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Raise Minimum Pay Essay

779 words - 4 pages

The majority of America would like to see the minimum wage raise from $7.25 an hour, to $10.10 which is almost a forty percent increase in hourly rate. A decision this big that will affect the entire country must be intensively discussed and debated before it is put into action. In an economy consisting of unemployment rates at their highest in decades, one would think that this would be a good action to take, but the consequences of doing so show otherwise.
President Obama and the Democratic party are lead supporters of the idea to raise the minimum wage to help out those families living below the poverty line, but it will do as much harm as it will do good. "President Obama's call to raise the federal minimum wage could help lift 900,000 workers out of poverty, but at a cost of as many as 500,000 jobs" (Davis). Research has shown that raising the minimum wage will help those who keep their jobs greatly, but at a huge cost of loosing half a million jobs. This will cause more people to become dependent upon the government to provide for their daily needs. Since the government is already severely in debt, this is the last thing we need as a country. More citizens will resort to crime to provide for their families in times of great need. People will struggle even more to provide for their loved ones and resort to alternatives to provide for them. Even though increasing the minimum wage to $10.10 will help 900,000 people tremendously, It will severely devastate those citizens and their families who lose their job to help pay for the increased wages.
This is not the first time that the federal minimum wage has been proposed to be increased. From 2007 to 2009, the minimum wage increased from $5.15 to $7.25, where is still is today, which is a 41% increase which is very close to the proposed increase now. Over the last five years we have been able to see the effects of doing so. "The consequences have been disastrous... approximately 98,000 jobs- a 6.9% reduction" (Dugan). Minimum wage has been raised once before to account for inflation and the results were not positive. This solution was effective short term to help those making minimum wage to earn a few...

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