Minimum Wage

In America, the discussion of minimum wage has been an issue in society as decreasing or increasing the amount each come with its benefits and setbacks. Currently, the minimum wage is America in 2024 is $7.25 per hour, however, certain states that have higher tax rates like California have their own custom minimum wage to match California’s high expenses.

Most of republicans are against raising the minimum wage for a variety of reasons. Statistically, most people holding minimum wage jobs are usually on their first job and are teenagers. Since these jobs are not permanent for most people it would make less sense for the minimum wage to be increased. Also, most people earning minimum wage jobs end of making more than minimum wage within a year of employment. Additionally, republicans believe that one’s wage should be determined by the existing labor market. Jobs that many people are able to do make sense to have low pay and jobs that are in higher demand since less people are capable of doing them should obviously get higher pay. Also, raising the minimum wage would price people out of the labor market and as a result, about 1.4 million people would lose their job.

Democrats believe that the minimum wage should be increased considering inflation and increased living cost. Democrats argue that statistically since inflation has risen up a lot since the minimum wage was first set, the minimum wage in America should stand at about $21.62 per hour to match living costs and inflation. Democrats believe that if the minimum wage was raised, those only earning off minimum wage jobs could be more productive, give than more affordable housing, reduce income inequality, and grow the economy. Democrats argue that the current minimum wage leaves some people with terrible lives and that it isn’t enough to support basic human needs. Furthermore, allowing people to afford basic human essentials would allow these people an easier time to explore opportunities to improve their lives.

Interestingly, as of 2024 the government has seen the take initiative in increasing the minimum wage to $15 per hour.

In conclusion, there are multiple arguments for either wishing to increase or decrease the minimum wage. Increasing it would lead to less poverty, support the economy, allow for less income inequality, and result in people living off minimum wage to have easier ways to explore. However, keeping the minimum wage the same is also argued for due to these jobs having less demand, some people holding these jobs being teenagers that don’t need the money, and many might lose their job if the minimum wage was increased too high. It is important to understand both sides and why this topic is still being discussed.

Sources:

Garcia-López, Emiliano. “Minimum Wage.” CTD. Accessed June 23, 2024. https://crossing-the-divide.org/materials/minimum-wage?gad_source=1&gclid=Cj0KCQjwj9-zBhDyARIsAERjds1_2Xy3BPgTqIf7gay0CFqH9xtNUBw2Bft0eVOjTqMnPdhh2XbSSQAaAikuEALw_wcB.