun 2019 #28
How come you have not been posting against the people calling for $15 a hour? former9thward Jun 2019 #30
Moving from $7.25 to $15 is the first step. It's not the final step. LonePirate Jun 2019 #31
So wages chasing costs? Sounds like a plan. Blue_true Jun 2019 #45
We don't have a society anything like Voltaire2 Jun 2019 #102
Then we should collectively make a choice. Blue_true Jun 2019 #118
Fine but the repeated argument in this Voltaire2 Jun 2019 #121
I was one of the people making that point. Blue_true Jun 2019 #122
Ok, so the starvation wage of $15 a hour is not the "final step". former9thward Jun 2019 #58
$15 per hour for a childless, single person where I live is a pretty good wage. Blue_true Jun 2019 #43
15 for a single parent is a nightmare Voltaire2 Jun 2019 #103
Yes, for a parent, that is tough almost anywhere. Blue_true Jun 2019 #117
His billionaire status is largely due to the value of Amazon stock. thesquanderer Jun 2019 #108
And stock prices are impacted by business costs (including labor costs) which impact profitability. LonePirate Jun 2019 #110
She doesn't say what wage she thinks is fair Beringia Jun 2019 #8
She does not know. None of the people mouthing the $15 per hour standard know. Blue_true Jun 2019 #47
Thanks. Beringia Jun 2019 #53
When you make $11 BILLION and pay NO Income Taxes..... ProudMNDemocrat Jun 2019 #9
The company piled up big losses early on. Blue_true Jun 2019 #50
Yeah, and who let on that they plan to automate that facility in 2 years, after getting tax breaks? TheBlackAdder Jun 2019 #10
I would assume those who don't agree with Amazon's wage structure do not do business with them still_one Jun 2019 #11
;) sheshe2 Jun 2019 #52
Word StarfishSaver Jun 2019 #56
after your second billion onethatcares Jun 2019 #12
It's easy enough to look this up on Glassdoor Leith Jun 2019 #17
Anazon is an easy target because of it's recent success. nt Blue_true Jun 2019 #51
Post removed Post removed Jun 2019 #18
If you are a single parent, 15 USD an hour, pre-tax, in NYC, is a joke AND, as Amazon's Celerity Jun 2019 #19
People don't have to work at Amazon Alea Jun 2019 #22
True, but this OP is about Amazon Celerity Jun 2019 #25
Yes, and not working for Amazon because because they "don't pay enough" is about Amazon Alea Jun 2019 #26
If you want to defend them paying less than half of the US average for similar work, knock Celerity Jun 2019 #29
Fortunately that won't be a problem in NYC fescuerescue Jun 2019 #24
Should parents make more than non-parents? (nt) Recursion Jun 2019 #79
non sequitur Celerity Jun 2019 #80
Not at all Recursion Jun 2019 #82
that is another discussion Celerity Jun 2019 #84
Separating the discussions doesn't work Recursion Jun 2019 #85
How does making the MW a decent level (enough to support a family) allow single people to price Celerity Jun 2019 #88
Because if a single person can afford to rent a 3 bedroom, he will Recursion Jun 2019 #89
that is a huge leap, and I would love to see some datasets to back that up now Celerity Jun 2019 #90
Right, $15 is not enough to rent a 3BR Recursion Jun 2019 #91
this is not going to change Celerity Jun 2019 #93
What's changed is that people are single and childless much, much longer Recursion Jun 2019 #94
I wouldn't expect minimum wage to support a 3 BR or 2 BR apartment. thesquanderer Jun 2019 #107
Then we need to stop with the outrage about employees being on public assistance Recursion Jun 2019 #112
Must remember to be grateful Red Mountain Jun 2019 #39
Is that part of Democratic platform? To raise wages to $15? fescuerescue Jun 2019 #23
good luck getting the FMW to even 8 or 10 USD per hour with Rethugs in charge Celerity Jun 2019 #27
I revised your list (see bottom of list) Alea Jun 2019 #36
revise it again to show that Amazon is going to pay less than HALF of the national average for that Celerity Jun 2019 #38
Mississippi's *median* hourly wage is $13 Recursion Jun 2019 #73
They're not literally starving. maxsolomon Jun 2019 #32
not gonna defend AOC on this one AlexSFCA Jun 2019 #33
Amazon pays what they do Red Mountain Jun 2019 #41
It would be interesting to know if Amazon is the employer of AJT Jun 2019 #46
All Fortune 500 companies use temp services to some extent fescuerescue Jun 2019 #114
In my city trev Jun 2019 #55
How many people who criticize Amazon are willing to stop ordering their inexpensive goods StarfishSaver Jun 2019 #57
Why blame working class people? leftstreet Jun 2019 #61
I didn't mention "working class people." Why would you suggest I'm "blaming" them StarfishSaver Jun 2019 #68
We're all working class people leftstreet Jun 2019 #100
Why don't you call and ask them? ChubbyStar Jun 2019 #67
AOC response melman Jun 2019 #81
Somebody making $15/hour needs 3 dependents to qualify for food stamps Recursion Jun 2019 #83
Do you seriously think the reason they don't make people full time is lack of business? melman Jun 2019 #86
Yeah, that's the whole point of "just in time" staffing Recursion Jun 2019 #87
The places they're paying people $15/hour are not SFO and NYC Recursion Jun 2019 #95
Fuck Amazon Tiggeroshii Jun 2019 #92
She is right as usual. nt live love laugh Jun 2019 #99
How do people thinks wages should be determined? kennetha Jun 2019 #101
The federal min wage should set the floor Voltaire2 Jun 2019 #104
you mean that wages would rise automatically, independently of market forces. kennetha Jun 2019 #105
The floor rises with inflation. Voltaire2 Jun 2019 #111
STFU Amazon. I'm on Social Security and still self-employed. This month I returned Vinca Jun 2019 #109

qazplm135

(7,447 posts)
13. so what is the correct minimum wage then?
Mon Jun 17, 2019, 05:26 PM
Jun 2019

Because we've spent all this time clamoring for 15 dollars, but apparently, we don't think that's enough, so shouldn't we pick a number that actually is enough and clamor for that?

