1 Inequality

2 FLSA

3 Raise minimum wage

4 Government Support

5 Inflation

Making minimum wage a livable wage could lead to unintended consequences such as inflation or job losses.  

Many of the students said that people work hard and take time out of their day to work just for them to not get paid enough or what their work is worth. The fact that they're students who work to start paying their own expenses and not live off of parents money, of course they would want the minimum wage to be raised. 

I believe that minimum wage shouldn't be a livable wage because many people now aren't getting paid enough to cover for their expenses. 

Alexia Torres

3-10-24

Should the minimum wage be a livable wage?

“Working for the minimum wage does not give most people a living wage.” Even while the minimum wage has increased in many states and cities, sometimes by more than double workers still find it difficult to make ends meet. The current minimum wage is not a living wage and does not provide for the basic needs of workers. Therefore, the minimum wage should be raised because raising the minimum wage would boost the economy, minimum wage has not changed despite the increase in inflation, and basic needs are not met due to the wage being so low. 

Back in the 1930's, the Fair Labor Standards Act (FLSA) was drafted as a response to the Great Depression, which left many workers without access to shelter, and food and with a quarter or the workforce unemployed. President Franklin Delano Roosevelt established both the NRA (National Recovery Administration) and NIRA ( National Industrial Recovery Act). He attempted to strengthen workers' safeguards and stimulate the economy. Once the Supreme Court ruled down the NIRA, the Roosevelt administration was forced to craft regulations that would protect workers, pass Congress, and adhere to the Constitution. The FLSA restricted child labor, set a minimum pay and limited working hours after three sessions of Congress. 

The current minimum wage is not a living wage and does not provide for the basic needs of workers. The article, “Minimum Wage is Not Enough”, states… “ While they take home millions in profits, many employees must depend on public benefits like SNAP and Medicaid paid for with tax dollars.” They are relying on government support which is not always reliable because the government has to support other people as well. What if one day, the government decides to remove those benefits, what will happen then? They would basically be left with nothing, and those benefits won’t be at hand any more. Furthermore, the article also states, “Low-wage workers are significantly less likely to receive benefits such as health insurance, sick leave, fair scheduling, paid family leave, and others provided to higher wage employees.” This shows inequality for low-wage workers because they are expected to pay for benefits that they can’t even afford while the high-wage workers receive those benefits but they could pay for those benefits themselves. 

Raising the minimum wage would boost the economy. The article, “What are pros and cons of raising the minimum wage?”, it states.. “some proponents of raising the minimum wage estimate that a much larger number of individuals and families will move out of poverty...”  With higher wages there won’t be as many people for the government to support. They’ll be able to be financially stable and they won’t have the need for those benefits. Additionally, in the document of Fact Sheet “Raising the Minimum Wage”, it states.. “A modest increase would improve worker productivity, and reduce employee turnover and absenteeism.” This shows how workers would have more motivation to work and would help the businesses gain workers and not fall behind. 

Minimum wage has not changed despite the increase in inflation, making it impossible for a person to hold only 1 job. In the article, “Inflation, minimum wages, and profits” states.. “Every year lawmakers don’t raise the minimum wage is a year that they have effectively cut the purchasing power and living standards of this country’s lowest wage workers.” This shows how the inflation reduction has a substantial negative effect on the living standards of working people. To further elaborate, the article “This is what minimum wage would be” it states… “If the minimum wage rises in step with inflation, we are effectively ensuring that it will allow minimum wage earners to buy the same amount of goods and services through time, protecting them against higher prices.”

Although some experts may say that “higher wages would force businesses to hire fewer people, slash growth plans, and/or raise their prices, which will hurt the economy”,. I believe the minimum wage should be raised. According to the article of CBO, it states “By boosting the income of low-wage workers with jobs, a higher minimum wage would lift some families' income above the poverty threshold and thus reduce the number of people in poverty.” 

In conclusion, it is necessary to raise the minimum wage since it will stimulate the economy, the current minimum pay remains unchanged despite rising inflation, and the low wage prevents people from meeting their fundamental necessities.

1. Bloomenthal, Andrew. “Can a Family Survive on the U.S. Minimum Wage?” Investopedia, 2 Jan. 2024, www.investopedia.com/articles/personal-finance/022615/can-family-survive-us-minimum-wage.asp#:~:text=Working%20for%20minimum%20wage%20does,struggle%20to%20make%20ends%20meet.

2. “A History of the Federal Minimum Wage: 85 Years Later, the Minimum Wage Is Far From Equitable.” Economic Policy Institute, www.epi.org/blog/a-history-of-the-federal-minimum-wage-85-years-later-the-minimum-wage-is-far-from-equitable.

3. Senator Bernie Sanders. “We Must Raise the Minimum Wage to a Living Wage &Raquo; Senator Bernie Sanders.” Senator Bernie Sanders, 18 Apr. 2023, www.sanders.senate.gov/op-eds/we-must-raise-the-minimum-wage-to-a-living-wage.

4. Illinois workNet. www.illinoisworknet.com/Pages/Article.aspx?ArticleId=51.

5. Jobbio, Suzie Coen |. This Column Was Created By. “The Hill.” The Hill, 25 Aug. 2023, thehill.com/lobbying/4170972-15-an-hour-isnt-enough-u-s-workers-need-to-earn-a-living-wage.

6. “A Living Wage for Workers | Ethical Trading Initiative.” ETI, www.ethicaltrade.org/insights/issues/living-wage-workers.

7. “Living Wage Ordinance and Regulations.” Cook County, www.cookcountyil.gov/service/living-wage-ordinance.

8. “Minimum Wage Is Not Enough - Center for Hunger Free Communities.” Center for Hunger Free Communities, drexel.edu/hunger-free-center/research/briefs-and-reports/minimum-wage-is-not-enough.

9. “More Than the Minimum: Why We Need a Livable Wage.” Green America, www.greenamerica.org/building-people-first-economy/more-minimum-why-we-need-liveable-wage#:~:text=The%20term%20%E2%80%9Cliving%20wage%2C%E2%80%9D,people%20more%20will%20benefit%20everyone.

10. Zahn, Max. “Here’s the Difference Between a ‘minimum Wage’ and ‘living Wage,’ and Why It Matters.” ABC News, 10 Jan. 2023, abcnews.go.com/Business/difference-minimum-wage-living-wage-matters/story?id=96251007.