There are differences in opinion about the benefits and drawbacks of having a minimum wage. Supporters of the law say that it increases the standard of living of workers and reduces poverty. Others say that if it is high enough to be effective, it increases unemployment, mostly among workers with very low productivity due to inexperience. Since the law was established it has had only a positive impact on our economy. Minimum wage protects employees from being taken advantage of, encourages employees to work harder and it decreases the cost of government welfare programs.
Since this law was established during the great depression it has created a positive impact on the workforce. The minimum wage protects workers from inadequate pay. If there wasn’t a limit to how little a business can pay an employee, the business could take advantage of their workers and not pay them fairly. With this law in effect the employer can’t pay their workers any less than the minimum. Before we had the minimum business owners could choose how much they wanted to pay their workers even if it meant they were ripping them off. Having a minimum wage can also encourage employees to work harder at their jobs.
Employees will be motivated to work harder so they can get that extra raise. If employees don’t have the feeling they have an opportunity to make more money or get a promotion, their work ethic probably won’t be as strong. As employers pay more to their workers, they also will demand more return for paying them a higher wage. Some can argue and say that having a higher minimum wage will discourage further education, but it think most people will still want to make more money than the minimum. The minimum wage not only benefits workers and employers but the government as well. More jobs mean a stronger economy.
If more people are working the less the government has to pay to welfare programs. If people are making enough money even if they are working at a lower-end job, they will depend less on the government for help. Less spending on welfare programs would give the government money for more important things. In conclusion the benefits of the minimum wage laws outweigh the drawbacks and flaws. Not only has it improved our standards of living but our economy as well. Our economy depends on the work ethic of our people and I think the minimum wage law provides a positive impact on the workforce.