Persuasive Essay On Minimum Wage

Before people push a minimum wage increase, they need to be totally aware of all of the positive and negative results and consequences that might occur as a result. The issue concerning what to do about the minimum wage has served as an ongoing controversy amongst several people. The federal minimum wage should not be raised for several reasons including the harmful effect on small businesses, the increase of poverty, and the augmentation of competition for jobs.

The topic of raising minimum wage seems to attract a multitude of controversy. On one side, experts agree that raising a family on one minimum wage salary is almost impossible for someone who puts in fairly large work hours. Nonetheless, business owners agree that increasing these salaries will result in significantly less jobs, as well as force them to increase the prices on their consumer products. Federally, minimum wage workers earn $7.25 an hour, totaling up to $15,080 annually, with approximately six hours of working time per day. However, the price varies with state, with places like Massachusetts and Washington paying $11 to workers hourly.

Although America is known as the richest country in the world, 43 million of its citizens are in poverty. Unfortunately, some of them work full time, yet are still in poverty due to the low minimum wage (“Should We Raise”). In 1928, the first federal minimum wage of 25 cents per hour was set by President Franklin D. Roosevelt to prevent workers from being underpaid. Since 2009, the federal minimum wage has been $7.25 (Smith). The age old debate of whether or not to raise it is still going on in the US. The federal minimum wage should be increased to keep up with inflation, help support the poor, and stimulate the economy.

I decided to write about how I felt regarding the federal government's involvement in controlling the minimum wage and that I felt they are disconnected in their understanding of the impacts on communities when they raise the minimum wage. I work for a manufacturing company in the U.S. and I understand wholeheartedly what the impact of salary increases due to our bottom line. In very competitive markets the difference between success and failure can be separated by the difference of only a few dollars per part, and while in other countries, their manufacturing bottom line is subsidized by their governments we are forced to generate profits the old-fashioned way through supply and demand. This is why I decided to take a stance in my persuasive essay and challenge the status quo of the Department of Labor and Wages. No longer should the federal government dictate a national minimum wage but should allow each state to establish their own minimum wage based on the economic condition of their counties and their state, as a whole.

The minimum wage debate brings about a range of reactions from different people. There are those who believe that there shouldn’t even be a minimum wage and that wages should be determined by the markets. On the other hand, we have those who vigorously argue for increasing the wage minimum citing inflation, the poverty line and worker productivity. Regardless, we do have a federal minimum wage rate in the United States at $7.25 per hour, with some states having a higher minimum wage than the federal minimum. President Obama, in his first state of the union address of his second term proposed “Tonight, let’s declare that, in the wealthiest nation on Earth, no one who works full-time should have to live in poverty, and raise the federal minimum wage to $9 an hour” (The White House 2013). A year later, he has revised that number to $10.10 per hour after signing an executive order that has already raised the minimum wage for federal workers to that number. (The White House 2014). With more and more states raising their own minimum wage, a minimum wage increase seems almost imminent with Democrats and Republicans getting closer to a deal. (Bolton 2014). But we are more interested in the efficiency of a minimum wage implemented at the federal level. The main question that surrounds this debate is whether this price floor in labor markets is efficient given that the stated goal of the minimum wage is to make sure full-time workers earn a living wage and are above the poverty line.

Those in favor of the minimum wage have argued, contrary to established economic theory, that the minimum wage can actually increase employment. An increase in income results in additional "money in the pockets" of workers which encourages greater spending in the economy. This in turn causes greater demand for goods and services, an increase in production, and the creation of new jobs. Additionally, a higher minimum wage is thought reduce government welfare spending. If workers earned more money, their dependence on and eligibility for government benefits would decrease. A recurring theme among pro minimum wage arguments is the issue of stagnant wages. Improvements in economic growth and productivity have exceeded increases in the minimum

Currently the minimum wage is $7.25 an hour in most states. Recently, people have been lobbying to raise the minimum wage. Those petitioning do not recognize how raising the minimum wage will affect the economy and many people’s lives in a negative fashion. Endorsers believe that raising the minimum wage will help those who are poor, but in reality it will cause more people to succumb to poverty. For the sake of all Americans, we must educate the lobbyist regarding the effects of raising the minimum wage.

Some would say that it is the state's' responsibility to set minimum wage. The cost of living varies from state to state, so each should decide what it's minimum wage is. This is a valid point, but states need to be responsible and interact with the people who want the minimum wage to be the same. There have probably been studies done regarding this and maybe a poll of the people who agree with this.

