@Toots_mcgee
This is not a perfect example because it retail, but this is why I think we need to go this.
Let's look at Walmart and Costco as examples. Walmart's average pay per worker is $17.50 per hour, while Costco offers one of the highest wages in retail at $30 per hour. Now Walmart's profit margin is almost 2.93% more than Costco's, likely due in part to their lower wages and benefits. Keep this in mind as we go thru the numbers.
This disparity has broader implications. Many Walmart employees likely qualify for various government benefits, which ultimately costs us tax dollars and puts a burden on the United States' welfare system. What makes this even more interesting is that Walmart paid about a 22% tax rate, while Costco paid almost 25%. Remember Walmart also had a better profit margin but paid less taxes.
So, here's the question: Is it fair that a company paying its employees less and creating a higher tax burden on the welfare system should pay less in taxes than a company that is paying higher wages and higher taxes? Personally, I don't think it's right. I believe Costco should receive a tax break because they create less of a tax burden.
We already give companies significant tax breaks for investing in infrastructure and buildings, so why not extend these incentives to companies that invest more in their people? By rewarding companies that prioritize fair wages and benefits for their employees, we can encourage a more equitable and sustainable economy.
