SlumTodd_Millionaire
Most Hated Member
http://en.wikipedia.org/wiki/The_Hyatt_100Where is your evidence they don't? Remember, minimum wage is there because companies will race to the bottom of what they can get away with paying employees. If their practices are similar to Hyatt, then there is evidence of paying crappy wages:
"[Fired] housekeepers originally earned around $14–16 per hour, while the replacement workers are paid $8 per hour."
http://en.wikipedia.org/wiki/The_Hyatt_100
Here's what I found: "A Marriott housekeeper generally starts out earning around minimum wage. Pay rates for housekeepers may increase over time. On average, a Marriott housekeeper earns $10.00 per hour. A full-time housekeeper may earn an annual salary ranging from $20,000 to $30,000 a year. In addition to base pay, Marriott offers generous work benefits to eligible associates. Qualified Marriott housekeepers enjoy employment benefits of 401(k) retirement plans, paid time off, and healthcare options. All Marriott employees may take advantage of schedule flexibility, paid training, and discounts on hotel rooms."
By the way, I looked at the stock price for Marriott (since we seem to be picking on them), it has gone from $13.20 in FEB 09 to $79.40 in FEB 15. That increase is partially from stock repurchase by the company, but principally from the profits (which is how they are buying stock) increasing. Do you think the workers have seen such generous % increases in their wages over a similar time period?
Why do you think that share price is related to profitability? It will be over long periods of time, but not over shorter periods of time, because the market is inefficient. Are you aware that Marriott's net profit margin is only 5.25%? And that's about the highest it's been in 10 years. But more importantly, are you aware that each Marriott hotel is independently owned and operated, and that Marriott International's share performance has absolutely nothing to do with the profitability of the local hotel? The local owner pays Marriott International based upon room revenue, not profitability. So he has to keep costs under tight control. If the competition is paying a housekeeper $8/hr, he can't pay $12/hr. Welcome to the realities of running a business.