The Effects of a Minimum Wage Law

655 WordsFeb 17, 20183 Pages
What are the Effects of a Minimum Wage Law? A minimum wage is the lowest amount of money per hour that the government of the country assigns employers to pay their employees. The minimum wage is based on an idea that the employers have a responsibility for their employees to live in a reasonable standard of living. The minimum wage laws have directly effect to most industries because of the potential of decreasing their budget. As a result, the minimum wage is still an issue that people research and discuss about its impaction to our economy continuously. The minimum wage was used for the first time in New Zealand in 1896 under the Australian state of Victoria of legislation that create a wages boards system. Therefore, it was not until 1911, when it covered most states in Australia. European countries soon followed the minimum wage law, for example, France (1915), United Kingdom (1918) and Spain (1926). However, the law protected only a few industries until the end the World War II. The first minimum wage law in the United States was used in Massachusetts in 1912 for protecting females and young workers. After that, the minimum wage law has used in many states before the United States created a National Minimum Wage Board in 1928 to manage the general minimum wage law for the whole country. The minimum wage law in the United States increased in every few year. The minimum wage has become a hot issue in America again after President Obama tried to pass
Open Document