To What Extent Are The Costs Apparent?

The minimum wage was established in the United States by the Fair Labor Standards Act of 1938 at 25 cents per hour. These laws are broadly supported by the public. Congress enacted these rules to combat “labor conditions detrimental to the maintenance of the minimum standard of living necessary for health, efficiency, and the general well-being of the workers” (Sharp, 2013 p. 71). The purpose and intent of

Minimum wage has always been a controversial issue. Many politicians use the argument of minimum wage for their own political propaganda. Some may argue minimum wage should be raised, while others believe it will have detrimental effects on our economy if it is raised. Surprising to most people, minimum wage earners make up only a small percent of American workers. According to the Bureau of Labor Statistics, minimum wage workers make up about 2.8% of all workers in America. “The majority of minimum wage workers are between the ages of 16 and 24. These are high school and college students” (Sherk 2). But high school and college students are not the entire percentage of minimum wage earners. When minimum

I have been in the workforce for many years and have just recently enrolled at SNHU to finish my Business Degree. Most of my working career has been in management where I have personally hired over 350 employees over the years and truly understand that a person’s salary must be synchronized to the value that an individual brings to your company. The lower the wage the less important this really is, the higher the wage the more value that they have to bring to the table. As the minimum wage increases so must the abilities, skills and education level of the worker. My persuasive essay “The Economics Against a Federally Mandated Minimum Wage” presented many challenges since the issue impacts not only the worker but the business and the unemployed as well. I found this to be a very complex issue and required a great deal of extensive research and evaluation in order to find strong supporting evidence and articles that would support my position.

67% of America's minimum wage jobs, you have to work for! According to a printing retailer Earthsafe in Keansburg, New Jersey, “You can’t come out of high school and make $15 an hour. If that would happen teenagers wouldn't go to college. Raising minimum wage can also affect colleges because they get money for each student, and if kids don’t go to college because the minimum wage is $15 colleges may go tight on money.” This manager statement means that since kids aren't going to college because of the minimum wage raising they lose money, which means they have to charge the kids that do go to college more money.

U.S. Congress passed the federal minimum wage law in 1938 as part of their Fair Labor Standards Act. Federal minimum wages were intended to ensure fair wages were paid to an alarming amount of women and youths employed and paid substandard wages. This also seems to be the case today, where countless Americans who work full time, cannot make ends meet by making minimum wage. Evidence shows that raising the minimum wage would drive consumer spending, thus producing faster macroeconomic growth. Wage stagnation is one of the key things holding back our economy from growing the way we need it to.

Presently, the citizens of the United States of America are involved in an impassioned debate over the federal minimum wage. As of October 5, 2016, the federal minimum wage is set at seven dollars and twenty-five cents an hour. There are numerous amounts of stakeholders when it comes to minimum wage. The three stakeholders mentioned in this essay will be Companies, Employees, and the Economy. In addition to the stakeholders, this essay will also dig into the history of the United States Federal Minimum Wage and see how it has progressed over the years and if it kept up with inflation over the years. With this information, society will see what an increase to the federal minimum wage will have on the United States economy and labor force.

Raising the federal minimum wage allows individuals to be able to provide for themselves and their families without the need for some type of government assistance. One report explains that families with workers only earning minimum wage rely on those workers for 59% of the families’ total earnings (Fox). Many people associate minimum wage jobs as starter jobs for high school students, but the reality is that the number of college graduates working in minimum wage jobs has more than doubled over the past five years. The majority of people who are earning minimum wage are

Across the nation, hundreds of thousands of other hourly workers may also see smaller paychecks in the coming year because of this response to PPACA. The law exempts businesses with fewer than 50 full-time workers from this requirement to provide benefits. But big restaurant chains, retailers, and movie theaters are starting to trim employee hours. Even colleges are reducing courses for part-time professors to keep their hours down and avoid paying for their health premiums.

