In a lousy economy, forcing wages above the value of the output makes employment worse. When there is currency deflation the effect is compounded. Adding another layer of minimums every couple of years and slowly gathering more employers into the minimum wage rules further compounds the effect.
If you can’t afford the staff you have, and you can’t reduce wages, what options are left? Lay off more employees. Shrink your company.
View original post 134 more words