A
Abu
Guest
tommcguire
Catholic Social Doctrine over and over again teaches the worker has a right to a living wage–enough to provide for a family’s necessities of life. What must be done to bring about the kind of solidarity for the workers who are not making a living wage or are unemployed?
These are good and relevant questions. The question of a living wage is very important but not as simple as in legislation, as we have seen.Technology is the cause of great transformations in the workplace that has brought loss of jobs, but so are the unscrupulous practices of financial markets and manufactures that do not place any importance on the common good. How do we bring about the critical focus on the common good, and pay special attention to the needs of the must vulnerable in our society?
Jobs arise when investors and entrepreneurs combine to produce a product which consumers wish to purchase at a price they are willing to pay and those jobs require capital, employees including managers, and marketing. If the business is successful it can expand and employ more people, if not it may contract or disappear.
“The key problem of social ethics in this case is that of just remuneration for work done” (no.19). This, as we have seen, has been a major theme of papal social teaching since Leo XIII. John Paul reminds his readers of the connection of just wages with the family. “Just remuneration for the work of an adult who is responsible for a family means remuneration which will suffice for establishing and properly maintaining a family and for providing security for its future” (no.19). This can be done either by means of “what is called a family wage – that is, a single salary given to the head of the family for his work, sufficient for the needs of the family without the other spouse having to take up gainful employment outside the home” or by “family allowances or grants,” which are common in many European countries. Such arrangements are a way in which a society can ensure that mothers are not forced to leave the home to take up paid work, something which is “wrong from the point of view of the good of society and of the family when it contradicts or hinders [the] primary goals of the mission of a mother” (no. 19).
Catholic Social Teaching: John Paul II, Laborem Exercens, (Thomas Storck)
[catholiceducation.org/articles/religion/re0286.html]](http://www.catholiceducation.org/articles/religion/re0286.html])
“Single men and the married men with families receive the same rates of pay for the same work. As a result, one sector of the population bears a disproportionately large share of the financial burden of maintaining the child population, which means the future nation, except for income tax benefits, which may unfortunately, be cancelled out by consumer taxes. The effective solution we are urging may well require a family allowance system in the United States similar to those adopted by Canada, many European nations, Australia, New Zealand and some governments of South America. We stand ready to support enlightened legislation in this sense.”
[ewtn.com/library/BISHOPS/USBPSHV.HTM]](http://www.ewtn.com/library/BISHOPS/USBPSHV.HTM])
This is all the more urgent now because of the population devastation facing Western nations, and the difficulties facing families.
Here are facts from May, 2006:
mises.org/daily/2130
Supporters of minimum wage laws do not realize that prior to minimum wage laws the national unemployment rate did fall well below 5%. According to the US Census, national unemployment rates were 3.3% in 1927, 1.8% in 1926, 3.2% in 1925, 2.4% in 1923, 1.4% in 1919 and 1918, 2.8% in 1907, 1.7% in 1906, and 3.7% in 1902.[6] Even today, some states have unemployment rates as low as 3%. Virginia now has an unemployment rate of 3.1%. Wyoming has an unemployment rate of 2.9%. Hawaii has an unemployment rate of 2.6%. National unemployment rates seldom drop below 5% because some categories of workers are stuck with double digit unemployment. Given these figures, it is quite arguable that minimum wage laws keep the national unemployment rate 3 percentage points higher than would otherwise be the case.
Note:
[6] US Bureau of the Census Historical Statistics p135.
With regard to legislated minimum wages facts are useful:
Tuesday, July 28, 2009
By Dr. Shawn Ritenour
Various empirical studies since the 1970s have shown that a 10-percent increase in the minimum wage results in a general drop in employment of between 2-3 percent and an 8.5-percent decrease for high-school dropouts, young black adults, and teenagers; those are the labor sectors most affected by minimum-wage increases. Teen employment fell 5 percent after last summer’s 12-percent minimum-wage increase. The 2007 minimum-wage mandate was implemented in three phases. Since going into effect, over 480,000 teen jobs have been lost
mensnewsdaily.com/2009/07/28/the-minimum-wage-keeping-prosperity-around-the-corner/
Dr. Shawn Ritenour is an associate professor of economics at Grove City College, contributor to The Center for Vision & Values, and adjunct professor at the Mises Institute in Auburn, AL