Los Angeles Village Idiots(city counsel) has voted to increase the cities minimum wage from it’s current $9.00 an hour to $15.00 dollars and hour.
LA’s Village Idiots(City Council members) said “raising minimum wage to $15.00 an hour will ease LA’s high housing costs”.
Where did these idiots study business basics and business accounting? Disney Land University?
LA’s Village Idiots don’t have a clue how business works. They don’t understand that companies are not Not For Profit organizations. For a business to keep it’s doors open, keep it’s employes on the payroll, they must make a profit.
LA’s Village Idiots ignorant. They don’t understand that every manufacturer, every service provider, every retailer/wholesaler, those that provide home and business rentals and construction companies. All businesses have the cost of doing business directly tied to labor cost.
Over a short period of time companies will be forced to increase prices to maintain a profit margin or close their doors. Many will be forced into bankruptcy proceedings.
Some employees will be fired. Others will have hours cut(made part time employes) to reduce cost associated with providing benefits to full time employees.
A large number of companies / businesses that do not rely on walk-in customers will simply relocate to areas outside the city limits of LA. This will allow businesses to avoid LA’s anti-business decisions (city ordinances).
Relocating will in the end place business in a better position to provide products and services to their customers at a lower cost than their competitors operating in the city of Los Angeles.
In the end, few if any employees will actually have more disposable income.