Federal minimum wage saves workers from being overworked. It was introduced during the 1930s around the time of the Great Depression. The Great Depression was a worldwide depression virus that wrecked economies and the stock market ruining thousands of lives. Franklin D. Roosevelt was the president during that time and he promised Americans that he would protect their rights and freedom. Many American workers would be busy doing labor work and being exploited. In June 1938, Senator Hugo Black created a law known …show more content…
However minimum wage is often still to low for employers to maintain the cost of living. Many companies like to keep the minimum wage as low as possible because it increases their profit even if it hurts their employers. Minimum wage is always changing based on the time and the struggle between the employer and the employee. For example, in 1950 the New York state minimum wage was 75 cents an hour. But due to inflation and the rise of cost of living, the minimum wage has risen to $8.75. Another example, buying a car in 1950 was about $2,200 with a gallon of gas costing 30 cents. Though now, car expenses have increased hugely and varying in different states and a gallon of gas has also increased as …show more content…
The city of Seattle has proposed that they would be raising their minimum wage from $9.47 to $15. When McDonald’s and other small businesses heard about this increase they felt this was unlawful and going against the 14th amendment of the Constitution. The 14th amendment came into place in 1866 and guarantees equal rights and protections for all american citizens. The amendment also states that authorized businesses are not to take advantage of privileges that other smaller businesses may not have. McDonald’s doesn’t allow Seattle to resolve this problem, but instead sues the city of Seattle for trying to increase their minimum wage. McDonald’s in the end loses when the case is brought to court. The city’s government has the right to increase even if it 's going to hurt other smaller