Wednesday, September 8, 2010
overpaid workers and Wisconsin businesses
Once again a Wisconsin company (Harley Davidson) is threatening to leave if their employees don't accept wage reductions. What is interesting about Harley, Mercury Marine, and Wolf is that each of them make products that are not necessities and are generally sold to people in higher income brackets. The average person is not spending $20,000 on a motorcycle that is a pig on gas and can be used for maybe 5 months. Their sales are down due to a bad economy. If these wage concessions are granted will the price of a motorcycle drop? The price of motors at mercury didn't come down. The price of a Wolf stove isn't likely to come down. What this shows is that not even the rich are buying stuff. This is bad news for the country.