Thomas Hurt

(13,903 posts)
16. I was being sarcastic, and I don't know what the number is...
Mon Jun 17, 2019, 05:30 PM
Jun 2019

I would imagine it would vary from region to region depending cost of living.

Like ski industry in CO trying to pay the service folks a crap wage when you can't live in places like Aspen on that much money.

I am sure that is repeated over and over in this country.

I remember seeing story about some woman in Hawaii, she had a full time well above minimum wage job and she was still living in a camper.

former9thward

(32,028 posts)
20. So it is up to the states?
Mon Jun 17, 2019, 06:56 PM
Jun 2019

Why call for a federal minimum if an employer who pays it is accused of paying "starvation wages"?

former9thward

(32,028 posts)
62. Show me a federal law where standards are changed based on the state.
Mon Jun 17, 2019, 10:31 PM
Jun 2019

But as to the Constitution: Article I, Section 8:

SECTION 8
The Congress shall have Power To lay and collect Taxes, Duties, Imposts and Excises, to pay the Debts and provide for the common Defence and general Welfare of the United States; but all Duties, Imposts and Excises shall be uniform throughout the United States;

Thomas Hurt

(13,903 posts)
65. A minimum wage law is not a duty or an impost or an excise, those are all taxes...
Mon Jun 17, 2019, 10:54 PM
Jun 2019

If what you are saying is true then there should only be one fed income tax rate.

And I am not arguing that each state should have one, I suppose they could, but why have one minimum wage for Oroville CA and San Francisco? Different cost of living index, different min wage, so that people can afford rent and utilities and food no matter the cost of living where they reside.

former9thward

(32,028 posts)
97. Every state has the same federal income tax rate.
Tue Jun 18, 2019, 07:26 AM
Jun 2019

The Constitution would not allow what you propose. I see you couldn't show me a federal law which has different standards for different states --- a dream of the state's rights crowd.

Celerity

(43,419 posts)
77. you left out the actual clause containing the enumerated power, number 3, in Sec. 8
Tue Jun 18, 2019, 01:35 AM
Jun 2019

Section 8.
The Congress shall have power to lay and collect taxes, duties, imposts and excises, to pay the debts and provide for the common defense and general welfare of the United States; but all duties, imposts and excises shall be uniform throughout the United States;

To borrow money on the credit of the United States;

To regulate commerce with foreign nations, and among the several states, and with the Indian tribes;

Celerity

(43,419 posts)
115. And????? you tried to answer that poster's question and did
Tue Jun 18, 2019, 04:14 PM
Jun 2019

not post the correct part. Look at their reply to you.
You made a mistake. No clue why you reply to me like you did.

Cheers

former9thward

(32,028 posts)
116. I made no mistake.
Tue Jun 18, 2019, 05:39 PM
Jun 2019

And no one can give an example where a federal law has different standards for different states. I guess our Congress and Executive for the past 230 years is not as smart as certain posters.

Celerity

(43,419 posts)
76. The Commerce Clause, you knew this I think
Tue Jun 18, 2019, 01:33 AM
Jun 2019

Article I, Section 8, Clause 3

https://www.law.cornell.edu/constitution/articlei#section8

Section 8.

The Congress shall have power to lay and collect taxes, duties, imposts and excises, to pay the debts and provide for the common defense and general welfare of the United States; but all duties, imposts and excises shall be uniform throughout the United States;

To borrow money on the credit of the United States;

To regulate commerce with foreign nations, and among the several states, and with the Indian tribes;


snip

https://www.law.cornell.edu/wex/minimum_wage

Fair Labor Standards Act

The national minimum wage was created by Congress under the Fair Labor Standards Act (FLSA) in 1938. Congress enacted this legislation under its authority in Article I, Section 8 of the U.S. Constitution: “The Congress shall have power to . . . regulate commerce . . . among the several states.” FLSA was a comprehensive federal scheme which provided for minimum wages, overtime pay, record keeping requirements, and child labor regulations. The purpose of the minimum wage was to stabilize the post-depression economy and protect the workers in the labor force. The minimum wage was designed to create a minimum standard of living to protect the health and well-being of employees. Others have argued that the primary purpose was to aid the lowest paid of the nation's working population, those who lacked sufficient bargaining power to secure for themselves a minimum subsistence wage. FLSA specifically provided for a minimum wage for full time and part time, public and private sector workers. Specifically, workers who are “engaged in” or “in the production of goods for” interstate (commerce between the states) and foreign commerce.

snip

former9thward

(32,028 posts)
113. And?
Tue Jun 18, 2019, 03:16 PM
Jun 2019

States are free to have a minimum above the federal level. However the federal government can't have different minimums in one state or area than in other states. So if $15 at the federal level is a "starvation wage" or a "dirt job wage" as posters have said what is an adequate federal minimum? So far no one has said what it is. How about you?

