Lyft and Uber threatened to stop doing business in Minneapolis after the city council adopted a new rule Thursday that would set a minimum wage for rideshare drivers.
Lyft and Uber threatened to stop doing business in Minneapolis after the city council adopted a new rule Thursday that would set a minimum wage for rideshare drivers.
The problem with your scenario is that you’re assuming an increase in payroll expenses will have enough of an affect on the company’s profit margin for them to go negative.
This is almost never the case, and if your business can’t survive without paying slave wages, then your business doesn’t deserve to survive.
The truth is that companies don’t want to raise wages because they’re on a quest to hoard as much wealth as possible. Just look. The country is in a recession and corpos are reporting record profits.