Mandatory Sick Leave Hurts the Working Poor

By Marc Kilmer

On March 6 the Portland City Council may vote Buy propecia without prescription, on whether to require virtually all businesses that employ six or more people to provide them with at least five paid sick days per year. While this sounds well intentioned − who doesn’t support helping out a sick person. Propecia pharmacy, – it will actually end up hurting low-wage and less-skilled employees. For the sake of the working poor, this proposal should be rejected, canadian pharmacy propecia.

Let’s establish some basic facts about the employee/employer relationship. Employers provide compensation for an employee based on how much value that employee’s labor has for the employer, buy propecia without prescription. Buy discount propecia, Employees with skills that are in higher demand get paid more, both because these skills help an employer’s business more and because there are fewer people with those skills. Any kid off the street can wash dishes, propecia online sales, so a dishwasher is likely to make far less money than an electrician, Cheap generic propecia, someone who has a specialized set of skills.

Compensation is not just the wages paid to an employee. An employee costs a business much more than just salary, propecia cheap price. Buy propecia without prescription, There are unemployment, Medicare, and Social Security taxes that must be paid. And if the company offers any benefits, Discount propecia no rx, then that is also a cost to the employer. An employee may make $40,000 a year, propecia us, but it may cost the employer $60, Propecia purchase, 000 a year to employ that person. The total cost of compensation, not just the salary, propecia online stores, is what’s important to the employer. Propecia cheap, Some people hold the view that an employer should provide a variety of benefits to workers, from paid sick leave to health care to disability insurance to retirement benefits. Any amount of money paid by employers for these benefits raises the cost of hiring that employee, buy propecia without prescription.

Mandatory sick leave increases the cost to an employer for hiring an employee, propecia in malaysia. For more-skilled workers, Propecia alternative, that means that more money is going to the benefits side of the compensation equation and less to the wage side. So better sick leave means lower wages. Some employees may like that, propecia sale, some may not. Buy propecia without prescription, But if the government mandates it, the employee has no choice. Buy propecia on internet, For lower-skilled employees, the situation is more damaging. Since there are a federal and a state minimum wage, get propecia, there is a floor below which an employer may not pay an employee. Order propecia in us, If the government raises the cost of compensation through mandatory sick leave, an employer cannot simply pay a lower wage to someone making minimum wage or close to it. In that case, order propecia overnight delivery, the employee will have to be let go.

Some may say that the employer should simply absorb the cost of the higher compensation, buy propecia without prescription. Order propecia from canada, What they ignore is that an employee’s compensation is based on the value that employee brings to the company. If an employer pays an employee more than his labor is worth, then that employer will soon go out of business, propecia buy.

Mandatory sick leave sounds like a good idea, but it will end up hurting the most vulnerable workers in our society. The more the government mandates benefits for workers, the fewer low-skilled workers will be hired. We need to encourage getting these low-skilled workers in the workforce, not discourage them. For the sake of the working poor, the City of Portland should not mandate sick leave.

Marc Kilmer is a Maryland Public Policy Institute senior fellow specializing in health care issues and a guest contributor to Cascade Policy Institute, Oregon’s free market public policy research center..

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