How does it do that?
The CARES Act specifically pays money per week in addition to what unemployment pays.
So, whatever you made before, even if it was a sustainable wage, you make more by not working right now, even if you could be working.
How does it do that?
The CARES Act specifically pays money per week in addition to what unemployment pays.
So, whatever you made before, even if it was a sustainable wage, you make more by not working right now, even if you could be working.
It helps a lot of people who really needed it, especially hourly wage workers in the service industry who instantly took a hit from the shutdowns and these workers tend to not have healthcare insurance to begin with due to the low wages. It would be foolish for someone who had a well paying job with benefits to permanently stop working for "more" money on paper temporarily, especially considering you would also risk being unemployable afterward. Does +$600 to your weekly pay outweigh the health benefits that you got while being employed?
The explicit intention behind CARES was to provide some resemblance of financial security during a very uncertain time. If paying people a couple hundred more dollars per week than they'd earn while working is what achieves that... and it's temporary... ok fine.
But the CARES Act will continue to payout through December... which is a long time from now... and that's if it doesn't become a political wiffle ball and get extended.
None of that has to do with the value an employee brings, or can earn while in the service industry.
Into the weeds, but... With a growing anti-tipping movement, I don't see how we can argue service industry workers can be paid more than they already are. If the market had the appetite for $30 diner burgers, we'd already be paying those rates, no? Wouldn't the business owners raise prices and just pocket the difference if people were willing to pay more?
I think that results in fewer people eating out... which leads to fewer service industry workers, which leads to some other problems.
Way into the weeds - I've long thought the solution isn't just to command more money be paid to service workers. We should instead focus on trade school and education to empower people to seek skilled jobs that pay far better. I'd fully support free or low cost trade schools and community colleges, and would rather pay taxes into that versus a $30 mediocre burger.
We should have fewer people making careers at unskilled jobs. Nobody can provide for a family comfortably doing that.
Instead, it should be a starting position; an entry into the workforce as you learn a trade, skills or gain knowledge.