Blue_true

(31,261 posts)
35. Where I live in Northcentral Florida, $15 per hour for a single person
Mon Jun 17, 2019, 08:00 PM
Jun 2019

would be just under $29,000 per year before taxes. That would put a single, childless person decently inside the edge of a decent living. Most families here have two wage earners and the median annual income per Black household is around $39,000 and White around $50,000. Rents here are roughly one half or less of what rents are in Seattle, San Francisco or LA, or even Orlando Florida. Food prices are about the same, gas is less expensive, as is stuff like haircuts, laundering, yardcare.

Recursion

(56,582 posts)
71. So should we require people with kids to be paid more?
Tue Jun 18, 2019, 01:12 AM
Jun 2019


Then nobody would hire them?

Warren wrote about this in her first book, I remember, but I don't think she really found "an answer", just the fact that the two-income trap exists.

Blue_true

(31,261 posts)
34. As a business person, I think that the minimum wage is irrelevant.
Mon Jun 17, 2019, 07:48 PM
Jun 2019

I read that most or all of the Nordic countries don't even have minimum wages, obviously their people are not made slaves.

I think the key cornerstones for workers at the lower wage end and for retirees are childcare, housing, transportation, low cost nutritious food, adequate healthcare. There are ways that governments can provide that type of social balance, but unfortunately governments too often ghettoize such programs by mixing people that are hardened criminals in with poor that are just poor and struggling. I believe that if governments did a better job and rich people gave up some of their gains, the whole of society would be better.

I have thought about rich people directly backing housing providers (landlords) and daycare providers, with the rich people partially funding those things to keep rents down and give cash strapped parents professional, safe daycare options. But I realized that opens a person up for frivolous lawsuits by miscreants out for a quick buck. So government raising taxes and providing those services is the only option, because governments have indemnity benefits that individuals don't have.

Recursion

(56,582 posts)
70. That struck me too
Tue Jun 18, 2019, 01:11 AM
Jun 2019

If $15 is as bad as people claim now that Amazon, Target, etc. are paying it, why the hell are we pushing for it?

Recursion

(56,582 posts)
74. So you're saying you want more business for WalMart and Amazon
Tue Jun 18, 2019, 01:17 AM
Jun 2019

so that they have more shifts for their employees?

TexasBushwhacker

(20,204 posts)
98. I'm saying that I think both could offer more full time
Tue Jun 18, 2019, 08:53 AM
Jun 2019

schedules to people who want to work FT. Walmart has double the PT workers as the retail industry average.

SWBTATTReg

(22,143 posts)
4. Don't blame Amazon only...Walmart, among other companies are this same way, ...
Mon Jun 17, 2019, 04:57 PM
Jun 2019

billionaire owners w/ tons of employees getting food stamps etc.

 

MyNameGoesHere

(7,638 posts)
5. Well everyone
Mon Jun 17, 2019, 04:58 PM
Jun 2019

Eventually jumps on the tRump train to be able to bash Amazon and the failing Washington post fake news right?

Caliman73

(11,738 posts)
15. No.
Mon Jun 17, 2019, 05:30 PM
Jun 2019

You can have legitimate concerns over a company not paying their employees a living wage while not jumping aboard an idiot's ranting about a news source that doesn't kiss his ass. Those are two very different things.

I disagree with AOC's characterization of "starvation wages" but the criticism is valid. Bezos' fortune is the result of paying employees wages, that while not the lowest, are still not a living wage, looking for loopholes on taxes, offering but not paying full benefits to employees (again, through loopholes), and engaging in business practices that are not altogether ethical.

Blue_true

(31,261 posts)
37. Exactly what is a living wage?
Mon Jun 17, 2019, 08:06 PM
Jun 2019

Most of the Nordic countries supposedly DON'T have a minimum wage requirement at all, nor do they have laws against companies firing people at will. Yet, they have better functioning societies than we have.

So, is a socalled "living wage" adequate if rents rise, or daycare costs rise? My guess it would not be, because the focus was on the wrong thing(s) to begin with.

gratuitous

(82,849 posts)
6. Wow! Fifteen whole dollars an hour? Every hour?
Mon Jun 17, 2019, 05:05 PM
Jun 2019

If you started your working life making a buck and a quarter an hour, $15 an hour sounds like a princely sum. Spoiler alert: It isn't. It's about $31,000 a year, and in the localities where Amazon does business, that's not enough money to live on, let alone get ahead on. Whatever Bezos' net worth is, a portion of it has made its way into his pocket by being filched from his employees and from taxpayers, who have to subsidize those employees through SNAP benefits.

For a media that can somehow stovepipe the cost of abortion into being taxpayer funded, they sure can't seem to draw a straight line between low-wage employees receiving taxpayer-funded benefits and the enrichment of the overclass which doesn't pay its employees a living wage.

Blue_true

(31,261 posts)
42. The key is average. A $3 million per year executive and a lot of people paid much less.
Mon Jun 17, 2019, 08:17 PM
Jun 2019

Sort of like the phony "average" bonus of WallStreeters.

Blue_true

(31,261 posts)
66. They always use mean. That is the problem.
Mon Jun 17, 2019, 11:14 PM
Jun 2019

If they used percentile means, that would give a truer picture, but that would also blow up the bullshit image they want to foist.

Response to Blue_true (Reply #66)

Recursion

(56,582 posts)
72. They're hiring tech workers in DC. They're going to have to pay six figures
Tue Jun 18, 2019, 01:14 AM
Jun 2019

just to fill the desks.

Celerity

(43,419 posts)
48. It was only 25,000 (the other 25K were to be in Virginia) and only half were in tech. It also
Mon Jun 17, 2019, 08:32 PM
Jun 2019

was going to take 10 years to roll out all the jobs, whilst some of the billions in tax breaks kicked in right away.

