by Gary S. Goldman
For many American workers, minimum-wage employment was a temporary, teenage condition, as we bussed tables, stocked shelves, or cleaned rooms for tiny paychecks before moving on to more financially rewarding work.
However in 2011, 3.8 million American workers — most of whom were out of their teens — earned the federal minimum wage per hour or less.
Advocates for a higher wage floor argue, first and foremost, that it is right to ensure that workers have the ability to earn enough to live on. As of January 1, 2014 13 states have increased their minimum wage.
Some feel that increasing the minimum wage would act as economic stimulus.
When low-income households earn more money, they are likely to spend it, pouring more dollars into the economy, the argument goes.
A higher minimum wage might also decrease turnover and thus keep training costs down, supporters say.
Is raising the minimum wage the real path to economic recovery?
Those that oppose an increase to the minimum wage, however, argue that the effects on employment rates would be exactly the opposite of those supporters foresee.
A higher minimum wage, they claim, would be too heavy a burden on employers, especially small business owners.
And those employers, in turn, would be unable to hire as many people — an undesirable result when unemployment continues to be an ongoing problem.
“When legislators raise the price of low- and unskilled labor, it’s usually low- and unskilled laborers who end up paying the price,”
“Multiple studies have demonstrated little to no relationship between a higher minimum wage and reductions in poverty,”
What do you think? Would a higher minimum wage help to economy or hurt it?
I feel that there is a need to increase in the mimimum wage.
However, I do not support wage increases that have a negative impact on business thus affecting the people that it was intended to help
We start our life’s journey at a minimum wage, and work ourselves toward a living wage.
Lets not once again allow an election year to blur our vision on this mater. With wage increases that are purely based on political gain.
Gary S. Goldman is the owner of Gary S. Goldman & Associates out of Shearborn Ma. providing business & management consulting services to business. His weekly radio program Business Politics & Lifestyle with Gary Goldman can be heard each Saturday at 9 AM EST on WCRN AM 830 Worcester MA.