We all have a strange relationship to what we make, for the bulk of the population we work for someone else who when the annual review is given, the information is to be kept secret. However, just about everyone knows the range of pay in the workplace and most people are rated on a bell curve so there are very few secrets. The longer someone has been in the workplace and as they have received a raise every year, they are either higher or lower in the pay range. This is all mentioned because of the reaction politicians have towards the unemployment numbers.
In an article by Lucia Mutikani of Reuters, for a number of weeks there has been a federal government subsidy of $300 on top of the normal unemployment insurance for those workers who industries were shut down by the government because of COVID. With the increasing number of people being vaccinated, people are able to attend to events and group functions. At the functions for example the sporting arena, the people are paid the minimum wage ranging from $7.25 to $15.00. Some politicians believe the added subsidy is allowing people the choice of finding work or staying home.
The other side says lack of child-care facilities (particularly when schools are shut down), lingering fears of catching COVID in a group setting and with an aging population some took early retirement so they do not need to go back to work.
In the commodity world, we all thing of supply and demand as prices on the commodity exchanges rise and fall. Somehow with wages, it is not the same. If there is a hard time attracting people, the employer must make it more attractive to fit the needs of their workplace. That seems logical, but when it comes to money, there is a different mindset at play.
Linking to dividend paying stocks, one of the reasons why you want to own dividend paying stocks is the dividend or money you receive on a quarterly basis. The money gives you options, and the more money you receive in dividends the less you are dependent on work wages which allows you to work at the pace you want to. Ideally the amount of dividends you receive is close to what you make working, which allows you to work or not to and society believes that is a wonderful thing.
There are more questions than answers, till the next time – to raising questions.