The key is average, not median. The median pay overall at Amazon is around 28K per year. If 6000, 8000 or so of those NYC HQ jobs were very high end 200,000 USD, 250K USD senior type placements, that dramatically skews that 150K average upward. Thousands of those other jobs will pay MUCH less.

Also the whole 15 USD thing that Amazon trumpeted was a bit disingenuous in regards to NYC, as that is now the minimum wage there for firms with more than 11 employees. Also, the rents in Queen would have went up, up, up, there would have been an even worse shortage of flats, and the infrastructure, such as subways would have been placed under further stress. Bezos even forced both places to help him build helipads.


http://fortune.com/2018/11/21/amazon-new-headquarters-long-island-city-crystal-tech-jobs-half/

https://www.businessinsider.com/amazon-hq2-hiring-lic-arlington-new-jobs-2018-11?r=US&IR=T

https://www.businessinsider.com/amazon-hq2-will-have-helipads-in-new-york-city-virginia-2018-11?r=US&IR=T

Recursion

(56,582 posts)
78. $150K was median, at least for Northern Virginia
Tue Jun 18, 2019, 01:41 AM
Jun 2019

The $28K mean comes from the warehouse jobs, which aren't happening at HQ2.

You're going to have trouble hiring administrative assistants for much less than that in NoVa, anyways; that's mostly just what the market is dictating right now.

Blue_true

(31,261 posts)
40. The concept of a living wage is nonsensical if we don't have mechanisms
Mon Jun 17, 2019, 08:15 PM
Jun 2019

to keep rents down, childcare costs down, health insurance costs down. If we don't have the right mechanisms in place (we absolutely DON'T now), wages will just keep chasing spiraling costs of things like rent, food, healthcare, ect).

Recursion

(56,582 posts)
75. Rent can't go down because we told people housing is an investment
Tue Jun 18, 2019, 01:20 AM
Jun 2019

And if housing is going to be an investment it has to increase in price faster than inflation, which means it can't be affordable.

Child care can't be affordable because we want the childcare worker to have a living wage.

Blue_true

(31,261 posts)
119. What has to happen is governments have to step into the breach.
Tue Jun 18, 2019, 07:03 PM
Jun 2019

If that does not happen, we are headed for chaos.

Recursion

(56,582 posts)
120. I agree. The only way housing and childcare can work is public provisioning
Wed Jun 19, 2019, 03:57 AM
Jun 2019

Unfortunately, we can't kick the South out of the Union, so we won't get it. More and more I think we need to leave the Red states to burn and develop our agenda on the state level.

Blue_true

(31,261 posts)
123. You know that democrats don't leave people to burn, even when people are stupid.
Wed Jun 19, 2019, 07:16 PM
Jun 2019

If you look at most southern states, the big cities are blue except in states like Alabama, Arkansas and Mississippi. Even in Texas now the big cities are almost uniformly blue. So the issue is rural southerners, BUT if you look at any other place in any part of the country, it is the rurals that are backward - it is just in those places the big city populations totally swamp the rest.

LonePirate

(13,426 posts)
7. Yes, he's a billionaire partly because he pays his workers dirt wages.
Mon Jun 17, 2019, 05:07 PM
Jun 2019

Other factors also contribute to his billionaire status; but underpaying labor is almost always a component to rapid wealth accumulation among entrepreneurs.

former9thward

(32,028 posts)
21. $15 a hour to start is now "dirt wages"?
Mon Jun 17, 2019, 07:03 PM
Jun 2019

That is what everyone has been calling for. You mean everyone is calling for "dirt wages" to be paid?

LonePirate

(13,426 posts)
28. Yes, $15/hr ($30K/yr) is dirt wages. $7.25/hr min wage is subterranean wages.
Mon Jun 17, 2019, 07:28 PM
Jun 2019

Try living in the suburbs of any major city, even in the Midwest (Dallas, Kansas City, Minneapolis, etc.), on $15/hr and see how painful life is. Now trying living on that wage in an east coast or west coast city.

Yeah, you might be able to live on $15/hr in some small town in Mississippi. You will fail miserably if you try that in modern, urban America.

former9thward

(32,028 posts)
30. How come you have not been posting against the people calling for $15 a hour?
Mon Jun 17, 2019, 07:30 PM
Jun 2019

What is now the correct minimum wage?

LonePirate

(13,426 posts)
31. Moving from $7.25 to $15 is the first step. It's not the final step.
Mon Jun 17, 2019, 07:39 PM
Jun 2019

It's one of those you have to walk before you can run types of scenarios.

Blue_true

(31,261 posts)
45. So wages chasing costs? Sounds like a plan.
Mon Jun 17, 2019, 08:28 PM
Jun 2019

For the same complaint being played over and over. We need to think about running our society like Scandinavia, where most countries are said to not have wage laws at all.

Voltaire2

(13,072 posts)
102. We don't have a society anything like
Tue Jun 18, 2019, 11:15 AM
Jun 2019

the Scandinavian societies.

They start from an assumption that everyone deserves a decent life. They have strong unions. They have a comprehensive social welfare system that makes the basic necessities of life a right.

Blue_true

(31,261 posts)
118. Then we should collectively make a choice.
Tue Jun 18, 2019, 06:38 PM
Jun 2019

Either let things continue as they are, or move consistently toward overhauling our system to make it better. I view the situation as simple as that. We can complain then either don't vote or vote stupid, but in such a situation, we have no one but ourselves to blame for the outcomes.

Voltaire2

(13,072 posts)
121. Fine but the repeated argument in this
Wed Jun 19, 2019, 09:42 AM
Jun 2019

thread that we don’t even need a min wage because Sweden doesn’t need it is nonsense.

