Benefits Of Raising The National Wage Essay

952 Words Dec 1st, 2016 4 Pages
Citizens across the nation struggle to afford basic necessities of life, while small businesses struggle to maintain a profit margin. An increase in minimum wage is necessary as prices rise in every industry across the nation. However, companies cannot always afford large wage hikes, as there are many complications and cost detriments. Therefore, a solution must be found in order to address these concerns and establish a more equal economic spread. If the government established a mandatory profit cut that was spread across a company 's employee wages, many of these concerns would be addressed. Since larger companies have the budget to do so, they should increase their minimum wage, while smaller companies should maintain the current minimum wage of $7.25/hour, giving them an opportunity to grow and compete.
Although there are many benefits of raising the national wage, there are still reasons against raising it. The increase of minimum wage would result in an elevation of unemployment, and ravage small businesses nationwide. For this reason, the minimum wage is a highly contested debate. According to the Congressional Budget Office, an increase from the current national wage, which is $7.25 per hour, to a much more robust $10.10 would reportedly result in the loss of 500,000 jobs across the nation. This would truly ravage the employment rate and cause massive disturbances, especially for low profit and start-up companies. These repercussions would be immense, and debatably…

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