Wages, Charity, or Theft?

A pepper company began in the US, but has since moved to Mexico. This company now pays its employees a paltry $.50/hour, but each employee is free to work or not work as he pleases. Even assuming the previous employees from the US made only minimum wage, it is obvious the company will save piles of money by paying workers not 'protected' by such a law. Businesses make decisions with one purpose in mind: profits. Are the Mexican employees being treated unfairly? What is a fair wage?

Businessmen hire the individuals who bring the most profit to the company. If Mike nets the company $100/week, and Bob nets $125/week, all other things being equal, it would be quite foolish to hire Mike. On the side of the coin, laborers will also look for the job that brings in the most income, all other things being equal. Assuming again the Mexican employees are not being coerced, they have judged that their lives are better off working for the pepper company than they otherwise would be. No one is claiming the company has reached sainthood, but the fact is the standard of living for the people's lives whom they employ is improved, at least in the opinions of the employees. Both the company and employees benefit - however little - from the exchange.

How could someone, upon seeing these destitute conditions in which the employees lives, continue to pay such a low wage and be considered anything but heartless and cruel? If the company decides that the employees need more and then provides it - without providing any present or future benefit to the company - this is no longer a wage. Here enters a different form of payment: charity. Even if it is given in the form of 'higher wages', it is no such thing. As soon as pay is based on felt or actual need, irrespective of the company's bottom line, we have crossed over from 'wage' into 'charity'.

A wage is the smallest pay for which the employee is willing to work. An increase can only be considered a wage increase if it is voluntary, and is believed to be in the company's best interest. A good definition of 'wage' must include the notion of added value to the company. That is why the company will always pay an employee as little as possible, rightly so.

God's Word teaches that it is our obligation to help those in need when able. Unfortunately, charity has been severely and tragically tarnished by the travesty of forcibly taking from one person to give to someone else. This crosses over from charity into theft.

So now wages, charity, and theft abide, these three; but the greatest thing is to avoid confusing them.