Arguments should be based on reality

To the editor:

In an April 12 guest column 'Should we raise minimum wage?”, Hawkeye Labor Council Executive Director Rick Moyle slammed Iowa Speaker of the House Kraig Paulsen for cautioning that raising the minimum wage would 'hurt some low-wage workers who would lose their employment.” Unfortunately, the facts Moyle uses to dispute the speaker's assertion profoundly lack truth. Moyle insists that Paulsen's claim can only be true if corporate giants like McDonald's 'do not make enough in profits to pay their employees even a meager $8.75. We know (their) profits are massive ... so I disagree.” Moyle isn't considering that almost 90 percent of the 14,350 McDonald's stores aren't owned directly by the company, but rather by independent franchisees. A great many of these franchisees are small businesses, whose profits are a fraction of the 'massive” profits Moyle pictures. Given his job title, it's troubling that Moyle either can't or won't distinguish between the two.

Some friends of mine own two local franchises of a nationwide pizza chain. Though the chain's sales top $200 million, my friends make a profit of as little as 17 cents per pizza they sell, after ingredient and operating costs. To raise their employees' wages to 'even a meager $8.25” would mean a 20 percent increase in payroll, already their biggest budgeted operating expense. They would have no choice but to raise their prices and eliminate some jobs.

In the future, Moyle should base his arguments on reality, not rhetoric. Increasing the minimum wage is not a viable solution.

Althea Cole

Cedar Rapids

Opinion content represents the viewpoint of the author or The Gazette editorial board. You can join the conversation by submitting a letter to the editor or guest column or by suggesting a topic for an editorial to editorial@thegazette.com