Minimum Wage And Its Effect On Employment

839 Words4 Pages
During the past five years or so, the minimum wage in the United States (U.S.) have been a topic of interest for many parties. On one side, the parties that oppose an increase in the minimum wage believe that an increase will spark an epidemic of high unemployment rates. On the other side, the parties are asking for an increase in the minimum wage for many other reasons, including help lower the poverty levels, afford health insurance and higher education among other needs. Throughout the U.S., the inequality of wages and compensation have been a problem for some time. Despite the large, diverse workforce in the country, the policies that govern the minimum wage should be revamped so that all workers are equally compensated. Of course, employers and some policy makers will argue that an increase in pay will have an adverse effect on employment, whereas an increase in the minimum wage will be more harmful rather than helpful. However, instead of revising these policies annually, or even two to three years to observe the reaction of the employment rate, it is always best to just say, “It just won’t work”. Imagine if the workforce in major cities in the U.S. felt the same way and decides to go on strike, all at the same time; the outcome will be devastating. In 2013, the federal government tried this for about two weeks through the furlough of federal workers, believing that the country will benefit from doing so. Turns out, multi-billions of dollars were lost in just this
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