While the increase in minimum wage does actually offer a small relief from high prices for a while, a deeper look will reveal darker intentions. For smaller companies that compete with Walmart, an increase in wages means hard times trying to cope with the difficulties and sacrifices needed to pay their employees more. Not only will they have to let go of many employees if they are already on the outskirts of “getting by,” but they will also probably lose the ability to provide some of the services they might be known for.
It is very easy for Walmart to declare the good in raising the minimum wage because the company could raise its pay by 100% and still not be affected by the increase. The only way to compete with Walmart is to provide nicer services and supplies, but that in and of itself implies higher wages, which is the problem smaller organizations need to avoid in order to be competitive.
