Quote:
Originally Posted by DGthe3
Benefits can't be attributed to a worker in a direct manner though. A person making $20/hr working isn't getting $20 in benefits at the same time. It only works as an average, and even then, many of the benefits are still active after retirement and are more or less a fixed cost. So it doesn't really make much sense to combine the two since theoretically, if GM employed only 1 factor worker and everyone else was layed off or retired, he would have an equivalent hourly cost of millions of dollars per hour, despite the fact he only gets $20 or so. Conversely, if GM were to hire 10 million factory workers, the average cost of each would only be a bit higher than regular pay.
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Definitely.
All I was saying is that once everything is factored in he is probably making closer to $40 an hour than he believes.
Healthcare, retirement, etc... is worth a lot of money. Money you would have to make in actual pay if your company didn't offer the same benefits.