Friday, December 12, 2014

Minimum Wage and the Real Job Creators

Every single time the topic of raising the minimum wage comes up, the Republicans chant the same mantra: “It will cost jobs!”

Never mind that multiple studies over many years have shown that to be a totally bogus myth. As we all know, when it comes to Rethug dogma the “truthiness” of something doesn’t really enter into the equation.

I worked various jobs in the administration and delivery of Unemployment Insurance benefits for 30 years, and in that time I never met anyone who became unemployed because the minimum wage increased. Not one. Ever.

I did find some employers who extravagantly claimed that the small boost in the minimum wage drove them into bankruptcy and forced them to close their businesses. But even a casual examination of those businesses revealed that things like poor management or gross mismanagement, inadequate capitalization and non-competitive pricing were the real culprits.

Another article of faith for the Republicans is that business owners are the “job creators”. But are they really? Did they, for example, take those massive tax cuts and corporate welfare payments and create more jobs with the money like they said they would do?

No, they did not. Because they are not the real job creators.

We live in a nation whose economy is based on consumption. That means that, unless people are seeking to buy what you are selling, you are not going to sell it and so you are not going to produce more of it. Goods, services, widgets -- you name it. The demand has to be there.

And what that really means is that people need the money in their pockets before they can go out and buy what they want. It’s the people that spend the money who are the real job creators. They are the demand, the demand drives production and the businessman answers the upsurge in demand with more production, and people get hired to produce. That businessman is not a job creator. He is a job facilitator, doing his own job to meet the demands of the marketplace. As more people are hired, there is more money to spend in the whole economy, and therefore even more demand, which creates more jobs, and so on.

Give a rich person even more money and he will squirrel it away in some tax-free offshore account. Give a person who is making minimum wage more money and you won’t see her opening that super-secret bank account in the Cayman Islands. No, you will see her spending it on the goods and services that she needs and driving the economy.

This is simple. Economics 101. So why don’t Republicans “get it”? Are they that disconnected from reality? It sure looks like it.

Pay Jury Members Minimum Wage

I started thinking about this several years ago when I was called for jury duty. Since I was a state employee, and jury duty was seen as a positive thing for citizens to do, I was paid my regular wage and benefits from the state while I was gone, in a specific category called, not surprisingly, Jury Duty Pay. It wasn't charged to my vacation leave or holidays or anything else.

So it was no loss to me financially to do my civic duty and be on a jury. But what about people whose employers are not so generous? People who are working at a minimum wage job, without those benefits and perks that are enjoyed by union members, state employees, etc.

For them it is a financial burden for them to be impaneled on a jury. True, most states have a "hardship" clause that can excuse them from jury duty. But is that really contributory to a fair and impartial justice system? From my experience, the answer is a resounding "no".

My jury pool, after all of the excused jurors were dismissed, was top-heavy with middle-class retirees, way older than the local demographic would indicate. Wealthier and whiter as well. And about 60-40 female v. male.

A large number of the people charged with crimes severe enough to warrant a jury trial are exactly the opposite. Young, poor, male, persons of color.

 In Washington State jurors are paid a whopping $10 a day. Nationwide jury duty pay runs from a paltry $5 a day (New Jersey) to a generous payment of the minimum wage for jury hours (New Mexico). Most states pay between $10 and $40 per day. Still not much of an incentive.

If we paid our jurors something more than a joke, we might get a more representative cross-section of jurors to serve. When that happens, I think the accused would get a much fairer trial. People can't park their prejudices at the door when they walk into the courtroom, mostly because a large number of them don't even realize that they have those prejudices. When you have panel of jurors that skews to the aged, the wealthy, the white, it's almost impossible to get a reasonable judgment on "just the facts". You know the old saying, "A fish is the last one that's going to grasp the principles of water".

In my jury pool there were a number of people who were more or less blatant about wanting to shirk their duty. While no one actually came out and said, "Just look at him! He looks guilty!", a couple of them came very close to that. I didn't think I would get chosen myself, since at that time I worked in quasi-law-enforcement (I was an Unemployment Insurance fraud investigator), but I skated through anyway and found myself impaneled on an aggravated assault trial jury.

So what happened? After the first day of testimony and graphic evidence (gruesome photos taken of the victim in the hospital) by the prosecution, the defendant saw the handwriting on the wall and pleaded out the next morning. He took a reduced charge instead of putting his fate in the hands of 12 people who were not smart enough to get out of jury duty. He still had to do some prison time, but not nearly as much as he would have when if we found him guilty.

Too bad, since I was looking forward to a Twelve Angry Men scenario in the deliberation room.