Is 15 Dollars an Hour the correct Minimum Wage?
04 May 2016 19:14 GMT
This article focuses on the current minimum wage set in the California and clarifies why it needs to be increased.
Many workers are failing to support their basic needs while earning minimum wage. It is hard enough working long hours and not getting compensated properly for it. We have seen companies and corporations exploit these workers by under paying them. With the cost of living going up in many states, it is becoming very tough for people to pay their bills.
We must look at the minimum wage right now. Right now in the state of California the minimum wage is 10.00 dollars an hour. Yes, this is an increase of a dollar from the year before, but it is still not enough. You have to take into account that most people working minimum wage jobs do not have money saved up. Thus, their earnings are going straight to meet their basic needs. There are many expenses that add up for monthly bills. This takes into account for housing, food, child care, transportation, health care, other necessities, and taxes. Many minimum wage workers are having to take on multiple jobs to get by. This has an effect on where they live, their transportation, and where they can afford to provide for their family.
The workers that are being most affected by the minimum wage are fast food workers as well as tipped employees. The fast food workers minimum wage federally has not changed since 2009 where it is $7.25, and the wage minimum for tipped employees has stayed at $2.13 for over 10 years. With the economy not doing very well people are less inclined to tip well. These tipped employees are counting on their great service to make a reasonable hourly wage. Most restaurants have their tipped employees split their tips by percentages with the hosts and bussers. One bad night could set an employee back quite a bit on their bills.
One of the biggest arguments for raising the minimum wage to $15 dollars would mean bringing money back into local economies. Minimum wage increases put money in the pockets of low-wage workers who have little choice but to spend that money immediately in their local communities. Research has shown that raising the minimum wage boosts consumer spending, increasing the demand that drives economic growth. By increasing the amount of money back into the local communities more local jobs can be created. When local businesses are successful, they are able to pay their employees appropriately increasing their wages.