Blue_true

(31,261 posts)
122. I was one of the people making that point.
Wed Jun 19, 2019, 06:54 PM
Jun 2019

Sweden has a global economic plan for all of it's citizen and it works pretty well. Unless a minimum wage increase comes with net frozen housing, childcare, medical, transportation costs, then raising the wage accomplishes nothing. We need to as a society figure out how to make housing, childcare, medical care and transportation costs cheaper for lower paid citizens, as a nation we have done a poor job of that.

former9thward

(32,028 posts)
58. Ok, so the starvation wage of $15 a hour is not the "final step".
Mon Jun 17, 2019, 10:19 PM
Jun 2019

What is? Since people are starving to death...

Blue_true

(31,261 posts)
43. $15 per hour for a childless, single person where I live is a pretty good wage.
Mon Jun 17, 2019, 08:24 PM
Jun 2019

I live in a Florida city of around 60,000. Not large, but certainly not some backwater either. A $15 per hour, 40 hour workweek wage would allow a person to buy a starter home here where I live, and the person can eat out a few times per week.

I don't know WHAT method is fair for paying wages. It depends upon where a person lives and that person's personal choices (like whether to have children).

Blue_true

(31,261 posts)
117. Yes, for a parent, that is tough almost anywhere.
Tue Jun 18, 2019, 06:34 PM
Jun 2019

Even where I live.

I have began to gravitate toward the view that becoming a parent is a choice that people make, choices bring certain consequences with them. I know that isn't a popular view here, but it is a simple fact of life nevertheless. A person making a low wage should think long and hard about whether he or she should become a parent. Childless people that see a messed up world should think long and hard about becoming a parent, regardless of their economic circumstances.

thesquanderer

(11,990 posts)
108. His billionaire status is largely due to the value of Amazon stock.
Tue Jun 18, 2019, 01:04 PM
Jun 2019

It's not like it's all cash that came from personally taking profits that could otherwise have gone to people's wages.

I think one needs to separate Bezos' paper wealth from Amazon's profitability. They are linked, but they are not the same thing.

LonePirate

(13,426 posts)
110. And stock prices are impacted by business costs (including labor costs) which impact profitability.
Tue Jun 18, 2019, 01:20 PM
Jun 2019

Granted, Amazon was not a profitable company for many years; but it’s stock price soared due to the anticipation that it would be. Holding down labor costs is a huge (but not the only) driver in reaching profitability.

Blue_true

(31,261 posts)
47. She does not know. None of the people mouthing the $15 per hour standard know.
Mon Jun 17, 2019, 08:31 PM
Jun 2019

It is just a popular mantra that people have latched on to. I believe that keeping rents, childcare, public transportation and healthcare at reasonable costs are much more important that what the minimum wage is.

Blue_true

(31,261 posts)
50. The company piled up big losses early on.
Mon Jun 17, 2019, 08:36 PM
Jun 2019

Companies get to carry forward losses for years then write them off against profits. Regular taxpayers don't get that benefit, nor income averaging that farmers get (so, if you are a sole business owner or professional with varying annual income, buy yourself 10 goats, pay someone a few bucks to take care of them, then call yourself a farmer), lots of wellpaid, variable income people where I live use that scam.

TheBlackAdder

(28,209 posts)
10. Yeah, and who let on that they plan to automate that facility in 2 years, after getting tax breaks?
Mon Jun 17, 2019, 05:11 PM
Jun 2019

.

The fucks at Amazon plan to automate their facilities, including the one in the Bronx, and they were hoping to get to massive tax incentives for hiring people, only to turn around and reveal that they're planning on fully automating that facility and hoped to sell vans to employees so they could perform the final segment delivery, making them glorified Uber drivers for their packages.

.

onethatcares

(16,173 posts)
12. after your second billion
Mon Jun 17, 2019, 05:21 PM
Jun 2019

it's really hard to find anything to buy except congresscritters and wage slaves. You can only own so many islands, homes, cars, planes, boats and bullshit that it all becomes a waste of time working so hard to keep those wage slaves happy.

Wow, $15.00 dollars an hour, wower yet, you don't get paid for standing in line waiting to be wanded to insure you aren't skipping out with skippies' stuff.

btw, in 1980 I was making $15 an hour plus working as a carpenter, hell, in 1976 I was making enough to buy a row house in Pennsylvania and it wasn't near $15/hr.

AOC speaks truth to power. But that's just my opinion. me

Leith

(7,809 posts)
17. It's easy enough to look this up on Glassdoor
Mon Jun 17, 2019, 05:45 PM
Jun 2019

I just did. Many of the lowest wages are $13 ~ $14 per hour, but they could be older reports. They do have full benefits that start on day 1.

The lower paying jobs are strenuous (somebody has to run around the warehouse putting an order together) and it won't be easy living in a large urban area on that wage, but Amazon pays more than your local bank teller or barista.

Response to DonViejo (Original post)

Celerity

(43,419 posts)
19. If you are a single parent, 15 USD an hour, pre-tax, in NYC, is a joke AND, as Amazon's
Mon Jun 17, 2019, 06:27 PM
Jun 2019

workers are mostly distribution centre workers, it is less than HALF the national US average ($31/hr) for that type of labour.

http://fortune.com/2019/04/11/bezos-amazon-minimum-wage/

One caveat is that Amazon’s workforce primarily toils in distribution centers, which typically pay more than stores do because of the more demanding, physical nature of those roles, according to Bloomberg Intelligence analyst Charles Allen. Wholesale workers, a proxy for distribution centers, are paid about $31 an hour, 61 percent more than the retail hourly wage, according to the Bureau of Labor Statistics.






