Introduction
In modern society, it is evident that people serve companies for many years but also have other sources of income for an extended period. Recent statistics show that 8.7 million Americans balance worked multiple jobs to make ends meet in 2024 (Naysmith, 2024). The rising inflation causes more people to manage more than one job to support themselves and their families. This proposal advocates that the federal minimum wage should rise to $15 per hour to mitigate the need for Americans to work multiple jobs.
Background information
Fishback and Seltzer (2021) briefly overview the historical minimum wage rates that have been rising over the years but have been insufficient for low-wage workers. The article captures the different amounts of minimum wage amendments from 1938 to 2019. 1938-1943, the minimum wage was $0.40 per hour (Fishback & Seltzer, 2021). In the 1960s and 1970s, the minimum wage rose to $1.00, gradually increasing to $3.35. The minimum wage continued to rise in the 80s, with 1989 being $4.25. As of 1997, the minimum wage rate stood at $5.15. The wage stood at $6.55 in 2008 (Fishback & Seltzer, 2021). In 2009, the minimum wage was placed at $7.25 and has been constant since then amid the rising inflation.
Analysis of the Problem Cause
The minimum wage of only $7.25 suggests that it is insufficient for families and working individuals to sustain themselves (Minoff, 2018). The minimum wage has declined because when inflation rates are adjusted, the current amount purchased is much less than it could have been years ago. Many individuals face the challenge of enormous expense and minimal income, indicating that increasing the minimum wage is essential.
There are two leading causes of the insufficient minimum wage. The minimum wage must still be adjusted according to the inflation rate (Khattar et al., 2023). Additionally, the Senate’s denial to severally raise the federal minimum wage has mitigated the increase (Campbell, 2019). Political resistance has played a more significant part in solving this matter, increasing the chances of Americans being forced to work multiple jobs.
This problem creates profound adverse effects. It causes an increase in income inequality and a rise in poverty rates (Khattar et al., 2023). Low-wage workers are also forced to rely on government assistance, which places a further stretching of public resources. Lastly, it affects health, education, and the well-being of individuals and families.
The solution
To curb the poverty rates in the country, it is vital to support the bill to increase the federal minimum wage to $15 per hour. The increase would offer workers a living wage that enables them to be financially stable and cover their expenses (Minoff, 2018). This would also alleviate the poverty level of workers. When the minimum wage is increased, it would also stimulate the economy by increasing consumer expenditure so people are likely to buy goods and services because they have more money.
Taking steps to legislative action would involve the necessary proactive measures (Hickey, 2023). The first step is to present a bill to the House and Senate on why they should agree to the $15 minimum wage. It would involve explaining readings about economic boosts and alleviation of poverty. Once the proposal is official, the next step would be sending a notice to every employer that they have six months to comply with the new law of increasing the minimum wage to $15.
Sending the proposal will enable specific deliverables to be met. Every American will be assured that they are cared for because the proposal is designed to address their financial challenges. Americans will have more money, allowing them to increase their purchasing power and eventually grow the American economy (Minoff, 2018). Lastly, higher wages will make employees more productive in their jobs.
Conclusion
To summarize, Americans need assistance because they have gone through a lot of financial difficulties. Americans should be confident that the nation values their welfare. The federal government pledges support for increasing the minimum wage when confronting poverty alleviation procedures (Gindling, 2018). This ensures that people will be paid sufficient wages and businesses prosper. If inflation continues without raising the minimum wage, American’s average wage will reduce and decrease their happiness. No government funding is needed in this plan. The only required assistance is an approval meeting of the House and Senate that takes a few hours. The primary benefit of this plan is that Americans will feel that the nation values them, will have more disposable income, and fewer Americans will be required to work multiple jobs to meet their needs. To assist Americans in covering their basic needs and realizing the American Dream of financial stability, family happiness, and overall welfare, it is essential to raise the minimum wage.
References
Campbell, A. F. (2019, August 16). The $15 minimum wage bill has all but died in the Senate. Vox.com. https://www.vox.com/2019/8/16/20807610/raise-the-wage-act-15-minimum-wage-bill
Fishback, P. V., & Seltzer, A. J. (2021). The rise of American minimum wages, 1912–1968. Journal of Economic Perspectives, 35(1), 73-96.
Gindling, T. (2018). Does increasing the minimum wage reduce poverty in developing countries? IZA World of Labor. doi: 10.15185/izawol.30.v2
Hickey, S. M. (2023, December 21). Twenty-two states will increase their minimum wages on January 1, raising pay for nearly 10 million workers. https://www.epi.org/blog/twenty-two-states-will-increase-their-minimum-wages-on-january-1-raising-pay-for-nearly-10-million-workers/
Khattar, R., & Khan, A. (2022, July 7). It has been a long time Since the federal minimum wage was increased. CAP 20. https://www.americanprogress.org/article/its-long-past-time-to-increase-the-federal-minimum-wage/
Minoff, E. (2018). Bare Minimum. Why We Need to Raise Wages for America’s Lowest-Paid Families. https://www.georgetownpoverty.org/wp-content/uploads/2018/04/Bare-Minimum.pdf.
Naysmith, C. (2024, January 29). 8.7 Million Americans Now Work Two Jobs To Make Ends Meet Despite Inflation Continuing To Cool. Yahoo! Finance. https://finance.yahoo.com/news/8-7-million-americans-now-193011733.html
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