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History
Minimum wage has finally been increased. In July 2007 it went to $5.85; and again in July 2008 it will go to $6.55; and in July 2009 it will cap out at $7.25. It has been nearly 20 yrs. since the last increase.
Shortly after the last increase, several companies found themselves facing class action suits from hourly employees.
Why?
Key Point
Raising the minimum wage is considered a 'cost of living increase'.
So let's say you have been paying your average workers $8.00 hr., and you have given raises to your long-standing and/or best performers and they make $9.00 hr. Now the minimum wage gets raised $1.00, and everyone is making the same.
Why?
Because you haven't given your higher paid workers, their 'cost of living' increases too. Just because they were already making a higher wage, doesn't mean that you are not suppose to increase every employee by the same amount. Every employee's wage has to be increased.
Cause
There are companies that play on the ignorance of its hourly labor force. As long as no one says anything, they will stretch out their time before paying for as long as possible.
That's when the lawyers can step in. All that back pay plus interest.
It happened before, and if history repeats itself, it will happen again.
This isn't anything new, and your companies legal and HR departments have probably already addressed this issue long ago. But don't be surprised if they haven't. It's been a long time since the last increase, and they each have a lot to remember.
How To Look Good At The Office
So maybe at the next meeting you can find a way to discreetly bring it up to the highest authority you can find in the room. Just discreetly ask “how do we handle questions when they come up?” “How should a response be worded?” Higher-Ups can be surprisingly out of touch, and tend to appreciate you giving them a clue.
Please Comment
I hope this brief article helps someone. If you have any questions or would like to add your insight or oppositional views - then please, please comment here. I would love to here what you have to say.
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