The Forum > General Discussion > Higher wages and conditions, but where do they come from
Higher wages and conditions, but where do they come from
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However, have you ever given true consideration as to just where those wages come from. The answer of cause is profits, gross profits to be more precise.
While it is all well and good to get on ones high horse and claim that many in this sector, (including hospitality and tourism) are underpaid, the reality is, the pay rates are set by the very people who complain, the consumer, as it is their dollars that determine the gross profits made, which in turn pay all expenses, including wages.
We already pay $45 per litre for warm milk, and $8 for eggs.
Of cause we all know the FWC is about to hand down its decision on penalty rates, hopefully before the election, and it is my tip that with the exception of the 25% loading on weekends, every day will simply be a day ending in 'Y' and rightly so. Public holidays being the exception.
So for those who feel these workers are hard done by, ask yourselves two very basic, yet VERY IMORTANT questions.
1. Do I shop online to save money?
2. Do I shop around seeking out the best prices?
Now if you answer yes to either or both of these questions, do you think that you are actually a huge part of the reason why these wages are low.
If not, why not?
The other point you should observe is Target and Woolworths.
Say they are forced to increase wages by 10% across the board. Do you think they could afford that, or more so, do you think their respective shareholders would cop that?
BTW, if a product is discounted by just 10%, the retailer has to sell 50% more stock to make the same gross profit dollars.
Finally, don't make this another dud thread, because while its all well and good to want something, it has to be sustainable so lets not let the truth get in the way of a good story hey.