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Minimum Wage Debate Essay

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On June, 25, 1938, President Franklin Roosevelt signed the Fair Labor Standards Act (FLSA), bringing a federal minimum wage of 25 cents into effect. FLSA was written to help workers and many supporters believed it would help those that were low-income families. Originally FLSA covered 38 percent of the labor force, mostly in the manufacturing, mining, and transportation industries (Wilson, 2012). Over the decades, Congress has increased the areas of labor force such as air transport (1947), retail (1961), construction industry, public schools, farms, laundries and nursing homes (1966) (Wilson, 2012). In the most current of time FLSA covers about 85 percent of the labor force. Since FLSA inception minimum wages have been raised a total of 22 times. The current federal wage is _____, and Arizona’s current minimum wage is $8.05 per hour. Due to Proposition 202, Arizona’s minimum wage will annually increased on January 1, 2016 and so on. …show more content…
When an increase to a minimum wage is imposed the businesses the employees work for will make adjustments to pay for the added cost, which usually means a decrease in hiring, cut back on hours, decrease in benefits, and charge higher prices on product (Wilson, 2012). According to Bureau of Labor Statistics, 1.8 million paid-hourly employees were paid the federal minimum wage of 7.25 in 2010 (Wilson, 2012). Forty-nine percent of the 1.8 million are teenagers or young adults aged 24 and under. The other half at fifty-one percent are aged 25 and up. In the past 70 years of research, the findings have indicated that minimum wage increases tend to decrease employment. Based on economist Milton Friedman’s studies, it stated the real tragedy of minimum wage laws is that they are supported by well-meaning groups who want to reduce poverty, but the people who are hurt the most by higher minimum are the most poverty stricken (Wilson,

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