Raising the Minimum Wage
Posted: Wed Dec 28, 2005 4:04 pm
I recently read a post regarding Spurlock's show "30 Days" where one portion was dedicated to living on minimum wage and how difficult it was. That being said, I realize there's a large group in our country that advocate raising the minimum wage to a "living wage". This, I felt, was thread-worthy.
As a preface, I'm not an uncaring person. I truly feel for those that don't have very much and work hard for it. Kudos to them for actually working hard and not sucking our country dry by abusing costly social programs.
However, I have to ask: Are those that want the cost of the minimum wage changed to a "living wage" willing to pay the price? Gone would be the days of a $.99 menu, the chains would have to up the prices for the increased wages. Who would feel more comfortable paying $14 for their Big Mac Value Meal knowing they're helping the fry-cook out.
The following is from an NRO Financial write up on the minimum wage:
Any thougths?
As a preface, I'm not an uncaring person. I truly feel for those that don't have very much and work hard for it. Kudos to them for actually working hard and not sucking our country dry by abusing costly social programs.
However, I have to ask: Are those that want the cost of the minimum wage changed to a "living wage" willing to pay the price? Gone would be the days of a $.99 menu, the chains would have to up the prices for the increased wages. Who would feel more comfortable paying $14 for their Big Mac Value Meal knowing they're helping the fry-cook out.
The following is from an NRO Financial write up on the minimum wage:
http://www.nationalreview.com/nrof_comment/kersey200407230852.asp
This doesn't mean that all minimum wage workers are a dead end. Minimum-wage earners typically receive raises and promotions or find more lucrative work without any governmental help. According to economists William Even and David Macpherson, in a report for the Employment Policy Institute, between 1998 and 2002 typical minimum-wage workers saw their wages climb by 10.4 percent within a year of beginning work — and this during a period in which the minimum wage didn’t change.
Moreover, recent Census data show that only 15 percent of workers earning within $1.50 of the minimum wage belong to poor families, while 20 percent belong to families whose total earnings exceed $80,000 per year. The average low-wage worker had a total family income of more than $40,000. Concern for the working poor may motivate many supporters of minimum-wage increases, but the working poor make up only a small portion of those who would benefit from a higher minimum wage.
Minimum-wage jobs play a valuable role in the economy, and their value to workers goes beyond the modest monetary compensation. In many cases these jobs provide a valuable introduction to the working world for teens and young adults who still live with their families. Most of these workers will reduce their hours or leave their jobs as needed for classes and move out of minimum-wage work shortly after completing their education. But even those who must work full-time at minimum-wage jobs gain experience and a work record they can parlay into raises, promotions, or more lucrative jobs.
Nobody wants to work for the minimum wage any longer than necessary. Truth is, most economists contend that increases in the minimum wage lead to at least a modest reduction in job openings available to unskilled and inexperienced workers.
Any thougths?