...Abolish or Sustain? The Minimum Wage Debate Sarah Campbell May 8, 2013 Abstract In 1938 the Fair Labor Standards Act established a federal minimum wage. Minimum wage has continuously increased throughout the years due to interest rates and the value of a dollar. Since its introduction the minimum wage has risen from 25 cents an hour to 7.25 dollars per hour in 2009. In President Obama’s recent State of the Union Address he states, “Working folks shouldn’t have to wait year after year for the minimum wage to go up while CEO pay has never been higher.” He hopes to raise the minimum wage by 2014 to 9 dollars per hour. Following the President’s support on minimum wage increase Sen. Tom Harkin (Democrat-Iowa) and Rep. George Miller (Democrat-California) formalized a proposal known as S.460, the Fair Minimum Wage Act of 2013 to increase the minimum wage by 2015 to $10.10. This proposal includes increasing the minimum wage (in three incremental increases of $.95) and then indexing it to inflation (“as prices rise, so would the minimum wage” (Cooper, Hall 2013)). Also, the tipped minimum wage (the minimum wage paid to workers who earn a portion of their wages in tips) would be increased in $0.85 increments from its current value of $2.13 per hour, where it has languished since 1991, until it reaches 70 percent of the regular minimum wage (Cooper, Hall 2013). However, in the current tough economic times many people argue that an increased minimum wage will only hurt and that...
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...Haigler 10.6.14 BCOM 275 The minimum wage debate is one that has been going on since we started using the term “minimum wage”. For years people have argued what amount of money is enough to truly survive on without being below the poverty line. Chances are we have all worked for minimum wage at one point or another in our life and as we grew older and had more experience we most likely went on to jobs that paid us more and used our skills more efficiently. Minimum wage is different in many states based on the states living costs such as food, rent and more. The biggest debate right now is should we raise the minimum wage to $15. Many minimum wage workers do not believe they have enough money to get by, support a family or have any fun. Although inflation is something we must deal with I do not believe we should raise the minimum wage to $15 an hour. That is just not something that should be done anytime soon! Even our military makes less than that and they are putting their lives on the line every day for our freedom and these countries citizens. I’m all for raising the minimum wage gradually and keeping up with some of the costs but $15 for an entry-level position seems a little crazy. Robert Reich a Professor of Public Policy at the University of California at Berkeley is an advocate for the wage increase and believes that in order for these employees to survive that they’d need that amount of money. I believe that with such a high wage increase, corporations would begin...
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...VA, 22108 Re: The minimum wage debate Dear Editor: I was very pleased to read your article about the minimum wage battle. This is an issue that affects so many Americans. I agree with you that President Obama faces a difficult path in his efforts to raise the federal minimum wage. I also agree that the minimum wage increase is well overdue. I understand when you stated that many Americans are living almost in poverty. I once was example of one of those minimum wage workers. In 2009 I lost a well paying job due to layoffs, and I was forced to take a job making $10.50 an hour which was above the minimum wage. Thank God I didn't have any children at that point, Because I barely made it off of that $10.50. I had to adjust my lifestyle, I also had to call my mortgage company to request an adjustment to my monthly mortgage. The mortgage company worked with me, and lowered my payments, until I was back on my feet. So I definitely think that the minimum wage should be increased. I applaud the families that are making it work, and pray that they get the raise that they deserve. It was also great to read a testimony from a minimum wage worker. Alberta Loder, and her struggle to raise her daughter. She simply needed more money hourly to provide simple things like more food, and milk for her daughter. I think that it is a good thing that you provided a break down in Alberta's monthly expenses, so that other people especially the ones that are against the minimum wage increase can see how...
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...the national federal minimum wage from 7.25 percent to 10.10 percent to fill the gap of income inequality. Obama wants to give America a raise. He said, “That too many Americans are working just to get by. Some are not working at all.” He wants to speed economic growth by putting more money into the pockets of the low-income families. He wants to help them get out of poverty by raising the federal minimum wage and pegging it to inflation. The President believes that this solution will help big businesses in the long run by decreasing employee training cost and cutting back on high turnovers. In contrary, Obama will hurt the people he is trying to help. “This proposal will only harm the people the President wants to help, especially teens, who have already endured more than four years of 20+percent unemployment,” Saltman said. “If the President wants to boost the economy and have an impact on the country’s unemployment rate, he needs to lower barriers to hiring, not raise them.” The minimum wage class is mostly made up of teenagers and young adults. These people are usually people with low skills and have little or no experience. Some of them are first time job seekers just starting out in the work force. Most of us at some point in our lives have started out working a minimum wage job. Why? We need the minimum wage jobs to help us gain the experience we need to climb the success ladder for a higher paying job. They are stepping stone jobs. Minimum wage jobs were not intended...
