Minimum Wage, Maximum Impact
As the value of a dollar is stretched to the limit, so is the patience of much of the country’s workforce who find themselves on the losing end of the battle with the buck. The population caught in a minimum wage war may soon have something to look forward to as many cities across the country are fighting to increase the minimum in a “living-wage” movement.
“With federal minimum wage stuck at $5.15 since 1997, many cities and states are taking matters in their own hands. They are enacting minimum wages for city contractors and, increasingly, mandatory minimums for all area businesses in an attempt to lift the fortunes of workers on the lowest rungs of the economic ladder. As it stands now, a worker making the federal minimum wage would make $10,712 a year, or less than $1,000 above the 2006 poverty line of $9,800 for an individual.”
What would be the implications of such a pay scale modification? Not only would the increases heighten the cost of business and therefore raise prices on products and services alike, but workers in higher-paying positions may be affected by the changes, seeing a slight increase in pay, themselves.
From a business perspective, organizations will be forced to layoff employees to accommodate these pay raises, while others will experience a shift in their workforce as younger workers scramble for these higher-paying positions once filled only by their more experienced counterparts.
How would a raise in minimum wage affect your company? Read the full report by Melinda Fulmer at MSN Money.
Posted by Shelly Paul, Career Management Coordinator, The H.S. Group
“With federal minimum wage stuck at $5.15 since 1997, many cities and states are taking matters in their own hands. They are enacting minimum wages for city contractors and, increasingly, mandatory minimums for all area businesses in an attempt to lift the fortunes of workers on the lowest rungs of the economic ladder. As it stands now, a worker making the federal minimum wage would make $10,712 a year, or less than $1,000 above the 2006 poverty line of $9,800 for an individual.”
What would be the implications of such a pay scale modification? Not only would the increases heighten the cost of business and therefore raise prices on products and services alike, but workers in higher-paying positions may be affected by the changes, seeing a slight increase in pay, themselves.
From a business perspective, organizations will be forced to layoff employees to accommodate these pay raises, while others will experience a shift in their workforce as younger workers scramble for these higher-paying positions once filled only by their more experienced counterparts.
How would a raise in minimum wage affect your company? Read the full report by Melinda Fulmer at MSN Money.
Posted by Shelly Paul, Career Management Coordinator, The H.S. Group
posted by The H.S. Group at
2:16 PM
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