Target-ing Pay;

You raise me up…

Image courtesy of nongpimmy/FreeDigitalPhotos.net

Image courtesy of nongpimmy/FreeDigitalPhotos.net

Target’s being a follower and that means only good things for some 350,000 of its employees. The retailer is raising its minimum wage from $8.83 to a whopping $9.00 an hour. Don’t laugh. The federal minimum wage is still only $7.25. Walmart already made that move several weeks back and TJX, which owns TJ Maxx, Marshall’s and Home Goods, is also set to follow suit. So what exactly is the downside of raising the minimum wage and why doesn’t everybody just do it already? Critics of raising the minimum wage feel that sometimes doing so might deter employers from hiring more people if they feel they have to shell out more money to do so. So yeah, it’s great if employers are paying more, just as long as you are able to get a job with them, to begin with.  Speaking of not having jobs, this minimum wage announcement comes on the heels of Target’s earlier announcement that it’s cutting about 3,000 jobs. Target’s going to need a few bucks to pay off that $10 million settlement over its 2013 security breach where 40 million cards were compromised and the personal financial information of well over a 110 million people was accessed. Victims could get up to $10,000 in damages but Target doesn’t plan on making it easy for them to collect. Alleged victims will have to bear the burden of proof and submit adequate documentation on losses they incurred.

Monopolize!

Image courtesy of James Barker/FreeDigitalPhotos.net

Image courtesy of James Barker/FreeDigitalPhotos.net

A big happy birthday shout out goes to Monopoly, the iconic board game who turns 80 today.  The game, owned by Hasbro, comes in 47 languages and is available in 114 countries. You could pick up the game for a whole $2, back in 1935, when Parker Brothers originally bought it up from Charles Darrow. But its roots go even deeper, back to 1903, when a woman named Elizabeth Magie came up with the original incarnation of the game, which was meant to highlight the unfairness of property ownership. Ironically, Monopoly has become the world’s best-selling board game. 275 million copies of the game have sold, with more than $30 billion worth of Monopoly money printed each year, and each game coming with $20,580. Rumor has it that Mr. Monopoly, himself, a.k.a Rich Uncle Pennybags is based on none other than J.P. Morgan.  To mark the momentous occasion, Monopoly has come out with its latest version dubbed “Here and Now.” Cities all over the world voted for their picks to make it onto newest board. In case you were wondering, Illinois Avenue, B&O Railroad and the “GO” space are the three most frequently “landed-on” spaces.  Now if only Atlantic City, whose street names can be found on Monopoly board games, can channel some of Monopoly’s success for itself, it might be able to pull itself up from all its recent economic struggles.

GDY mate…

Image courtesy of cooldesign/FreeDigitalPhotos.net

Image courtesy of cooldesign/FreeDigitalPhotos.net

Chances are, if you have a domain name, you went through GoDaddy.com to buy it. The company, which also does web-hosting, wants to make its Wall Street IPO and is looking to raise $418 million with a valuation around $2.87 billion. Just three years ago GoDaddy.com was picked up by KKR and Silver Lake Management and now, here they are looking to offer up 22 million shares for about $17 – $19 a pop.  The company, which currently handles about 20% of the world’s domain names, has approximately 12.7 million customers and took in $1.39 billion for 2014. That was a hefty a 23% increase over 2013. Look for its ticker symbol one day: “GDY.” Catchy, huh?

South Korea Puts Brakes on Über With Indictment; Walmart Raises Spirits and Paychecks; Jolly Jobless Claims Numbers

U-bummer….

Image courtesy of renjith krishnan/FreeDigitalPhotos.net

Image courtesy of renjith krishnan/FreeDigitalPhotos.net

In what is yet another roadblock in the tech saga we call Über, South Korea has now entered the fray. Except this time there’s a twist because South Korea actually indicted Über CEO Travis Kalanick along with his local Korean business partner MK Korea Co. instead of just ceasing operations of the ride-sharing app, like all the other locales have been doing.  And like all the other countries, states and cities that have been putting the kibosh on the service, South Korean officials argue that Über is violating transportation law  – only this time, by allegedly using rental cars to run its business, apparently a major no-no in those parts. This latest snarl only adds to Über’s growing list of infractions, lawsuits, infringements, etc. The penalty for this latest hiccup, assuming Kalanick and his business partner are found guilty, is up to two years in prison or an $18,000 fine. Ironically, that $1.2 billion Über just got to help expand into Asia ought to help cover that fine, not to mention the legal expenses that are about to mount in China, where law enforcement officials raided an Über “training” facility. But at least back in the states things are looking up in Portland, Oregon, sort of. Even though Über operations were almost immediately halted after its launch there, the company was told to sit tight for three months while the city revamps its taxi rules, presumably to allow Über to fit right in.