Where to set the minimum wage has been a huge debate topic for years. The smallest increase or decrease can have a large overall impact on the economy. Do you think the minimum wage in California should be raised to $15 an hour? This is a question many in my home state are currently asking. California’s current wage is $9/hr., and the federal government is raising it to $10/hr. in January 2016. It may seem like common sense that if you have a higher minimum wage, then there will be less poverty. This is what I first thought when looking at this issue. However, Holtz-Eakin observed that a vast majority of minimum wage workers are in fact not living in poverty (Deutsch). Many minimum wage workers are not living under the poverty line, but simply

Specific data from each state were examined to find if it would better for the federal government to impose an overall minimum wage policy for the entire country or should each state establish its own minimum wage policies. This quantitative study used a poll statistical analysis to measure which U.S. working class supports an increase in the minimum wage. Additional, their data from the Bureau of Labor Statistics (BLS) estimates that out of the 146 million workers in the U.S., about 16% earns $10.10 or per hour. Roughly about 20% of the working population in at least 15 states earns less than $10.10 per hour. The findings portray that an increase in the minimum wage, will have a slightly higher negative impact on low income wage workers, than the normal estimated job losses. While not everyone earning equal to or less than $10.10 per hour will lose their jobs, the number of job loss is significant in some states; some more than others will be hit hard with unemployment. The article addresses that there is a problem with the minimum wage not being regulated more often, and that each state should adopt their own policies to set the income limits. Therefore, the authors made a compelling case that each state should develop its own wage

This is turn causes unemployment for the very jobs the new minimum wage was created for. The federal minimum wage is set at $7.25 an hour (Calvert, Scott, and Morath). Unfortunately, there are states that have decided to raise the minimum wage. The state with the highest minimum wage at $11.00 and hour is Massachusetts (Wuttke). All states should be required to revert back to the federal minimum wage and not have the ability to raise it whatsoever. Doing this would ensure that inflation would not rise because of anything minimum wage related, lower unemployment, guarantee safety of the middle class, and create a fair and level playing field among workers across America. But, reverting the minimum wage in places where it is higher will not necessarily be an easy task. There are many advocates for it, and most of them being minimum wage workers themselves. To act upon this problem a bill would have to be placed forward into Congress. In order for the bill to be passed it has to receive a majority vote, and this could be difficult because many Democrats support a higher minimum wage. However, if they took the time to look at the opposing view and realize the negative effects it causes, their minds will change.

Humanity reaches unbelievable heights, discovers old civilizations, creates supersonic aircraft, launches every day new high tech gadgets, but fails to resist the challenge of the 21st century- the poverty. The U.S.A. has experienced crisis and prolonged period of economic instability which threatened first of all the economic security of individuals, families and whole communities. The minimum wage becomes a wealth inequality and economic segregation that endangers the ability to eat and remain healthy, have access to education and new opportunities. In these circumstances, replacing the minimum wage with a living wage will serve as a relief for the poor and will bring benefits to the local businesses and the economy as well.

One of the most acrimoniously debated problems in American society today is the debate over the minimum wage. The minimum wage, established in 1938 by President Roosevelt, was made to be a safety net for people who provided unskilled labor, but also needed to provide for themselves. Up until that point, people had no guarantee that they would be paid. The minimum wage was quite literally one of the only lines of defense unskilled workers had in harsh times, such as near the end of the Great Depression. In today’s society, the minimum wage is still a means by which unskilled workers can provide for themselves, but many people have lost track of what it originally meant. The minimum wage is no longer specifically meant for people in dire need, having to take the first job they find. People now perceive it to be something into which they can settle, even in today’s society, where opportunities for hard workers to be promoted are frequent and encouraged. Despite the chances people have to seek out promotions, most $15 minimum wage proponents believe that they are entitled to having the minimum wage increased because they believe it would put them at a “livable wage” and that businesses owe them higher pay because of the cash flows they generate. As a federally mandated expense to businesses, it is critical for people to consider the possible negative outcomes of trying to forcibly make businesses, whether large or small, pay an increased minimum wage as drastic as $15. Not only will it negatively affect the U.S. economy, but it will also put minimum wage workers at the same level of disadvantage, if not more.

Low minimum wages affects everyday families and lives, more than the average person would think. A small minimum wage could have an very small effect on someone’s life, such as not being able to afford a new pair of boots or that new phone, contradictory to this low wages could also have a very serious effect on someone’s life . Meaning that a parent or single individual could not support their family because a lack of income, it could also mean the difference of living under a safe roof, or living in the streets. In 2016 alone, 40.6 million people in the United States

Currently, the federal minimum wage sits at $7.25 per hour. (Alison Doyle). The debate is whether or not the minimum wage should be increased to $15 per hour. Larger states, such as California and New York, are preparing to raise their minimum wage to $15 per hour in the coming years. (Kate Rogers). Due to the size and population of states such as these, a minimum wage increase could actually be beneficial in increasing revenue and the standard of living for many employees. The majority of the United States is not as fortunate and vastly populated as states such as these. Therefore, an increase in the minimum wage could result in layoffs and reduced hiring. (Doyle). Overall, the minimum wage should not be increased to $15 per hour.