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Restaurant in NYC offshores cashier job to Philippines so they can pay below minimum wage ($3/hr in Philippines)
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this post was submitted on 12 Jul 2024
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the problem is it circumvents minimum wage laws. They're employing a person so they should be paying them the appropriate wages to do business in new york or the US. They're also benefitting from payroll/income taxes but not paying into the programs.
Good point!
Are call centers the same way? And any company relying on Business Process Outsourcing (BPO) firms?
Would be a lotta layoffs overseas if we restricted all foreign labor making less than local minimum wage. Is that a fair trade off? (Not being facetious, genuine question again)
Oh one thing that’s kinda messed up is when tech companies go through consultancies to hire workers in India, the consulting companies take HALF!! Wild!
Yes it is a fair tradeoff. Any time we make a law we're raising the cost of goods and services here. If there's no regulation or import taxes to balance prices with outside the jurisdiction, then the "race to the bottom" de facto negates the law in question.
So if we ban XYZ here, but allow untaxed imports from countries with XYZ, then we haven't really banned it - we just moved it.