Celerity

(43,419 posts)
29. If you want to defend them paying less than half of the US average for similar work, knock
Mon Jun 17, 2019, 07:29 PM
Jun 2019

yourself out.

Recursion

(56,582 posts)
82. Not at all
Tue Jun 18, 2019, 01:54 AM
Jun 2019

$15 is an OK wage for someone without kids, but unsustainable for someone with kids.

Should parents make more than non-parents?

Celerity

(43,419 posts)
84. that is another discussion
Tue Jun 18, 2019, 02:00 AM
Jun 2019

and no, to answer it, children should not mean you are paid more

you know what will happen

hello vast increase in the childless-only workforce hiring outcomes

Recursion

(56,582 posts)
85. Separating the discussions doesn't work
Tue Jun 18, 2019, 02:09 AM
Jun 2019

We can either make a minimum wage enough to support a family, in which case single people will price families out of the housing market, or we can make it enough to support a single person in which case families will need significant public housing support and that will need to be normal and readily accessible. That's the two-income trap: our households are too small and atomized for our housing stock.



Celerity

(43,419 posts)
88. How does making the MW a decent level (enough to support a family) allow single people to price
Tue Jun 18, 2019, 02:28 AM
Jun 2019

families out of the housing market?

Recursion

(56,582 posts)
89. Because if a single person can afford to rent a 3 bedroom, he will
Tue Jun 18, 2019, 02:33 AM
Jun 2019

Particularly since he'll have much lower overall expenses than the family of 3.

Unless you know a way to require he only rent "as much apartment as he needs", he's going to be bringing a lot more spare money to the housing market than the family being supported by the same wage will.

Celerity

(43,419 posts)
90. that is a huge leap, and I would love to see some datasets to back that up now
Tue Jun 18, 2019, 03:01 AM
Jun 2019

I would posit in advance that I would say there are very few single people with no flatmates making 15 USD to say 20 USD per hour (as we are talking about that level of remuneration) who are going around renting up 3 or 4 bdrm flats just for themselves, especially in higher priced cities. If a 'single' person is living in a 3 or 4 BDRM they will (the vast majority of the time I wager) have flatmates to defer the costs.

I certainly feel very confident in regards to this being the case in my 4 main places of habitation throughout my short (23 years) life. There is basically zero chance (unless they have an inside hookup) that a single person making the FOREX-adjusted equivalent of 15 to 20 USD can afford to let a 3 or 4 BDRM flat in London (especially my area I was raised in), Los Angeles (my stateside city of birth and a few years (including part-time at present) as an adult), Stockholm (to get a 3 or 4 BDRM första hand (meaning you are on the lease as the primary holder) would take a 10 to 30 year wait on the lista depending on the neighbourhood and a person would never be able to qualify anyway with one income at that level). Then lastly, Hong Kong (100% of 15 to 20 USD per hour equivalent (so 24K to 32K or so USD per year after tax) would NEVER be enough to rent a 3 or 4 bdrm, zero chance, even in a semi shit area. Try double or triple.

Recursion

(56,582 posts)
91. Right, $15 is not enough to rent a 3BR
Tue Jun 18, 2019, 03:24 AM
Jun 2019

So $15 is not enough for a single parent of 2.

Whatever is enough to rent a 3BR (let's say $30 just to use a number), if it's the minimum wage, would mean a single person can afford a 3BR.

The problem is we have one wage scale whether you're supporting just yourself or a family.

Celerity

(43,419 posts)
93. this is not going to change
Tue Jun 18, 2019, 03:58 AM
Jun 2019
The problem is we have one wage scale whether you're supporting just yourself or a family.


There are already tax breaks and other subsidies if you are low income with children. Also, the very concept of 3 and 4 BDRM's for a family of 3 is not reasonable in very expensive areas. Not everything is going to shake out to everyone's wishes, not under the system we have in the US, and it isn't in those other places I have lived as well. In London, in many major EU cities, and most assuredly in Hong Kong space is at an absolute premium. The whole concept of 1200 sq ft 2 bedrooms with 2 or 3 baths (that are not outrageous priced hi-end posh flats) is alien there, unless you are talking about some dodgy council tenant flat (and even then it will only approaching that size if it is a 3 or 4 BDRM.) Horses for courses and all that.

If people (especially in the US) want the extra space then they either have to obtain more income (a better job or take in a flatmate) or move to a cheaper area.

I also still am utterly unconvinced on the whole 'a bunch of single, solitary people will go and grab up all the larger 3 and more bedrooms flats' stipulation. Show me solid, academic-level proof that this is indeed a systemic and relatively common problem and we can take it from there.

Recursion

(56,582 posts)
94. What's changed is that people are single and childless much, much longer
Tue Jun 18, 2019, 04:37 AM
Jun 2019

than they were a generation ago. Again, this is exactly what Elizabeth Warren's first book was about. The mean household size in the US has plummeted, but the median square footage of housing stock has doubled, over the past 40 years.

thesquanderer

(11,990 posts)
107. I wouldn't expect minimum wage to support a 3 BR or 2 BR apartment.
Tue Jun 18, 2019, 12:57 PM
Jun 2019

There's a reason studio apartments exist.

Also roommates/housemates.

Minimum wage should be enough to keep someone out of poverty. Not necessarily support his/her family in a multi bedroom apartment.

Recursion

(56,582 posts)
112. Then we need to stop with the outrage about employees being on public assistance
Tue Jun 18, 2019, 02:04 PM
Jun 2019

Because the only way that's happening is people with families.

