One of the fights that President Obama renewed in his State of the Union speech earlier this year was that over minimum wage. Federal minimum wage right now is $7.25 an hour, and in a fact-filled hay-maker of an op-ed, economist Robert B. Reich has made it abundantly clear that the only ones who see any negative impact from raising minimum wage are the top earners at a company — the C-levels and the board for instance — not the actual work force.
Reich explains that the lies about minimum wage workers being only teenagers who don’t need to live off their occupation’s wages are just that — lies. Reich points out that the right will tell you that if we raise wages the consumers will be the ones devastated by the higher costs, but that it’s all smoke and mirrors on that front too. Companies like McDonald’s and Burger King compete fiercely for business, and that will help keep prices low regardless of what level minimum wage is set at.
The venerable economist is also sure to remind readers that these companies, the ones that hire and employ the largest number of low-wage workers, are turning over record profits year after year. McDonald’s profits were so high that they gave their CEO a bonus of over $13 million. How many health care benefits for minimum wage earners could that have paid for, and yet we’re being told there’s just no room on the books to pay people a living wage? Boy, thirteen million just doesn’t buy you what it used to, does it?
Watch Robert Reich take Fox News pundits and guests to school on the minimum wage here: