Preview

Minimum Wage

Good Essays
Open Document
Open Document
1384 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Minimum Wage
Tyler Spence
Carriveau
English 1301
November 5, 2013

Argument Rough Draft
Do minimum wage workers deserve a better paying wage? Perhaps a wage that they are believed to be able to live off of? Will raising the minimum wage help those it really intends to? With unemployment pushing 8% nationwide and costs rising, nationwide people are pushing for minimum wage to be increased. The minimum wage was established by Franklin Roosevelt as part of the New Deal in the 1930’s. The Fair Labor Standards Act of 1938, as stated by Jonathan Grossman on www.dol.gov, is what ultimately established the minimum wage nationwide for all workers. The minimum wage guarantees workers a wage that is fair for all workers. It is the lowest possible amount that an employer can pay their workers.Though it is believed that the minimum wage will help the lower class, raising it will not actually help those it intends to, but in fact raise living costs and many other expenses when the minimum wage is raised.
The problem with minimum wage is that it is not kept up with yearly. As inflation across our country increases yearly, minimum wage stays the same. With unemployment at about 8%, many people are pushing for a higher minimum wage. In "How raising the federal minimum wage would help working families and give the economy a boost" by Doug Hall and David Cooper, they believe that an increase of minimum wage will boost the economy. "Throughout the nation, minimum-wage increases would create jobs." (Hall & Cooper) Creating jobs would help the economy by helping the unemployed get off of government assistance, but raising the minimum wage will not help create those jobs.

The underlying problem with increasing minimum wage is that when the minimum wage is increased, jobs will not be created but will in fact job loss will increase. Employers will be forced to pay their employees more than they can afford, thus causing the employers to cut hours and even jobs to keep their business

You May Also Find These Documents Helpful

  • Satisfactory Essays

    Many business owners have argued that raising the minimum wage would cause hardship and cause businesses to raise their prices, but many workers argue that raising the minimum wage is necessary to help low-income workers to get out of poverty. Two main issues that workers face are insufficient wages to support their families which causes them to depend on government funding. Secondly, workers are faced with decreased job satisfaction due to making low wages. In my opinion, minimum wages should be increased because it will allow workers to feel that they have job security. Additionally, increased pay will allow people to further support themselves and avoid taking benefits from the government and can use…

    • 340 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Hana Mandefro

    • 176 Words
    • 1 Page

    The cost of living has sky rocketed,it has become almost impossible to rais afamily on a minimum wage job. A person live on his or her own can not survive on minimum wage job either. Their living expense would just be too much. The earnings of minimum wage workers are crucial to their families well being. That is way the minimum wage should raised.…

    • 176 Words
    • 1 Page
    Satisfactory Essays
  • Good Essays

    As the minimum wage increases, so does inflation. If an employer has to pay higher wages, then the price of the product or service being produced will have to cost more in order to pay the employee. In return the prices of all goods and services will rise, and the person earning higher wages, makes no gain. In some instances, a pay hike would not make a livable wage, but in fact could make it worse. People who normally get tax breaks for having a low income, would now end up paying more in taxes and may actually end up making less money overall. Higher minimum wages force employers to cut back on training, which deprive low wage workers of any chance of long-term advancement, in return for a small increase in current income. Having higher wages for low-paid positions might also discourage workers from gaining new skills. In most circumstances, minimum wage workers may start off at minimum wage and then as time goes on and their skills are refined, they end up getting paid more. So while many people may start off at minimum wage, many of these people don't necessarily stay fixed at minimum wage. There are many minimum wage jobs that offer advancement…

    • 2607 Words
    • 11 Pages
    Good Essays
  • Good Essays

    All these articles mentioned above in my research focuses on both the benefit and drawback of minimum wage hike. We saw many voters want the minimum wage to go up, so that they can live a better life. Many other articles also show that in the long term its effect would be devastating. Minimum wage has both good and bad effects. We have to take into account the worker that works for minimum wage. They barely have anything left after all the tax money is deducted. It’s hard to maintain a family when someone works for that little money. We have also seen some solutions to minimum wage problems. For example: People are struggling to survive with the minimum wage we have now in many states. Minimum wage hike is necessary for those cities that have…

    • 355 Words
    • 2 Pages
    Good Essays
  • Good Essays

    Dante Johnson, I agree inflation is a major issue whenever the subject of raising current minimum wage. If companies have to raise their current minimum wage the consumer will be the ones who pay for this finance increase. As a result, neither the corporate companies nor the consumer would benefit from raising the minimum wage. But in addition to inflation, low skill or inexperienced workers will be the ones to suffer most. Employers will not pay $12 an hour to hire a worker whose hourly efforts bring in $10. As I mention in my post a higher minimum wage will put the inexperienced workers out of a job. This happens to effect teenager greatly as many are starting out in the workforce. If the current minimum wage is raise most likely inexperienced…

    • 209 Words
    • 1 Page
    Good Essays
  • Satisfactory Essays

    I firmly believe raising the minimum wage would be an awful idea. People would think minimum wage should be raise, they are wrong and it will hurt them and everyone else. No one will want to attend college. All of the goods will increase in price, and we will lose our subsidies. The economy will be better off, if the government decides against…

    • 353 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Some people believe that raising minimum wage will help with economic growth, while others believe that minimum wage would do the opposite and actually force the manager to lay off many employees and raise unemployment levels. After researching both sides of this argument I believe that minimum wage should not be raised because after the price is higher, the company will not have enough money to pay all their employees and would have to make sacrifices such as laying off employees and maybe replacing them with machines so they don't have to pay them. If the minimum wage is raised many bad things could happen because of it.…

