Minimum Wage Amendment

1587 Words 6 Pages
An amendment is an addition or alteration made to the constitution, statute or a legislative bill. Amendments to the constitution are set up to improve American life. There are currently twenty-seven amendments, but it seems necessary to add a twenty-eighth. This amendment would be to increase the state and federal minimum wage in order to improve economic equality. Increasing the minimum wage can help working families, businesses and our economy recover. Franklin Roosevelt signed the Minimum wage into law in 1938 with the hope of keeping the American people out of poverty. He did this in order to stimulate consumer spending and drive the American economy. The federal minimum wage is currently $7.25, which translates to $15, 080 per year if …show more content…
In our country today as prices rise, our minimum wage remains the same; this only puts more of a strain on individuals living on the minimum wage, because they cannot afford to keep up with rising prices. Eleven states have implemented this principal including Arizona, Colorado, Florida, Missouri, Montana, Nevada, Ohio, Oregon, Vermont, and Washington. In 2014, theses states saw their wages go up 10 to 15 cents, which helped to benefit over 2.5 million workers (Raisetheminimumwage.com). Indexing the minimum wage for all 50 states would very much help our country as whole. This is because each year prices rise in consumer products. If the government keeps the federal wage the same each year, then people living on the minimum wage will be unable to compete with the inflation of prices. For minimum wage workers these increases help them in keeping their financial lives in order. The federal minimum wage has lost 7% of its value since it was last raised in 2009. As of 1968 the minimum wage was $1.60 per hour that translates to $10.90 per hour, comparatively higher then today (Raisetheminimumwage.com). As workers purchasing power decreases each year due to the value of minimum wage, workers are unable to purchase the amount of consumer goods, as they previously would have been able to. Not only is this dangerous for the minimum wage workers but it also lowers economic …show more content…
These types of people would be mostly employers. Employers want to pay employees what they feel is necessary for the work that is given. Employers don’t want to give their employees more then they absolutely have to, because the more they give their employees the less they have for themselves. Increasing the minimum wage though would help these individuals in the end. It would drive our economy and cause businesses to boom. If more people have spending money then they are able to use that money at local businesses, which would help bring more money into the pockets of employers. The money people have, the more people will spend, which will most likely only help the employers in the long run. Many states also feel that the minimum wage is too low, 21 states have increased the minimum wage to well above the $7.25 federal wage. This is because many people understand how hard it is to live on that little of money. When the minimum wage increases, all employers are required to do the same thing; therefore this doesn’t put them at a disadvantage. Raising the minimum wage puts money into the pockets of consumers therefore driving the economy and spending more money at local businesses. In 2006, an article in The Harvard Business review finds that wholesale retailer Costco’s higher wage rate resulted in less employee theft and more productivity. Nearly 1000 business owners and executives signed a

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