The Divide Between The Minimum Wage Essay

1903 Words May 17th, 2015 null Page
The Divide between the Minimum Wage Debates
The federal minimum wage is the lowest hourly wage that an employer may legally pay its employee. In some states, minimum wage laws differ, allowing the state minimum wage to be slightly higher than the federal minimum wage. Right now, the federal minimum wage is at $7.25 per hour. Businesses in the United States, except in special circumstances, cannot legally pay their employees a wage lower than $7.25 per hour. There has been much heavy debate over what should be the set dollar amount of the federal minimum wage. Opponents of boosting the minimum wage above the current $7.25 per hour focus on the negative side effects that may result in an increase. For example, most feel it isn’t the most effective way to reduce poverty and could cause an overall rise in unemployment. On the other hand, proponents for raising the minimum wage claim that it will put more money in the hands of American families. It is felt that this, in turn could reduce poverty and allow for increased business profits that would result from increased spending. This minimum wage debate amongst Americans, politicians and many organizations continues to remain unresolved as each side of the debate contains valid pros and cons.
The minimum wage is governed by the United States Department of Labor or USDL. Through the USDL, the federal government formed The Fair Labor Standards Act. This act was created in 1938 and in information provided by the USDL, it is noted…

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