Former servers file human rights complaints against iconic Hamilton restaurants new owners – Probably fired because of Kathleen Wynne’s Minimum Wage Hike – March 18, 2019,

One of the reasons government should never allow price controls is because of the often overlooked social and competitive effects. Now, obviously, I do not spring chicken so I was listening to a story of a person who in my age bracket who at 46 went from making around $6 more than the former minimum wage to a few dollars of the current Ontario minimum wages of $14. She refuses to work for her old company until they adjust her wages to make sure that her and the new teenage hires who typically won’t go the extra mile to offer the type of customer service, older women are more familiar with than younger women are.

Now, in theory, minimum wages, especially to people with are brainwashed by Union propaganda appears to be something a government must do in order to protect and create wealth for workers deemed by the government to be low skilled, but it actually minimum wages and price controls, in general, have the adverse effects. They create problems that otherwise wouldn’t exist and actually cause more companies to go bankrupt as those companies scramble to find new marketing idea that will allow them to pay not only their property, plant, and equipment costs but also their employees.

Because unlike working for the government, if customers don’t walk through your restaurant doors you can’t extort(tax) customers into giving you more money. This, of course, is what causes most restaurant owners to sell instead of firing employees, a lot of business owners will even intentionally sell at a loss to avoid telling their employees that they can no longer make payroll. Business owners are people too, and most small business owners love their employees, however, employees typically envision all businesses as having unlimited capital and can’t imagine that their boss or the owner of the company might actually be making payroll because of a bank loan that they’ll never realistically pay off.

An iconic restaurant doesn’t mean that it was a solvent or profitable restaurant, of course from the workforces perspective they’ll assume maybe by what the owner told them, maybe the owner’s extravagant lifestyle or maybe because the owner is making money in other endeavors that the cash is flowing and therefore they should be paid. Furthermore, the new owner Miss or Mister moneybags obviously has more than enough money to keep them employed and keep everything as is because well it’s an iconic restaurant and in the minds employees they attach the world Iconic with Lots and lots of money.

What often happens with these situations and I’m talking purely from a business standpoint is that once a new owner opens the books and sees the financial disasters left by the previous owner, the new owner will immediately find ways to cut costs, now lets say minimum wages didn’t exist, in the real world, the staff would stay on probably for as long as they wanted.

WHAT THE ONTARIO MINIMUM WAGE INCREASE MEANS FOR YOU- restaurantscanada.org

But with the government created wage-price control, it’s illegal for any employer to pay any person below the rate set by the government, not only that consider this: Employees will be entitled to 3 weeks’ vacation after 5 years of service, this is actually discrimination, this actually puts people who work at a company for a long period of
time at a disadvantage, this also equates to a restaurant having to raise prices or finding creative ways to make a profit. One of the reasons restaurants and other smaller businesses are hiring younger people is because the government created the incentive.

This is happening all over Ontario, I actually write more about it happening in health care, but it’s happening everywhere. Being that working at a restaurant is also considered an entry-level position because of the minimum wage, the assumption by CEO’s is that the younger person will most likely quit in a few years, therefore, saving them from paying 3 weeks of paid vacation. Let me give the reader some basic math. $14 x 7.5hours x 15 days = $1575 extra per employee that’s been working at that company for more than 5 years there’s 3 women I saw on thestar.com article you can read below that’s $4725 x 2 = $9450 annually. Paid vacation means when they’re on vacation you the owner still have to pay someone else to show up for work. Now I can imagine that those women made more than the minimum wage? I’m not entirely sure, but you get the picture based on my illustration.

This is the disasters the governments create, now, make no mistake about it, I’m in business, I know a lot of business people the old minimum wages were killing small businesses, no Canadian in their right mind wants to buy anything from China, we buy things from China because minimum wages make certain businesses in Canada uncompetitive. We’re in a global marketplace, where the consumer, the customer makes the final decision of what business lives and what business dies.

Now, an individual go start their own made in Canada business for themselves and see how long their made in Canada business last before they realize firstly the decimation of Ontario’s manufacturing industries and secondly that Canadian consumers will pass on more expensive made in Canada merchandise for the cheaper made in China alternative. This is the damaging effects of minimum wages, now personally I don’t know what will happen with their human rights complaint, I’m not a law expert, but this would have been an open and shut case if minimum wages didn’t exist

Former servers file human rights complaints against iconic Hamilton restaurant’s new owners – TheStar.com

Interesting times ahead.