Essay On Raising Minimum Wage

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On May 1, 2014, Seattle Washington announced that they were going to raise the minimum wage in their city to $15. That increase cost the city 1,300 restaurant jobs from January to June 2015, It was the largest decline in jobs since the recession(Telford). Even faced with these facts, many want the minimum wage raised throughout the nation. Although raising the minimum wage would have a positive effect on the employees, the amount of money spent to balance the wages would in turn have a negative effect on the economy and the workforce. When employers have to pay their employees more, they have three options on how to keep their business afloat. Employers can either raise prices, lay off workers, or take smaller profits. Because of competition they are unable to raise prices, so the two options they are left with are laying off employees or taking smaller profits. Most resort to laying off their employees(Shane). Supporters of a minimum wage increase try to prove this…show more content…
The problem with that is most minimum wage employees do not work for large corporations. Every year the Census Bureau conducts a survey where respondents are asked about the company size they work for. The Employment Policies Institute then took this data and determined the size of a typical minimum wage employer. They found that nearly half the minimum wage workforce is employed by a business with less than 100 employees. And about 40% are employed at businesses with less than 50 employees(Saltsman). Small business owners themselves fear for what would happen if the minimum wage was increased. Anthony Ripani owner of Calabria Restaurant in Orangeburg New York says, “The percentages in this business have diminished, diminished, diminished. If they make the minimum wage $15 I’m like, ‘Wheres that gonna come

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