Who wants to receive more money for their work every hour? Everyone would love a larger reward for their work, but it would produce an outcome that would not be beneficial. Although the current federal minimum wage is $7.25 an hour, 29 states have a minimum wage higher than that. Presently in the United States, over three million workers receive minimum wage or less ("Characteristics of Minimum Wage Workers, 2014"). Those workers receive a yearly salary of about $15,080 at minimum wage. Increasing the federal minimum wage would increase the yearly salary of minimum wage workers. However, minimum wage should remain the same because the increase would cause businesses to close, increase the cost of goods, and increase unemployment and poverty
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Supporters of increased minimum wage say that the increase in minimum wage would surge economic activity and create job growth, but in reality, businesses will be forced to lay off employees and the unemployment rate will skyrocket. In fact, companies may choose to hack it with the upkeep of an automated process instead of paying to keep an employee. Raising minimum wage from $7.25 to $10.10 would result in an estimated loss of 500,000 jobs ("The Effects of a Minimum-Wage Increase”). Also, poverty will increase because employees will receive fewer hours to work or lose their jobs. Since businesses will not want to hire an inexperienced person, getting started in a new field will prove difficult. This will reduce the opportunity to gain skills from working and make the process of getting a job harder for students fresh out of college. Federal minimum wage remaining at $7.25 will not close businesses, cause a rise in the cost of products, or increase the unemployment and poverty rate. Based on the facts, minimum wage should not increase and the country will not experience any losses. If minimum wage does increase, the repercussions will be seen by minimum wage workers and their families first. Enlarged yearly pay means fewer jobs and more expensive products. In order to not increase the current poverty rate of America, minimum wage must be left in its current
Supporters of increased minimum wage say that the increase in minimum wage would surge economic activity and create job growth, but in reality, businesses will be forced to lay off employees and the unemployment rate will skyrocket. In fact, companies may choose to hack it with the upkeep of an automated process instead of paying to keep an employee. Raising minimum wage from $7.25 to $10.10 would result in an estimated loss of 500,000 jobs ("The Effects of a Minimum-Wage Increase”). Also, poverty will increase because employees will receive fewer hours to work or lose their jobs. Since businesses will not want to hire an inexperienced person, getting started in a new field will prove difficult. This will reduce the opportunity to gain skills from working and make the process of getting a job harder for students fresh out of college. Federal minimum wage remaining at $7.25 will not close businesses, cause a rise in the cost of products, or increase the unemployment and poverty rate. Based on the facts, minimum wage should not increase and the country will not experience any losses. If minimum wage does increase, the repercussions will be seen by minimum wage workers and their families first. Enlarged yearly pay means fewer jobs and more expensive products. In order to not increase the current poverty rate of America, minimum wage must be left in its current