Arizona Republic Reports State Legislature Can't Repeal Law of Supply and Demand

A few days old but a goodie. I've seen in this one report something that's often missing from network treatment of the minimum wage issue: a quantification of how much the government wage mandate affects the bottom line for small businesses, and ends up screwing over the little guy.

"New wage boost puts squeeze on teenage workers across Arizona" (The Arizona Republic)

Mark Messner, owner of Pepi's Pizza in south Phoenix, estimates he has employed more than 2,000 high school students since 1990. But he plans to lay off three teenage workers and decrease hours worked by others. Of his 25-person workforce, roughly 75 percent are in high school.

"I've had to go to some of my kids and say, 'Look, my payroll just increased 13 percent,' " he said. " 'Sorry, I don't have any hours for you.' "

Messner's monthly cost to train an employee has jumped from $440 to $580 as the turnover rate remains high.

"We go to great lengths to hang on to our high school workers, but there are a lot of kids who come in and get one check in their pocket and feel like they're living large and out the door they go," he said. "We never get our return on investment when that happens."

h/t: Drudge Report

Ken Shepherd
Ken Shepherd
Ken Shepherd is the Managing Editor for NewsBusters