Red Mountain

(1,735 posts)
39. Must remember to be grateful
Mon Jun 17, 2019, 08:14 PM
Jun 2019

He can't afford to move to Alabama. That's not where he is making money. He chases the population bases and tries to move goods into their centers as cheaply as possible.

Transportation, the cost thereof and timeliness all matter a great deal to his business model.

It's about logistics.

Celerity

(43,419 posts)
27. good luck getting the FMW to even 8 or 10 USD per hour with Rethugs in charge
Mon Jun 17, 2019, 07:27 PM
Jun 2019

Red is the new poor

Minimum Wage Rates for 2019 Listed by State

Alabama: $7.25 (Federal Minimum Wage, no state minimum)
Alaska: $9.89 (Annual indexing has begun)
Arizona: $11.00
Arkansas: $9.25
California: $12 (employers with 26 or more employees, otherwise $11)
Colorado: $11.10
Connecticut: $10.10
Delaware: $8.75
District of Columbia: $14.00 (as of 7/1/19)
Florida: $8.46
Georgia: $7.25 ($5.15 if not covered by federal regulations)
Guam: $8.25
Hawaii: $10.10
Idaho: $7.25
Illinois: $8.25
Indiana: $7.25
Iowa: $7.25
Kansas: $7.25
Kentucky: $7.25
Louisiana: $7.25 (Federal Minimum Wage, no state minimum)

Maine: $11
Maryland: $10.10
Massachusetts: $12
Michigan: $9.45 (Effective in late March 2019)
Minnesota: Large employers are required to pay workers $9.86/hour and small employers (less than 500k in annual sales) $8.04
Mississippi: $7.25 (Federal Minimum Wage, no state minimum)
Missouri: $8.60
Montana: $8.50 ($4 for businesses with gross annual sales of $110,000 or less) (Annual indexing has begun)
Nebraska: $9
Nevada: $8.25
New Hampshire: $7.25 (Federal Minimum Wage)
New Jersey: $8.85
New Mexico: $7.50
New York: $11.10
North Carolina: $7.25
North Dakota: $7.25

Ohio: $8.55
Oklahoma: $7.25
Oregon: $11.25 (7/1/19)
Pennsylvania: $7.25
Puerto Rico: ($7.25 Employers covered by the Federal Fair Labor Standards Act)

Rhode Island: $10.50
South Carolina: $7.25 (Federal Minimum Wage, no state minimum)
South Dakota: $9.10
Tennessee: $7.25 (Federal Minimum Wage, no state minimum)
Texas: $7.25
Utah: $7.25

Vermont: $10.78
U.S. Virgin Islands: $10.50
Virginia: $7.25
Washington: $12.00
West Virginia: $8.75
Wisconsin: $7.25
Wyoming: $7.25 ($5.15 if federal regulations do not apply)

Alea

(706 posts)
36. I revised your list (see bottom of list)
Mon Jun 17, 2019, 08:00 PM
Jun 2019

Alabama: $7.25 (Federal Minimum Wage, no state minimum)
Alaska: $9.89 (Annual indexing has begun)
Arizona: $11.00
Arkansas: $9.25
California: $12 (employers with 26 or more employees, otherwise $11)
Colorado: $11.10
Connecticut: $10.10
Delaware: $8.75
District of Columbia: $14.00 (as of 7/1/19)
Florida: $8.46
Georgia: $7.25 ($5.15 if not covered by federal regulations)
Guam: $8.25
Hawaii: $10.10
Idaho: $7.25
Illinois: $8.25
Indiana: $7.25
Iowa: $7.25
Kansas: $7.25
Kentucky: $7.25
Louisiana: $7.25 (Federal Minimum Wage, no state minimum)
Maine: $11
Maryland: $10.10
Massachusetts: $12
Michigan: $9.45 (Effective in late March 2019)
Minnesota: Large employers are required to pay workers $9.86/hour and small employers (less than 500k in annual sales) $8.04
Mississippi: $7.25 (Federal Minimum Wage, no state minimum)
Missouri: $8.60
Montana: $8.50 ($4 for businesses with gross annual sales of $110,000 or less) (Annual indexing has begun)
Nebraska: $9
Nevada: $8.25
New Hampshire: $7.25 (Federal Minimum Wage)
New Jersey: $8.85
New Mexico: $7.50
New York: $11.10
North Carolina: $7.25
North Dakota: $7.25
Ohio: $8.55
Oklahoma: $7.25
Oregon: $11.25 (7/1/19)
Pennsylvania: $7.25
Puerto Rico: ($7.25 Employers covered by the Federal Fair Labor Standards Act)
Rhode Island: $10.50
South Carolina: $7.25 (Federal Minimum Wage, no state minimum)
South Dakota: $9.10
Tennessee: $7.25 (Federal Minimum Wage, no state minimum)
Texas: $7.25
Utah: $7.25
Vermont: $10.78
U.S. Virgin Islands: $10.50
Virginia: $7.25
Washington: $12.00
West Virginia: $8.75
Wisconsin: $7.25
Wyoming: $7.25 ($5.15 if federal regulations do not apply)

Amazon $15.00 w/full benefits and with no state or federal mandate (the highest on your entire list)

Celerity

(43,419 posts)
38. revise it again to show that Amazon is going to pay less than HALF of the national average for that
Mon Jun 17, 2019, 08:06 PM
Jun 2019

type of work.



