The unskilled workers based on the theory that
The minimum wage was recently raised by congress in 2009, an act that has only been done only a few times since the birth of the minimum wage in 1938. This rise in income still does not show the ability to demonstrate a comfortable style of living in today’s country. The wage has proven to “keep pace” with the financial growth and lifestyle of americans today. The wage was set up to provide americans in aid to disrupt poverty, yet still it fails to meet this goals. Many adults and families absolutely depend on their weekly pay to make ends meet to support them and their families. Even with these facts there are still opposers who are completely and totally against any increase. The controversy surrounding this debate started nearly 70 years ago. During this time, the average american worker without the safety guidelines of today endured horrendous wor conditions. The majority of these workers endured 60+ hours a week, were paid very little with no breaks during the day. These wages they would receive were not adequate enough to meet the basic needs of a family.Their employers would usually disregard any government interference in their daily activities. The biggest victim in this is the employee, who is being exploited based on the fact that they have no other opportunity. Only until the passage of The Fair Labor Standards Act of 1938, that any of these workers had a voice in their pay. . This act provided protections in the labor market by guaranteeing one could not receive any wage less than that proposed.President Roosevelt said the act had one primary goal; to provide a ‘fair days pay for a fair day’s work’. This precedent established labor and health standards that are still being to this day. At the time most believed it would hurt businesses, most wanted zero government interference. With the issue of minimum wage coming up in recent events, arguments against it reflect the viewpoints of the past. Those who believe that it will affect small businesses negatively and increase unemployment among unskilled workers.They argue that there will be less unskilled workers based on the theory that with more pay increase there will be fewer jobs based on the increase in pay. Small businesses would be forced to reduce the employees number of hours or their position all together because of this increase. They believe that their overall profit and prices for their goods and services will need to increase ultimately affecting the consumer. Most will also argue that the minimum wage workers earnings are not the only income, but rather a second or third household income, and raising minimum wage for them will barely affect them all. Supporters of raising the minimum wage, view it as an effective way in limiting poverty. They see it as an successful way to better living standards for low income families. Research to date suggests that there are no conclusive results as to the real effect a raise in the wage can have. However, increasing the minimum wage can have a positive impact on workers. For example, it could attract better employees, the worker may feel more valued by the company boosting work morale, which, in turn, increases productivity. It may also benefit the economy overall as well. More money in the pocket means more to spend somewhere else. Close to 22.9 million people would be impacted by an increase in minimum wage, which of most are a important factor to their families total income. Even people who are not directly affected would benefit, such as the children and immediate family of said workers. In conclusion, increasing the minimum wage has a good and bad outcomes. The negative outcomes include, higher unemployment rate, decrease in jobs and a smaller gap between different rankings of employees. To the contrary, the positives include, livable wage for lower class families, incentive for minimum wage employees and a lower poverty rate. I believe in the raising of the national minimum wage, but I do not thing it is a final solution for poverty.. I believe the research being done is too narrow and should focus on not only those in poverty, but all social classes. Expanding the population affected may increase support and public interest into the issue.