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...bringing a federal minimum wage of 25 cents into effect. FLSA was written to help workers and many supporters believed it would help those that were low-income families. Originally FLSA covered 38 percent of the labor force, mostly in the manufacturing, mining, and transportation industries (Wilson, 2012). Over the decades, Congress has increased the areas of labor force such as air transport (1947), retail (1961), construction industry, public schools, farms, laundries and nursing homes (1966) (Wilson, 2012). In the most current of time FLSA covers about 85 percent of the labor force. Since FLSA inception minimum wages have been raised a total of 22 times. The current federal wage is _____, and Arizona’s current minimum wage is $8.05 per hour. Due to Proposition 202, Arizona’s minimum wage will annually increased on January 1, 2016 and so on....
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...The government should increase the federal minimum wage because it will not affect the employment, it will to protect/ help the poor, and the rich have an advantage over the poor. On Forbes, Harvey said, “And there appears to be something of a consensus: changes in the minimum wage have little to no impact on employment (Harvey, 2).” Harvey means that if the minimum wage were to increase, or decrease, then that would have no effect on employment. Apparently, people agree to that because statistics shows it, so why is the government hesitating when there are no costs and that they can help benefit workers? John also wrote, “Rather, they are only suggesting that such a revision would allow the law to do what it was designed to do in the first...
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...9/18/2013 Intelligence Squared Debate Analysis COMS 305 Abolish Minimum Wage Debate I thought both sides debated the case well, and they all showed interest in the case. The main issue being debated was to abolish minimum wage which is a policy claim. All of the debaters had a clear claim which made me easily interested in both sides regardless of what side I took before the debate. The reason the claims were clear was because they each had verification proving what they were arguing. The debaters had strong poise, and both teams presented their case with assurance and compassion. They each spoke intelligently about their side. There were some key points though. One was whether minimum wages hurts or improves the lives of the poorest American families. Another was that minimum wage destroys jobs as well as job opportunities. In addition, social mobility was discussed, as well as reverse stimulus. The team that was for abolishing minimum wage pointed out that minimum wage takes away any alternatives and that alternatives force employers to treat employees well and specifically said, "most of us don't need legislation to protect us in the labor force" (Roberts). The best examples that were given was employers taking their business over seas and replacing workers with machines. For a specific example, they pointed out how Walmart no longer has baggers (Roberts). The cashiers do it. They also used the example that Hong Kong has never had a minimum wage and they rose up to be one...
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...Of all the topics that cause debate across the United States, there seems to be one that can always be debated without end; whether or not increasing the federal minimum wage is actually beneficial to our country and its residents. “Minimum wage is defined as the lowest amount that employers can legally pay their workers per hour of labor” (History and Debate of Minimum Wage). Most jurisdictions have laws that enforce a minimum wage; however there are benefits as well as disadvantages to this type of policy. Minimum wage laws were initially established to reduce poverty and are upheld with particular goals in mind. Those who support minimum wage laws generally believe that these objectives are being sufficiently achieved, which is enough jurisdiction to maintain the laws. Those who are opposed the minimum wage laws usually believe that it harms less skilled workers and raises unemployment (History and Debate of Minimum Wage). There are many pros from the side that is in favor of raising the minimum wage. An increase in the minimum wage would create more job opportunities because it would cause minimum wage employees to spend more leading to an increase in earnings among businesses and requiring them to hire more employees to keep up with their increase in sales. Raising the minimum wage would also allow some people who rely on additional support from the government to be able to support themselves better without being as dependent on social programs. This would ultimately lead...
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...Minimum wage is defined as the lowest possible income that an employer can legally pay an employee. This ensures that all people are fairly paid and not defrauded by companies or businesses. Minimum wage is now a staple in 90 percent of countries in the world (Minimum). Even with these minimums, a person’s lifestyle is hard to maintain. Sustainability, in my opinion, is the ability to keep or maintain a certain amount of physical or mental property. In this light of sustainability, minimum wage is not a sustainable amount of money in which to survive with a basic quality of life. There are many supporters and objectors to the minimum wage debate. Supporters say that increasing minimum wage increases the workers earning power and wages. Objectors say that increasing minimum wage only leads to unemployment due to small companies’ inability to pay workers. Also the increased inflation rate of goods only hurts the economy, which leads to many jobs being lost, mainly the jobs held by minimum wage patrons. Although this is a heated debate there is one thing to which both sides agree; something needs to be implemented so that workers are not exploited by businesses. Economists are exploring the viability of minimum wage, the standard minimum wage payments, and if there is anything we can do to keep the world on an equal playing field. There are many thoughts and opinions on minimum wage. Minimum wage was put into practice to keep businesses from taking advantage of the “small people...
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...Compensation, and Minimum a growing management issue. By: Kendra Wright MGMT 630-9022 Turnitin score : As we enter the second decade of the 21st century and examine the management issues facing today’s organizations one in particular sticks out, and probably has been seen on many media outlets over the past few months. Compensation, and minimum wage a many organizations are encountering especially the fast food industry. The McDonalds Corporation has been at the forefront of this heated minimum wage battle between workers, and management. We will go more depth with the issues surrounding this organization, after we first have an understanding of what exactly minimum wage is entails. The minimum wage policy was created in the late 1930s, the law mandates that hourly pay does not go below a fixed level, and that these regulations are being enforced. There are many debates surrounding the issue of minimum wage. You will find many who believe minimum wage increases the likely hood of unemployment, and is not doing anything to help those stuck in the low earning workforce situation. Countering that argument are those who believe minimum wages ward off or decrease people from falling into poverty and exploitation. (Wilkinson, T.M 2004) In my review of the case study “Minimum Wages and Employment: A Case Study of the Fast-Food Industry in New...
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...In the article, “Democrats’ debate all but ignores issue of minimum wage” discusses the minimum wage being brought up to a total of fifteen dollars. “Sanders and O’Malley have thrown their support behind a nation movement to set the floor at $15 an hour.” But Hillary Clinton “did not specifically endorse their goal,” of bringing it up to fifteen dollars. Even though, an almost double the amount of minimum wage would be great for workers, it could potentially keep businesses from not making any money. In the article, it states, “If the minimum wage is set too high, the expense of hiring additional workers could keep businesses from making any money… A $15 hourly minimum could set back the very people it is supposed to help, by making it harder for them to find work.” Which is a good reason as to why not set the minimum this high....
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...ENGL032 Professor: Audra Spicer February 10,2014 "The minimum wage debate" President Obama faces a difficult path in his efforts to raise the federal minimum wage. Workers and lawmakers have gained momentum on the state level on the issue that will remain throughout the United States for the year 2014. More than 30 states are preparing to consider legislation or ballot measures to hike the minimum wage in the coming months. Illinois governor Pat Quinn, who is a democrat is backing raising the minimum wage from $8.25 hourly in my state Illinois to $10.00 an hour. Advocates of a minimum wage hike are staking out territory on the issue, and the national advocacy group that promotes Obama's agenda recently announced that they are launching a six figure national television ad that will highlight Obama's call to raise the minimum wage. Republicans have already stated their opposition stating that raising the minimum wage will force business owners to cut hours, raise prices, and cut back on the number of employees that they have. In my opinion I think that raising the minimum wage will put American's in a better position to support themselves as well as their families. This would help them to not have to depend on government assistance to fill the gap. People that are earning the minimum wage are spending more than they save, because they have no other choice. One of the most debated questions about the minimum wage is whether businesses will simply scale down the number of...
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...The Minimum Wages Act, 1948 generally specifies minimum wage rates on a per day basis,[20] and extends to the entire country and is revised within a period of not less than five years, however there is a provision to increase dearness allowance every two years. The norms in fixing and revision of minimum wages were first recommended by ILC, 1957.[21] Revision of minimum wage rates is based on a ‘cost of living index’ and wages can be fixed for an entire state, part of the state, class or classes and employments pertaining to these categories. The fixation of wages is based on the norms mentioned and a wage board (different for different industry). Under the Minimum Wages Act, State and Central Governments have the power to fix and revise minimum wages. The act specifies that the “appropriate” government should fix the wages i.e. if the wages to be fixed are in relation to any authority of Central government or Railway administration then the Central government fixes it. However if the wage rate is to be fixed or revised for a scheduled employment, the respective state governments fix it. The Centre fixes the National floor level Minimum Wage that is lower than most states' respective minimum wages.[22] The ambiguity and overlap in the jurisdiction of both these tiers of government have caused debates and controversies. One of such debates revolves around fixing wage rates of MGNREGA scheme, an employment guarantee initiative by the Central Government[23] As per Section 5 of...
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...Minimum wage The Fair Labor Standards Act (FLSA) of 1938 established the minimum wage, overtime pay, record keeping and child labor standards (Minimum Wage - Wage and Hour Division (WHD). For the purpose of this assignment, the primary focus will be on minimum wage. The minimum wage is a price floor set at a minimum price for labor per hour. The intention for minimum wage is to help alleviate poverty, workers are guaranteed hourly pay, protection of minimum living standards, and employee labor wage equality. Currently, the federal minimum wage is $7.25 and has been in effective since July 24, 2009. Although many states have their own minimum wage laws, which may be above the federal minimum wage, states must comply with both state...
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...The debate whether minimum wage should be lowered or increased has been a very contested topic for many years. There two sides to this topic and both have a side to be discussed and agree with and disagree. Even tho everyone believe it should be raise there is also another side and should be lowered. Lowering minimum wage sounds pretty harsh but also has its pros and cons. Everyone can have there own opinion and lowering minimum wage is mine. Lowering minimum wage has its reason like if they do reduce it many jobs will be available and hiring workers and likely not outbalance individuals that are making less money. Also, companies that minimize jobs when minimum wage increases, then there is no benefits to hiring more people to work for them, unless they occupy more workers. If minimum wage is lowered it will help people for example it would lower prices and things will be cheaper. If it is lowered it will allow businesses, mostly smaller business to survive during difficult economic problems. Then it will not affect lower class human race to a greater level. Even if they to raise or lower it i think people should still focus on the fact that looking for a job at least and not doing anything but complaining helps. Just like lowering minimum wage has its reason so does raising the minimum wage would also help economy. I support the fact...
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