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by flowersoldier 3595 days ago
I read a great article describing how Walmart does this. Companies who pay a living wage, like Costco, essentially subsidize Walmart by allowing them to pay low wages. Government Safety Nets like food stamps, medi-cal, etc., make up for the low wages. Thing is, these are paid for by tax dollars from employees at Costco who actually pay into the state treasury. Many Walmart employees are actually a drain on tax dollars. I'm at work and shouldn't be commenting on HN so here's the link to "Confronting the Parasite Economy. Actually read it here on HN, but it seems pertinent to the discussion. http://prospect.org/article/confronting-parasite-economy