Hourly wages for employees
From James T. Galloway
I’ve been observing something that happens ever year, could be classified as seasonal. Anyway, when a business operates on a seasonal labor force, but try to keep the same individuals in their labor force. When they cut their labor force hours or days of being on the jobs, they are actually cutting the hourly wage they are paying their employees.
Let’s say an employee is working 39 hours, not 40 hours, when benefits kick in. Let’s say they cut your hours half to 20 hours per week. You’re not going to receive any money, but just for 20 hours. When you cut the hours per week to half, you are only receiving half the hours pay. When this happens, if hourly wage happens to be $10 per hour, you divide what hours you are working before with hour cut now. You are getting close to half or close to it. When you divide the $10 per hour by two you have $5 per hour.
I have some problems with minimum wage, but you compare what’s above and what’s happening, there is no comparison. I realize every individuals employment is different, but the math works the same whatever the situation is.