Third, many people believe that raising the minimum wage hurts businesses, and this is a big argument against raising the minimum wage. Research has shown that this is not true. As the minimum wage increases, the rate of employee turnover decreases. Raising the minimum wage encourages people to stay at their workplace for a longer amount of time. The decrease in employee turnover also saves business and corporations millions of dollars…
Since 1938, the minimum wage has been raised several times; usually it would occur almost every year, sometimes it would happen three or four years later. But now, it hasn’t changed for the past five years. In 2007, the minimum wage was $5.85; in 2008 it was raised to $6.55, and then again in 2009, it was raised to $7.25. It is now the year 2014, and the minimum wage remains at $7.25 an hour. A full-time worker who is paid the minimum wage would make an annual income of $15,080.…
There is debate on the social benefits of a minimum wage and how it helps to protect the health and well-being of employees. Despite the intention of protecting workers, there is also controversy regarding how increased wages impacts firms, especially smaller ones. This is an important topic as minimum wage is a popular political topic and it is necessary to look at historical data to see if the benefits of raising minimum wage outweigh the negative…
Dear Raja. The minimum wage must be raised because it get’s people out of poverty and the economy will boost because if they have more money there will be more purchasing power. Minimum wage gets people out of poverty. The congressional budget office estimated that raising the federal minimum wage to $10.10 an hour from $7.25 would lift 900000 people out of poverty. This proves that they get people out of poverty because they will be able to live a normal life with enough money.…
Komlos says that the minimum wage in America is lower than other advanced countries like Germany and Switzerland. In addition, he states that the U.S. minimum wage since 1968 has dropped and the unemployment rate has increased. Komlos says that many people in America are without jobs, and the ones with minimum wage jobs find it hard to support their families with their net incomes. The author mentions that many people against the increase of minimum wage, such as multi-billionaire Donald Trump, believe that an increase in wages would create many problems like decreasing employer’s profits, and jeopardizing the work availability for young Americans. However, Komlos says that these problems will not go into effect because of increase in wages.…
Furthering the idea that most people can’t live off of the current minimum wage. They also believe that there many benefits exist for businesses and the employees by implementing a higher minimum wage. Some like Flynn believe that, “Having a well-paid and motivated workforce is the most important investment any employer can make,” implying that workers gain motivation when they receive a higher wage. However, without a job, theses workers won’t contain any motivation at all.…
President Obama proposed to Congress in the State of the Union Address that the federal minimum wage should be raised from $7.25 an hour to $9 an hour. He also remarked that “even with the tax relief we have been put in place, in which a family with two kids that earns the minimum wage still lives below the poverty line….that’s wrong.”. “According to a poll taken earlier this year by the Pew Research Center, Americans are in favor of increasing the minimum wage from its current level by a wide margin (71% to 26%).” I represent one of those 71% of United States citizens who believe that the minimum wage should be raised. Raising the minimum wage will therefore rippling through the chain effect to raise the standards of living, the number of…
There has been quite a lot of talk about raising minimum wage. While this seems to be a great idea, after you analyze this matter you may think otherwise. Not only will this hurt the workers raising minimum wage will also be bad for the economy, consumers, and small businesses. Many people may say raising minimum wage is a good thing, but it will prove to be a nightmare for workers. Since businesses have a certain amount of money for workers they will do one of two things to compensate for a minimum wage hike.…
The notion of raising the minimum wage is dividing people on their opinions of whether it could make or break the nation. With many small businesses built on giving low income to their workers, the increase would definitely ruin them, thus disrupting the economy. However, one should not look only into how it will affect the economy, but the lives of those who are making low-income salaries. Although an increase in the minimum wage could generate drastic consequences, its benefits will offset any of the bad effects it may have and solve a number of society’s problems. Most people believe that raising the minimum wage can result to a substantial loss of profits that force smaller businesses to close down.…
That's about 7,000,000 of Americans. "I thought in this country, the best social program was a job. Yet minimum wage jobs aren't paying enough to keep families out of poverty," Barbara Mikluski said. If the is increased so will the worker productivity. Raising the minimum wage would reduce employee turnover.…
If the federal minimum wage were to be raised to a living wage, companies who are paying employees a couple of dollars above the current minimum wage would have to increase the wage of those employees to a wage higher than the new minimum wage. This would result in significant reduction for businesses to higher new employees because of the cost to keep them employed. James Sherk and David Cooper, who are the authors of “Should the Federal Minimum Wage Be Increased?” examine the pros and cons to raising minimum wage. In their article, while examining the downfalls to increasing the minimum wage, they say, “Raising the minimum wage will price less productive workers out of such jobs” (Sherk, James and Cooper, David). In this part of the article, they are making a point that if the minimum wage is raised, restaurants such as McDonalds will lay off their workers who are less productive.…
History of Minimum Wage Minimum wage in the United States was founded in the year 1938 in the Great Depression when President Franklin Roosevelt was in office. Minimum wage was set at twenty five cents per hour and was increased by the congress at least twenty two times the most ever since the year 2009. In the year 1890 wages of Americans were a total of $380 which was below the poverty line of $500 per year at the time. America got the idea from looking at examples from Australia and New Zealand who introduced minimum wages in the 1890s. In the year 1912 minimum wage started in Massachusetts and after words elven more states would join the laws of minimum wages that covered women and minors and not men between the years of 1913 and 1917.…
Increasing the minimum wage could stimulate economic activity and foster job growth. The purchasing power of the minimum wage has declined over the years, necessitating adjustments to reflect the current economy. Studies suggest that raising the minimum wage would lead to higher wages for millions of workers, injecting billions of dollars into the economy. By boosting household spending and decreasing reliance on public assistance programs, an increased minimum wage could contribute to long-term economic stability and prosperity. Raising the minimum wage can yield significant social benefits, including poverty reduction, improved school attendance, and enhanced public health.…
This notion is in fact faulty (Department). In July of two thousand and fourteen, six hundred of the United States top economist including seven Nobel Prize winners wrote this letter to president Obama, an expert states that, “ In recent years there have been important developments in the academic literature on the effect of increases in the minimum wage on employment, with the weight of evidence now showing that increases in the minimum wage have had little or no negative effect on the employment of minimum-wage workers, even during times of weakness in the labor market. Research suggests that a minimum-wage increase could have a small simulative effect on the economy as low-wage workers spend their additional earnings, raising demand and job growth, and providing some help on the jobs front.” (Over). This message has to be one of the most impactful because it shows that a massive amount of people with credibility came together to aid in the support of raising the minimum wage across our nation.…