And to all a good raise…

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

Over 1.3 million Walmart employees can expect a few more dollars in their paychecks, provided they are among the retailer’s minimum-waged. The biggest private employer in the US will be giving wage increases in nearly a third of its stores, located in 21 states, effective January 1, to comply with new federal guidelines. The three lowest pay grades, including cashiers, cart pushers and maintenance workers will now be combined into one base-level and the gap between the premium paid for higher-skilled workers and the minimum wage will become that much smaller. Walmart has taken a lot of slack for the low wages it has been known to pay and not for nothing as low-paid Walmart employees already collect $2.66 billion annually in government assistance.

Jolly jobless numbers…

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

While the previously-owned housing market provided us with a very unwelcome and December buzz-killing decrease, the drop in the number of jobless claims filed almost makes up for that. In fact, 9,000 less people filed applications for jobless claims, bringing the total to 280,000 applicants –  making it the lowest number in seven weeks. Not only are employers not firing but they are hiring – even adding 321,000 jobs to the labor force. If that’s not merry, then I don’t know what is. By the way, a number under 300,000 is cause for celebration.  So take that, previously owned housing market! What this means for you, me and your neighbors who outdid you with their Christmas lights display is that the job market and the economy are both steadily improving. So let us all thank the Labor Department for doing its part to shame those housing numbers and giving us some good fiscal cheer.

Fast Food Not So Fast Today; “Grossly Negligent” BP; Bloomberg’s Baaaack

Supersize that?

Image courtesy of rakvatchada torsap/FreeDigitalPhotos.net

Image courtesy of rakvatchada torsap/FreeDigitalPhotos.net

Hungry? Well if you want something quick, it’s probably best to skip the fast food today because it will be anything but. That’s because from coast to coast, in 150 cities, hundreds of fast-food workers are on strike, rallying and, in some cases, getting arrested all in an effort to get unionized and a $15.00 minimum wage. McDonalds, whose workers were certainly well-represented in today’s today protests, tried to explain that the company does not actually set the wages in its 3000 franchises, which might (or might not) put a crimp in the workers’ arguments. However, you can be sure that if the fast-food workers are successful, those increased wages will be passed onto you. Or cut into the companies’ profits or both. But if you suddenly find that you’re paying a whole lot more for your fast-food burger, then at least you’ll know the reason why.

Guilty…

Image courtesy of suwatpo/FreeDigitalPhotos.net

Image courtesy of suwatpo/FreeDigitalPhotos.net

“Grossly negligent” were just a couple of the un-endearing words used to describe energy giant BP, as New Orleans US District Judge Carl Barbier handed down a guilty verdict to the company which bears the dubious distinction of having caused the biggest US offshore oil spill. Ever. Naturally, BP is appealing on the basis that the ruling “does not support the evidence” used in other trials (note the plural) against the energy company. Hmmm. That catastrophic spill cost the lives of 11 individuals and under the Clean Air Act, provided BP is unsuccessful in its appeal, the company will have to pay $4,300 per spilled barrel. Multiply that by an estimated 4.2 million barrels of oil and BP could be liable to pay up to $18 billion. That’s in addition to the tens of billions of dollars the company had to pay up from some of those other trials and tens of billions of dollars it had to pay for other expenses related to the disasterBut don’t feel so bad for them as that settlement will be divvied up (though not equally) between BP, Halliburton and Swiss company, Transocean.

Welcome back, Mr. Mayor…

Image courtesy of hywards; FreeDigitalPhotos.net

Image courtesy of hywards; FreeDigitalPhotos.net

Former NYC Mayor Michael Bloomberg is going back to work. Even though he said he had no plans to go back to his namesake company, Bloomberg LP, he just couldn’t resist the pull of his old digs. I suppose it helps that he happens to own 88% of the company. CEO Daniel Doctoroff, who has been at the helm since 2008, will sit on the Bloomberg throne until the end of the year. Founded in 1981 as a way to provide real time information to traders and investors, the company is currently valued at a whopping $30 billion. Under Doctoroff’s leadership, the company pulled in over $9 billion in revenue this year. Not bad for a guy whose last name is not Bloomberg.