There has been a lot of clamoring recently by small businesses, through big media, that they cannot find enough workers. Seems strange to me. Joe Biden has responded, “Pay workers more”. In other words, pay them more and they will work for you.
What a contradiction since Biden opened the floodgates of illegal immigration wide open. All those illegal workers increase the worker supply and cause the price of labor to fall. Joe Biden is talking out of both sides of his mouth.
So, the Republicans started yelling about extended unemployment benefits for COVID 19. Republicans claimed that the problem to the worker shortage is that workers make more on unemployment than they do at job. I think this is true since the current minimum wage is $7.25. If a worker puts in 40 hours at a job, that is roughly $8/hr x 40 hrs x 4 weeks. Essentially, that is $1280 per month.
I think at the heart of the problem is the cost of housing. According to http://www.statista.com, the average cost of an apartment in Feb 2021 was $1124. Most people cannot survive on minimum wage. Add to that car, gasoline, electricity, internet, cable, food, water, and insurance. There is no way that minimum wage will cover these costs. $10/hr or $12/hr would still not cover those costs.
Thus, both Republicans and Democrats are correct. Employers should pay their workers more and unemployment benefits do pay more than minimum wage. Politically, I see a lot of talk but no action. Increasing illegal immigration and cutting extended unemployment benefits are not going to solve the problem. Either way, our politicians are giving workers a death sentence. Now I know why I quietly support neither side: Right nor Left.