The $15 minimum wage movement - Companies and Governments take action affecting the job market

There is a growing $15 minimum wage movement in the United States that is starting to have an effect in companies doing business in Puerto Rico. As a result of this movement companies and governments are affecting the job market significantly as follows:
  • Wal-Mart announced that it will increase the starting wage to $11 an hour. The increase is applicable to employees in Puerto Rico.
  • Puerto Rico governor signed an executive order to implement a $15 minimum wage for some constructions workers in Puerto Rico.
  • Amazon announced that it will increase the minimum wage to all employees including distribution centers, part time employees and those contracted through temporary employment agencies to $15 an hour. According to the New York Times, Amazon will lobby in Washington D.C. for an increase in the federal minimum wage.
  • Many states have implemented minimum wages significantly above federal mandated minimum wages.
Even when still not mandated by law, market forces are increasing the minimum wage that qualified employees are willing to accept as many companies auto regulate creating their own minimum wages above the law requirements affecting the job market. 
​
Puerto Rico Business Strategies for a possible $15 minimum wage environment:

Companies like MC Donalds have starting to prepare for the expected minimum wage increase by investing in their own robots that will replace cashiers. However many companies do not have the resources to develop their own robots to replace humans when wages are significantly increased . How can we prepare for such an expected future?
  • Increase employee productivity measurement goals in order to account for expected higher labor costs.
  • Monitor employee productivity constantly ensuring that employees are busiest to the fullest extent.
  • Invest in technology that can lower human manual tasks.
  • Monitor and consider increasing margins expecting higher costs in the future.
  • Monitor and consider increasing revenue per employee metrics to prepare for higher labor costs.
At Busy Season Staffing Solutions, we have helped companies ranging from mid size businesses, accounting firms, Act 20 companies, to multinational corporations operating in Puerto Rico with their professionals recruiting and temporary needs. We specialize in the recruiting of accounting and business administration professionals. Busy Season Staffing Solutions can assist you in the identification, recruiting, back ground check and on boarding for your company job opening. We may also provide temporary resources for your company Busy Season, budgeting, year end closing or special project. 
 
Contact us at:
 www.busyseasonstaffing.com
787-918-1890 
[email protected] 
​

Disclaimer: The information presented above is for information purposes only and do not represent legal advice. Before making any decision you should consult your own legal advisor.