Recursion

(56,582 posts)
73. Mississippi's *median* hourly wage is $13
Tue Jun 18, 2019, 01:15 AM
Jun 2019

I don't know that advocates appreciate what a shock going to $15 as a minimum would be to the state's economy. I'm not saying we shouldn't try, just that no existing business will be able to continue as-is.

Red Mountain

(1,735 posts)
41. Amazon pays what they do
Mon Jun 17, 2019, 08:16 PM
Jun 2019

to make people willing to work for them.

Nothing more.

They're the awful kid the family has to tie a pork chop around the neck of to get the dog to play with them.

AJT

(5,240 posts)
46. It would be interesting to know if Amazon is the employer of
Mon Jun 17, 2019, 08:30 PM
Jun 2019

most of it's workers or if they use a 3rd party, like a temp service. Do they hire mainly full-time or part-time in the warehouses? You can claim $15 an hour and benefits and be only talking about full-time employees.

fescuerescue

(4,448 posts)
114. All Fortune 500 companies use temp services to some extent
Tue Jun 18, 2019, 04:08 PM
Jun 2019

This is especially true in any kind of retail operation or where the business is seasonal (i.e. Christmas).

Amazon uses these agencies, but is actually scaling back quite a bit to the extent that it's negatively impacting the stock price of such agencies.

https://www.seattletimes.com/business/amazon/amazons-declining-use-of-temps-hurts-staffing-company-trueblue/



trev

(1,480 posts)
55. In my city
Mon Jun 17, 2019, 09:49 PM
Jun 2019

rent for a 1-bedroom apartment averages $1100. Gross income at $15/hr is $2400/month. Most landlords here will not accept you if your rent is more than 30% of your pay.

When I applied to Amazon last October, they offered me $12/hr.

I don't know what minimum wage should be. But Amazon is not paying a living wage to its typical workers.

 

StarfishSaver

(18,486 posts)
57. How many people who criticize Amazon are willing to stop ordering their inexpensive goods
Mon Jun 17, 2019, 10:00 PM
Jun 2019

and shop locally (preferably at small businesses and not Best Buy, Home Depot, etc.) where they can help create better paying jobs even if it means paying more for their merchandise?

People love to demand workers be paid more, but when asked to put their own skin in the game, they balk.

leftstreet

(36,109 posts)
61. Why blame working class people?
Mon Jun 17, 2019, 10:31 PM
Jun 2019

Working class people need access to 'inexpensive goods' because they don't make the same salaries as the billionaire owners who won't pay the wages necessary to buy anything but the 'inexpensive goods'

It's not our responsibility. Working class people can attempt to save money while simultaneously bitching that working class people don't make enough money

 

StarfishSaver

(18,486 posts)
68. I didn't mention "working class people." Why would you suggest I'm "blaming" them
Tue Jun 18, 2019, 12:09 AM
Jun 2019

Surely you don't think only working class people shop on Amazon?

leftstreet

(36,109 posts)
100. We're all working class people
Tue Jun 18, 2019, 09:52 AM
Jun 2019

Unless you meant to ask all the billionaires on DU if they were willing to stop shopping at Amazon

Recursion

(56,582 posts)
83. Somebody making $15/hour needs 3 dependents to qualify for food stamps
Tue Jun 18, 2019, 01:57 AM
Jun 2019

If they work a 40 hour week.

But they probably aren't working a 40 hour week. If they have no dependents, even on a 20 hour week they don't qualify for SNAP.

I'm not sure what to do about that. Are we saying we want Amazon to have a lot more business, so they have more shifts to give to this worker?

 

melman

(7,681 posts)
86. Do you seriously think the reason they don't make people full time is lack of business?
Tue Jun 18, 2019, 02:11 AM
Jun 2019

Amazon? lol come on.

Recursion

(56,582 posts)
87. Yeah, that's the whole point of "just in time" staffing
Tue Jun 18, 2019, 02:15 AM
Jun 2019

You bring X people into the warehouse exactly when you need X people. They want as few people on their payroll to begin with as possible, and to give them as few hours as possible. But it's cheaper to bring a given part-timer up to 40 hours than it is to hire another part-timer. So more business for Amazon means more shifts for their warehouse employees.

Recursion

(56,582 posts)
95. The places they're paying people $15/hour are not SFO and NYC
Tue Jun 18, 2019, 04:40 AM
Jun 2019

They don't have fulfillment centers there because they can't staff a warehouse at $15/hour there.

Voltaire2

(13,072 posts)
104. The federal min wage should set the floor
Tue Jun 18, 2019, 11:23 AM
Jun 2019

and individual states can adjust that upwards as they see fit. That is the current system. The only thing I would change is to make it automatically cola so it stops being a political football. That and set it to 15 now.

kennetha

(3,666 posts)
105. you mean that wages would rise automatically, independently of market forces.
Tue Jun 18, 2019, 11:44 AM
Jun 2019

try running an actual economy that way .... I don't know, sounds like a recipe for collapse.

Voltaire2

(13,072 posts)
111. The floor rises with inflation.
Tue Jun 18, 2019, 01:27 PM
Jun 2019

The inflation index is an objective measure of market forces. We’ve run our economy with a minimum wage for 80 years, we just don’t adjust it gradually as inflation erodes it’s value, we adjust it to regain parity with inflation sporadically based on political dynamics. So yes indeed an objective automatic re-indexing would make the min wage more predictable and businesses would be better able to plan for the future.

Vinca

(50,279 posts)
109. STFU Amazon. I'm on Social Security and still self-employed. This month I returned
Tue Jun 18, 2019, 01:11 PM
Jun 2019

my ENTIRE Social Security payment to the IRS in quarterly taxes so fucking Jeff Bezos doesn't have to pay any.

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