Raising The Minimum Wage

Opposing view - Increasing the minimum wage would force businesses to lay off employees and raise unemployment levels. The Congressional Budget Office projected that a minimum wage increase from $7.25 to $10.10 would result in a loss of 500,000 jobs. In a survey of 1,213 businesses and human resources professionals, 38% of employers who currently pay minimum wage said they would lay off some employees if the minimum wage was raised to $10.10. 54% said they would decrease hiring levels. The 21 European Union (EU) countries that have a minimum wage and found they had an average unemployment rate of 11.8%, about a third higher than the 7.9% average unemployment rate in the seven EU countries that have no minimum wage.

“A 15 percent increase in the minimum wage nationwide would destroy about 290,000 to 590,000 young people's jobs, and about 400,000 to 800,000 jobs overall” (Henderson, David R). Due to the Fair labor Standards act, the federal minimum wage, or the lowest you can pay an employee for work, currently stands at $7.25 an hour. Although a number of Americans think that raising the minimum wage would benefit our country, it would actually bring a number of problems to our economy, such as a rise in job loss and high school dropout.

Raise the minimum wage: In the United States, studies show that women tend to make up a disproportionate share of low-wage workers. In the field of education, men tends to go more to STEM than women and that also leads to high paying jobs for men. If we raise the minimum wage, this will help hardworking women to support their families. Approximately, women made up two-thirds of all minimum-wage workers in 2012. With the current federal minimum wage i.e. $7.25 per hour, someone working full time, only earn $15,080 a year round. People working full time with minimum wage is still below the poverty threshold for any family with children and single person is also not far above the poverty line. So, increasing the federal minimum wage to $10.10 an hour would help increase the wages for about 15 million women, which will help close the gender wage gap.

Right now,according to Victoria Smith,over 40 million people are living in poverty. This could be changed if they were able to get enough money from their jobs, but the minimum wage isn’t high enough right now. Even if only by a little, if minimum wage were raised, the amount of people living in poverty could be reduced by at least 5 million according to Mike Konczal . Originally, the minimum wage was at only .25 cents an hour. Due to causes such as inflation, this wage has been raised to meet the current standard. Although interest in raising the wage has gone away until recently. Minimum wage should be increased because it would increase job growth and economic activity,it would reduce government spending on welfare, and reduce poverty.

It is a common misconception that the government would have to spend more money in order to raise the minimum wage any higher than the current amount. However, this belief is false. It has been found that raising minimum wage to $12 an hour by the year 2020 would reduce public assistance (government benefits provided to those in need) by $17 billion every single year (Cooper). This is because fewer people would need public assistance due to having a higher income and no longer having to rely on the government. Research also shows that an increase to $10.10 hourly would take $7.6 billion off the amount spent income-support programs annually (ProCon). Both these pieces of evidence are extremely significant, as spending less on these programs will allow for more money to be put towards other programs and can possibly lead to less government deficit

This has been a discussion for the ages. The debate over raising the minimum wage has been a hot topic. Raising minimum wage would reduce poverty, be better for lower paid workers, and to reduce expense for social programs.

The topic of increasing in the federal minimum wage has been hotly debated in Congress and between politicians and activists since the most recent increase to $7.25 in 2009. The Fair Minimum Wage Act of 2013 proposed a $10.10 federal minimum wage increase but failed in Congress, while a more recent proposition, the 2016 Raise The Wage Act, hopes to put wages at $12 per hour by the year 2020 (14). Propositions like these seek to allow lower-income working families to earn a living wage but they have faced resistance by conservatives. Stagnation of wages has caused various cities and states to spearhead minimum wage increases at a local level, with twenty-nine states now having wages higher than the federal minimum (13). Raising the federal minimum wage to $12 an hour would correct for years of deteriorating wage values and would pull hard-working families out of poverty while lessoning income inequality and boosting the economy from the bottom up with minimal costs to businesses.

The federal minimum wage in the United States is currently $7.25 an hour. Increasing the minimum wage would lift approximately 900,000 people out of poverty. Forty-three million Americans are living in poverty due to low income, health care costs, childcare costs, college costs, and housing costs. The federal minimum wage should be raised because it keeps up with inflation and would scale down poverty levels.

A movement to increase the federally mandated minimum wage from $7.25 to $10.10 has been gaining momentum across the nation in recent months. Although the Senate struck down a bill that would have made the idea a law this past April, studies conducted by top economists and governmental agencies are finding it to be highly beneficial in practice. It has been over five years since the last change in the federal minimum wage, and the government needs to make adjustments for the modern economy. It should take action towards setting the new minimum wage to $10.10, even if in small steps.

“If the minimum wage were raised to $10.10 an hour, as President Obama has proposed, 38 percent of employers who currently pay employees minimum wage say that they would have to let some employees go to cover the cost. Among the same group, 54 percent say they would reduce hiring, and 65 percent say they would raise prices on their goods and services” (Kast).

Contrary to these beliefs, I believe that raising the minimum wage will not only benefit the company and employee immensely, but overall increase the productivity of workers. The raising of the minimum wage will help these low income families support their families, which decreases the poverty level too.

The current federal minimum wage is low and must become an active wage so many of the Americans living in poverty can support their families. It should be increase to about $15 an hour to establish equal pay for women as well. It’s inacceptable that women earn less than men for performing the same work. Bernie Sanders said, that boosting the federal minimum wage would generate 85,000 new jobs and increase the take-home pay of Americans by some $35 billion. Sanders also noted that nearly 90 percent of Americans who would benefit from an increase in the minimum wage are adults over the age of 20. United States workers should not be living in poverty because the minimum wage right now is low for workers, who are working to educate their children and giving them a better life.

The issue of increasing the minimum wage in America has been a topic of discussion for a while now. Many see benefits to increasing the minimum wage while others see drawbacks. The most positive effect of this increase would be that those who are on minimum wage will be able to better support themselves, while the drawback is that big companies will of course be losing money to their employees.

The most prevalent and steadfast myth surrounding the raising of the federal minimum wage is that it will doom the economy. This might seem logical at first, but just think about it for a second. Why do minimum wage employees need more cash? The answer is simple: To spend it, to buy the things that they and their families need to survive. “Most minimum wage workers need this income to make ends meet and spend it quickly, boosting the economy. Research indicates that for every $1 added to the minimum wage, low-wage worker households spent an additional $2,800 the following year” (Fair). Furthermore, EPI estimates that if the federal minimum wage were raised to $10.10 an hour, it would result in over

The minimum wage has grown twenty two times since it was first introduced in 1938.