Minimum wage affects many people and by understanding its evolvement throughout the years we can better understand how our government can better provide for those working minimum wage jobs today. Inequality is an inevitable factor in a capitalist market, people need proper incentives to work hard and be productive, and the incentive of more money or more opportunity is the driving force of capitalism and even the American dream. However there are several current complications that even those who are actively employed are living under the poverty line, like stated previously minimum wage from when it was first implemented raised along with inflation but then began to lose momentum in the 1970s and since then it began to stagnate and then drop along with increased inflation; if minimum wage were to be raise to $10.10 to become congruent with inflation it would bring 4 million people above the poverty line. Congress instituted the minimum wage in 1938 as part of the Fair Labor Standards Act (FLSA). The first minimum wage stood at 25 cents an hour. The last minimum wage increase occurred in 2007, when Congress raised the rate in steps from $5.15 an hour that year to $7.25 an hour in July 2009. The District of Columbia and 19 states have also established local minimum wages higher than the federal rate. The highest state minimum wage in the country occurs in Washington State at $9.32 an hour, however

Those who oppose the Fair Minimum Wage Act argue that higher wages will cause higher unemployment. These supporters are generally Republicans and employers of small businesses. They believe businesses will not be able to afford to pay higher wages and therefore must lay off employees. They also believe that increasing the minimum wage can jeopardize small businesses because smaller businesses operate at a smaller profit margin than large companies. Therefore, some smaller businesses would need to lay off employees to reduce their overhead costs and some may be forced out of business completely. Furthermore, they believe increasing the minimum wage will make inflation go up. They believe businesses have no choice but to pass the increase in cost to the customers by increasing prices of their products and services.

With fast food workers making $15 an hour, students could be tempted to drop out to pursue fast food or other jobs that require no skill or experience. A minimum wage of $15 per hour is a $30,000 salary. It’s unfair to high skilled workers who worked hard to make that much. A good minimum wage can increase attendance and decrease drop-out rates. Poverty will decrease and students will be able to go to school more. Higher pay gives them the opportunity to work less hours and make the same amount so they have time to study. It’s better to make minimum wage $10.10 because it is a livable wage that does not undermine the value of higher

For potential employees in the United States, one of the first things people want to know is what how much they are going to be paid. Minimum wage has been and continues be a very important topic for workers. The Fair Labor Standards Act was enacted in 1938 to protect our workers during the Great Depression under Franklin Roosevelt. According to the book, Legal Environment of Business: Online Commerce, Business Ethics, and Global Issues, “the Fair Labor Standards Act establishes a minimum wage and overtime pay requirements for workers (Cheeseman, 2016, p.454).”

In 1938, The United States enacted a minimum wage law under the Fair Labor Standards Act that made employers pay their workers at least twenty-five cents. The law was intended to reduce the amount of Americans living in poverty and keep track of unjust business practices. Still to this day, we Americans argue over the controversy due to low minimum wage and high inflation rates. The deregulation of business and the inconsistent government policies have led to an alarming problem, the minimum wage isn’t enough for Americans to live off of nor is it doing its original purpose by getting citizens out of poverty.

For instance, “creating lower minimum wages for students and new hires could preserve jobs” as “the student minimum wage would permit employers to hire season workers without bearing the full cost of adult employment” (Hicks). It is also suggested that after employed unskilled workers work for “more after 90 to 120 days of employment”, they can gain a paid more than from when they started working. This policy could spare the training of those unskilled workers by other employee. These recommendations suggest that instead lowering minimum wage for full-time and long-time employers, lowering the rate for students and new employees and sparing the employees from training unskilled workers could essentially save a company money, while establishing a fairer work environment.

The government has set a minimum wage for labor market, businesses are forced to pay the least amount. An individual working full time only earns $15,080 due to the minimum yarn of $8.05 per hour, this is below the federal poverty level for a family of two. They will have a difficult time supporting a household. With minimum wage it is not enough to pay bills like energy, water, cable, health insurance, and our necessities. As a student, I know minimum wage is not enough to pay school owns or tuitions, that is the reason why most students are in dept. Many people will get a second job. Even though having two jobs to support their family and household, it is still not enough with minimum wage. We all have responsibilities and many bills to pay.