Quote:
Originally Posted by UFO
The problem I see with this view is that it's TOO big-pictured, the polar opposite of the short-sighted self-centered haste. If businesses save money, you are assuming that they are going to WANT to hire more peope, or WANT to pay their existing staff higher wages. What if they don't? Then all of a sudden many of the benefits of HST to this greater good of the economy no longer exists.
|
As someone who has worked with, supervised, hired, and fired many employees; I can tell you, good employees are EXTREMELY hard to find. Maybe it's the culture and this generation, but majority of people lack responsibility, discipline, or even a half decent work ethic. When businesses start to do more business, when the workload increases, I've had plenty of experience with people just quiting because they don't want to do the work or because they just couldn't handle a job that ceased to be "slack".
If you have employees that work well, you WILL want to keep them. Simple as that. Most of the time, that means giving them a raise.
To meant the increased demand of your business, you also have no choice but to hire more people (given that expected revenue covers the costs of new employees and then some).
It's not that big pictured.
If you feed your family one steak each every night, but then all the sudden you get an entire cow for dinner... you're either going to have to give each member of your family more than the standard one steak, OR you're going to have to invite more people over, OR both. You aren't just going to sit and watch the cow rot.
In terms of your eating out concerns. My parents, uncle, and one of my cousins, all own restaurants, and I'm very familiar with their books. they can't do anything about what they charge, because increased crop prices, along with increased fuel prices, have made their costs go up; and strict liquor regulation, along with the street parking meter increases (both cost of and time in effect) have made people refrain from spending too much time and money at dinner. With costs up, average spending down, average number of tables a night down; even with the savings from HST, times are tough. (This is from talking to our regulars, who say that they used to be able to sit and drink as much as they wanted over dinner, or that they used to be able to put in an hour for parking at 7 and not have to worry about it; but now it's all changed)