Minimum Wage Benefits

Words: 1840

Pages: 8

Open Document

In today’s society—even though there are those that still depend on these types of jobs for survival—workers are using these positions more often as a starting place for entering the workforce. These entry-level jobs are a great way to earn a minimal amount while gaining experience and developing the knowledge, skills, and abilities that are most likely to be needed for higher paying jobs. Workers are not held to earning the minimum wage for as long as many might think. Oftentimes they do not hold these positions for long before they have developed a higher level of productivity and are rewarded with raises and promotions. If used properly as a method for gaining experience and increasing personal efficiency, minimum wage jobs serve their purpose and should be considered a valuable asset to …show more content…
Higher costs of labor tend to lead to higher costs of production. This can force businesses to develop strategies that will allow them to attain the same levels of current production but in a more efficient manner. A common strategy is to replace existing workers with those who are more productive. The idea is that by utilizing workers who are more productive, businesses can employ fewer, which should help to account for the increase in labor costs. While this may be beneficial to businesses, it can be absolutely devastating for the American workforce, especially those who have not yet had the opportunity to develop any work experience. As New American contributor William P. Hoar puts it: “ If a would-be employee in today’s weak market is not worth $7.25 per hour, the current federal mandate pushing that minimum even higher will surely accomplish at least one thing: It will hurt employment even more” (Hoar, 2013). In essence, minimum wage increases have the potential to eliminate low-skilled positions including entry-level

Minimum Wage Benefits

Higher Minimum Wage; Lower Benefits The national debate over raising minimum wage stems from the need that a raise in minimum wage will provide families with enough money to earn a living wage. A living wage is a wage that provides an individual with sufficient earnings to live above the poverty line. The federal minimum wage was established during the Great Depression and has since risen from 25 cents to what it is currently at $7.25 an hour (Wihbey p.1). The federal minimum wage is the lowest…

Words 2008 - Pages 9

Minimum Wage Benefits

Imagine a man living on the federal minimum wage, $7.25 an hour, which runs about $1,317 a month. Rent already exceeds that in a lot of places, and that’s not even factoring in food, clothes, and other necessities. People should always be paid enough to put food on the table and then some, as that’s America’s core: being prosperous. However, without a living wage, people will decline into the disparity of poverty and be forced to live an unhappy life. Whatever a person gets paid, there’s still a…

Words 844 - Pages 4

Minimum Wage Benefits

boost (United States, 1947). By defining the minimum wage, the federal government prevents the worker from exploitation and underemployment can that lead to low production and low turnover that affects the inflation rate (Card, & Krueger, 1995). Minimum wages help in ensuring the inflation rate if kept from increasing rapidly. The government does this by ensuring that income inequality and fair wealth distribution are maintained in check with minimum wages since they are two factors of the economy that…

Words 470 - Pages 2

Minimum Wage Benefits

United States government enforced a minimum wage to help these people have decent living conditions. The stance on a minimum wage system has been argued against many people throughout history because people cannot determine if it is…

Words 1504 - Pages 7

Minimum Wage Benefits

The topic of minimum wage has been an issue of vast controversy since first being introduced in the Fair Standards Labor Act of 1938. This act set a legal standard in salary that business may not pay their workers any amount below. A hike in this wage will be more detrimental than beneficial for both American laborers and the US economy as a whole. This is due to the inability of small business being able to afford the hike, resulting in increased levels of unemployment and poverty. However, it is…

Words 1019 - Pages 5

Benefits Of Raising Minimum Wage

The federal minimum wage was established in 1938 as part of the Fair Labor Standards Act. The original purpose in setting a minimum wage was to stabilize the economy following the Great Depression and to establish and protect a standard of living for workers (“Minimum Wage”). Today, the minimum wage in most states fails to cover the cost of living for many minimum wage employees workers. Many people argue that raising the minimum wage would be detrimental to the American economy by increasing…

Words 816 - Pages 4

The Benefits Of Raising Minimum Wage

the minimum wage, it will go into pockets of people who will go out and spend it”(Tom Kiley). Tom Kiley thinks this idea is not good. Giving people extra money will make them just waste more money. Minimum wage is serious to people that live in poverty. Minimum wage is the lowest amount of money a worker can legally get paid. Minimum wage was signed into law by President Roosevelt in the year of 1894. The minimum wage was first set to 25 cents per hour. People argue that Raising the minimum wage…

Words 2086 - Pages 9

Higher Minimum Wage Benefits

1. Personally, a higher minimum wage is irrelevant to me because I don't have any real expenses such as rent, loans, groceries and other bills to pay for on my own so I really don't have the need for the money. In this part of my life, money is more of a want than a need and since I already have a job in which I receive a decent income, I don't care for an increase. It would be great to receive that amount hourly, but it isn't something I'm in need of. For the most part, I spend my money on food…

Words 664 - Pages 3

Against Minimum Wage

Minimum wage is the lowest legal wage, or price floor, that employers may pay to workers. Minimum wage laws are in place to help protect workers.1 There are differences of opinions on the drawbacks and benefits of having a minimum wage in effect. Those who support the minimum wage believe it increases the standard of living of the employees, reduces poverty and inequality, boosts morale and forces businesses to be more economically efficient. Those who are against the minimum wage say it increases…

Words 1096 - Pages 5

Wager on the Wagess Essay

Wager on the Wages President Franklin Roosevelt in 1938, signed the federal minimum wage at the height of the Great Depression. Seventy-five years later up to this date, there are now two types of minimum wage in the United States, the state and federal minimum. The current federal minimum wage is $7.25 an hour, but is $2.13 an hour for tipped employees (employees who receive tips). States have the ability to make their own minimum wage but when employees get paid, the higher wage of the two, is…

Words 1438 - Pages 6