Minimum wage has become a large topic of discussion among workers these days. While some want to raise it up to $15 an hour, many don’t agree. Millions of Americans struggle in poverty with how much they receive at the moment, despite having a full-time job. Federal minimum wage should have increased since 1968 to be at least $17 per hour today. Many workers in fast food positions are there to gain experience that can make them more productive and get better jobs but it will be harder to advance when they don’t have enough stability in their lives.
The increase of minimum would help the economy by generating more money in to the society, boosting the economy, and eliminating the demand for jobs. Raising minimum wage will have a great and long lasting ending. The United States would see a flow of money that they haven’t seen in years. This flow of money would show immediately giving the consumers more money to spend since 78 percent of the working force are minimum wage employees. Business owners will appreciate more money being spent in their fast food restaurants, grocery stores and clothing stores etc.
One disadvantage to increasing the minimum wage is the possibility of a continued shortage of jobs. As the minimum wage increases, more people would want to find a job more than ever. This could cause a shortage in jobs because their still wouldn’t be enough work but the demand will be higher. The graph below shows the minimum wages from 1938 to 2007, in comparison to the poverty levels. Even though this problem wouldn’t change by the increase in minimum wage, I believe that this disadvantage isn’t that important at the current moment because it takes a while to rebuild an economy.
Mirla Munoz Period- 1st Mr. Lauer March 7th 2013 Minimum Wage Wages increase but also decrease whether for the unions or an assigned minimum wage. Minimum wage can define if it is enough for the people to maintain a good way of life. Not in every state the minimum wage is the same. It some countries like California the minimum wage is $8.00 per hour, in comparison with Arizona the minimum wage is $7.69 hourly. Minimum wage keeps increasing when there are more workers to help people have an efficient life with a fair pay, but also it can increase for some workers to lose their jobs.
Unions increase productivity, according to most recent studies. The voice that union members have on the job—sharing in decision-making about promotions and work and production standards—increases productivity and improves management practices. Better training, lower turnover and longer tenure also make union workers more productive. Union members in low-wage occupations on average earn a great deal more than nonunion workers in the same occupations, often lifting their earnings rates above the official poverty level. For example, union security guards may earn $10.97 per hour, 36 percent more than nonunion workers in the same occupation.
Obama urged Congress to raise the minimum wage from the current $ 7.25 per hour to $ 9 per hour. The advantages of this point are to reduce poverty and improve the phenomenon of low wages. However, the minimum wages increased by 24% will lead to the increase in labor supply, reduced demand and cause large unemployment. Thus, it might occur that a phenomenon of low-wage improvement, but the unemployment rate is correspondingly increased. What make matters worse is that unemployment is the most vulnerable to afford unemployment hit.
In these last few months the debate on raising the minimum wage has skyrocketed. President Obama said on his most recent radio address that American’s deserve a raise for their hard work. That a raise in the federal minimum wage would bring over 28 million American’s out of poverty and be beneficial to the economy. That mothers and fathers would be able to support their families. Businesses would benefit by middle income people spending their wages quickly because of basic needs.
Increasing Minimum Wage The debate of whether or not to increase the minimum wage has much controversy surrounding it, but the facts support an increase. The facts show that the cost of living and inflation quickly erode the value of minimum wage without regular increases in the minimum wage. The people that would be slightly hurt by an increase when compared to the massive amount of people that an increase in the minimum wage would help is minute. Poverty in the United States is a problem that people constantly face, but with a higher minimum wage, poverty would be lessened. The many arguments for an increase in minimum wage clearly show that an increase is desperately needed in the near future.
Without them there would be more cases of unemployment. That could raise taxes on our goods, which we would have to pay more for because of the farmer having to pay more for his harvest. So without the immigrants, we think everyone would suffer the consequences of paying much higher prices, living much harder life’s, and working harder
There could be multiple reasons for this some are minor and many are major. Looking at the big picture, small business are going to be hurt the worse by this because they are going to have to pay more out of pocket due to the pay increase. This could lead to many lay off that would increase the poverty level. "A 10 percent increase in the minimum wage reduces employment of young workers by one percent to two percent"(David R. Henderson, "The Negative Effects of the Minimum Wage). Currently there are many teenagers working.