General Discussion
In reply to the discussion: Does anyone else see a problem with this picture? [View all]Aussie105
(8,143 posts)employers expecting workers to work for basically nothing, is strong Unionism.
Governments all over the world have gutted the power of Unions, and the bosses have done what you'd expect greedy people to do. Keep wages dormant, while inflation erodes buying power.
The economic effect of people living on or below the poverty line seems to evade politicians. They after all, make much more than the basic income. They don't feel the pain.
Meanwhile, small businesses throughout the country wonder where the customers are, and why the few that do show up, don't spend big.
(HINT: they don't have the money to spend.)
Interesting historical facts:
In Australia, there was once a link between the pay rises Federal politicians voted for themselves, this flowed on to
Federal and State Judges and politicians. From there, to state employees like teachers and nurses.
There were significant and regular pay rises. Buy a house, mortgage hurting? Fear not, a couple of pay rises and you'd be laughing!
This led to rampant inflation and high interest rates on both savings (good) and mortgages (bad) and the links were soon severed.
Of course, politicians maintained their need for pay increases.
Unions reacted to this by . . . . crickets!