Is The Minimum Wage Rate? Essay

2026 Words Nov 11th, 2016 9 Pages
The hot topic of discussion today in the U.S. is currently the minimum wage rate. It all dates to when New Zealand passed the very first national minimum wage law in 1894. The U.S. history leads us back to when President Roosevelt signed a law in 1938 as part of the Fair Labor Standards Act of 1938. Back then, the wage was set to 25 cents an hour. That adds up to about $4 per hour in our currency system. As a part of Franklin Roosevelt’s first minimum wage, it has been raised 22 times by 12 different presidents. If it weren’t for the 12 presidents raising the wage, we would still be getting FDR’s beginning pay of 25 cents an hour. With reasonable minimum wages, worker exploitation and underemployment can be avoided. When it comes to minimum wages, income inequality and fair wealth dispersal are the two major aspects of the economy. Everyone is entitled to their own opinion, that’s why it has caused a major uproar when it comes to the decision of raising the national minimum wage to $15 an hour. Activists who are for higher wage, claim that it is precise to guarantee that the hands earn enough money to base their life and live off. Statistics show that about 70 percent of minimum wage workers only work 35 hours per week verses working a 40-hour week with the minimum wage rate at $7.25 or less. By increasing the minimum wage, it would result in higher wages, also for the 3.7 million people earning minimum wage, but as well as for up to 35 million workers who are producing…

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