    • 1462 Words
    • 6 Pages
    Powerful Essays
  • Satisfactory Essays

    While there are many opposing arguments supporting the raise of the minimum wage, there are far more compelling reasons not to. First, if the minimum wage were to increase, it would cost more for business to operate; therefore they would let go of employees or close altogether. Those now unemployed people would have to file for unemployment or find another comparable job at a larger company, who would most likely be looking to outsource work as well. America would lose business and money that could have been kept in our…

    • 91 Words
    • 1 Page
    Satisfactory Essays
  • Good Essays

    Although raising the minimum wage may cause inflation, “According to Dr. Pacitti, inflation would likely less than 1 percentage point per year in the wake of a $15 minimum wage. ‘Firms could accept lower profits to offset any inflationary impact.’” (“Real Talk: The Potential Impact of a $15 Minimum Wage") This was also supported by John Wihbey, “Overall, price increases are modest: For example, a 10% increase in the minimum wage would increase food prices by no more than 4% and overall prices by no more than 0.4%, significantly less than the minimum-wage increase.” Many people fear raising the minimum wage would hurt the economy by causing inflation however, statistics show that raising the minimum wage has little effect on inflation rates and that its profits significantly outweigh the costs. Also, even though many businesses would have to reduce the number of workers, the number of people benefited greatly exceeds the number harmed. “Under the $10.10 scenario, there would likely be a reduction of about 500,000 workers across the labor market, as businesses shed jobs, but about 16.5 million low-wage workers would see substantial gains in their earnings in an average week.” (Wihbey "Effects of Raising the Minimum Wage) Overall, as research and calculations have shown, raising the minimum wage benefits the economy and workforce more than it does harm, and immediate actions should be implemented to help the economy grow and ensure equality in the…

    • 915 Words
    • 4 Pages
    Good Essays
  • Good Essays

    According to the Chicago Sun-Times, President Obama has committed himself to forcing the minimum wage up through federal intervention. If he becomes successful, it will only cause harm to the economy, resulting in higher unemployment and less advancement. As I do my research I find that there are a few reasons as to why the minimum wage issue is a bad idea. Minimum wage may have an unfavorable effect on new candidates to the workforce. Those who do not have enough to too little work experience may be influenced to work for less than the existing rate.…

    • 666 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    Hello Julia, I agree with you. minimum wage should not be raised because there will be high price production, and inflation, which will hurt consumer especially the low-income family. Raising the minimum wage commonly may be seen as a way to give a low-income worker a raise, but it resulted in a surplus since the minimum wage is a price floor. Surplus happens when the quantity of supply is greater than the quantity of demand. In this case, more people are willing to work than employers are willing to hire at the stage of minimum wage price rising and it will result in high unemployment. There would be a high unemployment rate because employers are forced to pay more which likely lead them to hire fewer workers in the workplace, especially for the small business or companies. Fewer people getting hiring mean less work is being done.…

    • 317 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    The minimum wage must be raised today because the cost of living has gone up drastically. Education is essential today, and that price tag has increased drastically in the past twenty years as well. People should not have to fight for equal pay for equal work. Companies should be forced to pay their workers what they deserve, and that is more than minimum wage is now. With our new technology and the technology in the future work is harder and more complicated. A minimum wage increase would raise the wages of many workers and increase benefits to those disadvantaged workers. Because the cost of living has sky rocketed, it has become almost impossible to raise a family on a minimum wage job. A person living on his or her own cannot survive on minimum wage budget. Minimum wage needs to be raised in order for people to adequately support themselves and their families.…

    • 910 Words
    • 4 Pages
    Better Essays
  • Good Essays

    Throughout the years minimum wage has been raised. The more it is raised, means all of the essential things of life will increase in price. Furthermore people will be fired and the unskilled people will be especially hurt. The minimum wage should not be raised based on the observation of what has happened in the past and what might happen in the future.…

    • 581 Words
    • 3 Pages
    Good Essays
  • Good Essays

    The vast majority of economists believe the minimum wage law costs the economy thousands of jobs. The most fundamental principle of economics is 'supply and demand'. In the case of labor, this means that the supply of workers goes up as wage goes up, and the demand for workers by employers goes down as the wage goes up. For example, imagine a janitorial job was advertised for hire. If the wage were $100 per hour, thousands of people would want the job. If the wage were $1 per hour, you probably wouldn't find anyone to do it. So if the government forced the employer to pay at least $7 per hour, the employer might decide not to hire a janitor at all, instead opting to have other staff member to pick up the duties. In this case a job would be lost because of the minimum wage. Another example is restaurant employment. A manager might have $10,000 in her monthly budget to hire bus persons. If the wage is set at $7 per hour, the manager may only be able to hire 10 bus people instead of 15. Setting a mandated wage limit disrupts market forces of supply and demand. Just because there is no minimum wage doesn't mean companies can pay whatever they want. Would you work a dishwashing job that paid 25 cents per hour? Would anyone? If they raised the wage to $4 per hour, they might be able to hire a high school student. Consider some highly skilled jobs such as accountant, lawyer, and engineer. Do these people make $5.15 an hour? Obviously, the answer is no. Market factors of supply and demand determine how many jobs are available and what each job would pay. In summary, as the minimum wage goes up, the number of people employed goes down. When the minimum wage goes down, the number of people employed goes up. Keep in mind: the minimum wage only applies if someone is employed.…

    • 580 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Economy

    • 666 Words
    • 3 Pages

    There are some advantages of raising the minimum wage. For instance, workers can have a better income and more people will be willing to work as firms raise the salary. In this case, raising the minimum wage seems like a good policy to against poverty.…

    • 666 Words
    • 3 Pages
    Good Essays