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
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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 overshadow the benefits. Furthermore, an increase to $15 for San Francisco’s minimum wage would reduce the city’s employment by an estimate of 15,270 private jobs. Although cities that rely on larger businesses, such as Chicago, would be affected, San Francisco would be ravaged by employment because of their many small-scale shops and businesses. The unemployment boom that resulted would cause further wage class between a larger group of people. Although it would benefit many, the result would be catastrophic to an already massive divide between social classes. Only if a company could maintain their current workforce, while raising their lowest wage to a reasonable figure, could the government enforce a more reasonable wage …show more content…
The wages currently enforced by the U.S. government do not provide enough income to maintain an entire family, and therefore changes must be made to better serve these people. A family made up of a married couple and a child in the United States average an annual cost of $56,176 (Inc, 1). This number gives perspective to the huge boundaries a family in which relies on one member who only earns minimum wage. It is truly astounding that such situations exist. Furthermore, the minimum wage worker only makes $15,080 before taxes, working a year round, full shift (Wing, 1). The difference between these two figures is truly monumental, and shows the harsh rewards for long hours of work. It is clear that employees with families must receive more compensation in order to supply their family with daily necessities. However, an independent can live off minimum wage with strict budgeting (Halligan, 1). Because it has been attempted and proven to be efficient, we know that certain members of the population may fill the spots within smaller companies giving lesser pay, and therefore provide individuals jobs while still benefitting the
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 overshadow the benefits. Furthermore, an increase to $15 for San Francisco’s minimum wage would reduce the city’s employment by an estimate of 15,270 private jobs. Although cities that rely on larger businesses, such as Chicago, would be affected, San Francisco would be ravaged by employment because of their many small-scale shops and businesses. The unemployment boom that resulted would cause further wage class between a larger group of people. Although it would benefit many, the result would be catastrophic to an already massive divide between social classes. Only if a company could maintain their current workforce, while raising their lowest wage to a reasonable figure, could the government enforce a more reasonable wage …show more content…
The wages currently enforced by the U.S. government do not provide enough income to maintain an entire family, and therefore changes must be made to better serve these people. A family made up of a married couple and a child in the United States average an annual cost of $56,176 (Inc, 1). This number gives perspective to the huge boundaries a family in which relies on one member who only earns minimum wage. It is truly astounding that such situations exist. Furthermore, the minimum wage worker only makes $15,080 before taxes, working a year round, full shift (Wing, 1). The difference between these two figures is truly monumental, and shows the harsh rewards for long hours of work. It is clear that employees with families must receive more compensation in order to supply their family with daily necessities. However, an independent can live off minimum wage with strict budgeting (Halligan, 1). Because it has been attempted and proven to be efficient, we know that certain members of the population may fill the spots within smaller companies giving lesser pay, and therefore provide individuals jobs while still benefitting the