In order to make a profit off of a product a company must make more than they are spending. So when it comes to spending on wages companies cannot be paying them more than their income. If companies were forced to raise the minimum wage many of them would find themselves laying off workers, especially those of the lower skilled employees. As much as a 3% reduction of low skilled workers can be projected with an increase of 10% in the minimum wage (Negative Effects). An American Apparel store in Los Angeles had to lay off 500 workers because of the recent city increase to $15 an hour (Sherk).
Those affected by low minimum wage laws are not only limited to low income or middle class workers but taxpayers also. If a low income worker needs government aid that has to be paid for by taxpayers. Increasing the minimum wage comes with many benefits to workers and the government such as more income means more money individuals will be able to spend and families that rely on government aid because of low wages will ideally no longer need them because of higher payment they will receive. Many democrats and supporters have pushed to raise the federal minimum wage to better reflect the current cost of living, while other states have already taken initiative and increased their own minimum wage laws. The increase of the federal minimum wage is difficult to execute because of the republican political party, they argue that increasing the minimum wage will cause job loss, a rise in prices, and less hours an employee can work.
Giving people’s jobs away to machinery is also unfair to the minimum wage/low skill workers/ Many people with minimum wage/low skill jobs don’t have these jobs because it fits their potential, rather it is usually to survive in society. To get a higher than average income in the traditional fashion, a college degree is absolutely necessary. However it isn’t so cut and dry in the U.S. where tuition costs are rising by the year. Many people aren’t able to go to college because of their finances/and or family issues. The end result is getting a minumum wage/low skill job.
“Raising starting wages to $15 could price americans out of work” (Sherk). We need the unemployment rate to stay down, and pricing americans out of work is not going to help. Especially the people who are struggling. If the people who are struggling are getting put out of work their going to become homeless along with a whole bunch of other people. Some people are still making more than minimum wage, depending on the job like being a personal trainer etc.
After reading two articles by Saltsman and Surowiecki debating changes involving pay, the government should not raise the minimum wage. Saltsman states most people who work for minimum wage do not actually live under the poverty line. Therefore, spiking up the minimum wage will do little for those working for low wages. However, Surowiecki says that those working for minimum wage have changed from the traditional teenager to the breadwinner of the household. Saltsman explains this problem when he says that most people working for minimum wage do not live by themselves; thus families in this situation live off of more than just one income.
Even with a bolstered income and several additional benefits including loan forgiveness, teachers are still far worse off financially than businessmen and many other careers. Similarly, their pensions are lackluster and highly variable, ranging from an estimated $76,765 in Illinois to $150,510 in Pennsylvania (Toutkoushian). These values may seem to be particularly high, but they include social security and benefits in addition to wages, and this amount is only so great after 45 years of service. This will be inadequate during retirement for those with less time on their hands or who wish to retire early, so these plans do not properly service American teachers. Therefore, teachers should be better remunerated both during and after their time of service in order to place greater emphasis on their
With the decrease in poverty you will also see a decrease in government spending on welfare items because the individuals receiving the higher wage in theory will be able to pay for these services/welfare items without assistance. Another potential benefit of an increased
They don’t need to raise it so high it makes the prices go way up i think they just need to raise it to living wage and not poverty and keep the prices of goods the same and i think it would get more money flowing and things wouldn 't seem so expensive that is needed to live in today’s modern world. Two extra dollars an hour can go a long way and could eliminate tax deductions for things like social welfare because as we escape out of poverty less money from that would be needed to get spent and would save the government money also put more money in our pockets. By not paying so much subsides and People who have fast food jobs or jobs paying minimum wage wouldn 't worry about bringing in money for themselves because living wage would be minimum wage and is stable. Why punish the people who work minimum wage jobs because somebody has to work that job and if they don 't get paid enough they have to rely on something to help them get by raising minimum wage to living wage would a lot more people be independent not just from the government but from other people because one person with a minimum wage job don 't pay rent don 't pay all their bills but bringing in living wage compared to minimum wage would help if there wasn 't
College is something that students strive for now even with the cost, so by decreasing the cost it would logically lesson the want to go. Though it may not have this affect on all students, it would most likely affect those that already have little to no motivation to continue their education. A third obstacle would be the staff. If you were to cut down on staff their would be less jobs and a higher unemployment rate. These employees would reject the layoffs because to put it simply, it is a loss of a job that can not easily be replaced.
Working won’t get you anywhere but just a paycheck every two weeks and people will get bored doing the same job and will regret not going to college. College is so much productive than having a job because is working for the future rather than a moment. At the end what matters is college and how far you came from what you’ve learned. So in the end, working while in college is something no one should do. People will get stress-out trying to balance all the work that they have to do.
There will be no point in raising the minimum wage if the price of products goes up. It will just be canceling out the changes. Another online article by Los Angeles Daily News, states that “To survive, more profitable businesses will have to reduce workers’ hours to a bare minimum, automate as many positions as possible and raise prices as high as the market will bear”. The only way for business people to live in these conditions is to raise their prices, but that will also mean that they will not make as many sales. Not as much sales, means that they won’t make as much