Instead of doing other people’s jobs, maybe he needs to spend a little time in city hall doing his job? I would really like to see him help the guys in Water Reclamation, oh that’s right, he’s only good at spreading manure, not cleaning it up.
As we have known for several years, Amazon was looking to put a distribution site in our area, it was only a matter of time. We also know, like most businesses that move here, they want handouts, and if there is one thing we love in Sioux Falls and South Dakota is giving out massive amounts of corporate welfare. Flopdation Park has already received around $50 million for infrastructure from the taxpayers. Amazon has received a Federal Grant and now the SF Development Foundation pretty much wants an open ended TIF to attract more businesses. Their argument is always the same, growth for growth’s sake (which I have never understood, because growth only drives up the prices of affordable housing due to infrastructure and public education costs) and JOBS! JOBS! JOBS!
So let’s look at the kind of jobs Amazon supplies. Most workers will be pickers that make around $15 to start. So where will Amazon get these workers? I have argued that they will suck from other businesses in town that pay less (and there is quite a few of them) and once that bleeding is done, people will start moving here. I also believe many workers at Smithfield will try to move over to Amazon. So in essence, Amazon will not be depending solely on our current workforce, they will have to do a lot of transfers.
Another reason I think it will be hard for Amazon to fulfill their worker needs is because of a very difficult qualification process, like background checks, drug tests and physical fitness. It will also be interesting to hear what Amazon’s policy on marijuana use (outside of the work place) will be if it becomes legal in our state.
But all of those things aside I think there are a few benefits to bringing Amazon here. First off, they will support many other businesses in town, maybe even create some new ones. I also believe once they start stealing workers from local businesses, it may force some of them to raise their wages to keep people.
Amazon coming to town will have some benefits, but I often am confused by Sioux Falls’ mantra ‘Growth for Growth’s Sake’. Which just ends up costing taxpayers more in infrastructure and public safety and public education while the fat cats get their TIF’s, tax breaks and government grants. Let’s face it, Sioux Falls has just turned into a welfare state for the rich, which is no surprise when it is so cheap for them to buy the city council and mayor’s office.
So Mayor Multi-Task was bragging about this story about Sioux Falls being a great place to start a career. Let’s assume you are single, let’s break down the numbers;
$35,942 Yearly Salary
Minus Taxes (30%)
$25,159
Minus Rent ($811 per month, $9,732)
$15,427
Minus Monthly Expenses
Groc – $200 (only food prepared and ate at home)
Health – $250 (premium)
Utilities – $200 (includes phone)
Car/Transporation – $600 (includes gas/ins/car payment)
-$1,250 per month
Left over per month $35.
Now I will admit that if you own your car, that could save you around $400 a month, but you also have to have maintenance and repairs, gas and insurance.
Basically you would have $35 per month left over for investments, savings, hospitality/entertainment, student loans, health insurance deductible and out of pocket expenses, etc. Sorry, but $35 dollars doesn’t even come close to covering these other expenses. This is why many young single people (and families) have multiple jobs, because they just can’t make it off of $35K a year and pay rent.
I have often felt that rent increases in Sioux Falls have far exceeded wage increases and the city council seriously needs to look at rent controls. But we also need to get wages up in this town. I wonder if Paul would like to live off of $35K a year? Maybe he is hinting we need to change the Mayor’s salary?
l3wis