Minimum wage to raise again

United States
December 3, 2006 11:01am CST
Here in the USA the minimum wage is going to raise again fromm 6.75 to 7.15$ after the first of the year. However prices are not dropping in any other areas so if you really think about it is that high wage really helping or just making us THINK that it is helping????? What the higher wage does for example for those of us in childcare what it does is make our owners raise the prices for paretns to bring there child so that the new wages can be covered being the government does not help out finanically with small businesses. So is this just a way for the government to fool us to thinking we are making more money??
7 people like this
45 responses
@melanie652 (2525)
• United States
4 Dec 06
When you raise wages, prices go up too. It's a vicious cycle. I don't think raising the minimum wage is the answer. Getting the cost of living back down makes more sense to me. I keep seeing news report after report about how everyone is struggling financially and are more in debt. I know it has to be even tougher for someone only making minimum wage.
• United States
4 Dec 06
This is what I think to that it is just a cycle that wages go up and products go out so no one is really ever making "good" money. In the US childcare workers work for minimum wage because we provide a service so that other parents can go out and work and let me say this that half of my enrollment in my center are people on public assistance were the government pays a good majority of there bill and they have a co pay most times it is 1 or 2 dollars a week!!!!
• United States
4 Dec 06
well minimum wage were i live is only 5.15 hour so for me it would be a good thing if it goes up but also bad cause i feel prices on everything else will also go up just incase u you are wondering iam in kentucky
3 people like this
• United States
4 Dec 06
The minimum wage increase will bring new problems with it that we probably can't even see right now. On the other hand-any increase is great for people struggling to make it these days.
3 people like this
• United States
3 Dec 06
When looking at the broader picture, it may very well hurt the low income people. For instance, each year people on SSI gets a raise. But they loose the exact amount in foodstamps. Therefore, they have no extra money. By the same standarads, it could be harder for people to qualify for help now because they are making more and I am not sure if they will change any of the guidelines of what you can and can't make to be eligible for certain programs. Some of these reasons are why some of the people in government opposed the raise. It is like this. When you are poor or even middle class you are always looking at what is called a catch 22. What seems good at first, can have negative outcomes you didn't foresee in the first place. That is why it is hard for honest, middle and lower class people to get ahead at times. But what can we do, but try to work as hard as we can?
3 people like this
• United States
3 Dec 06
I totally agree and coming from a middle-lower class family myself, yes the money will be nice however it is not enough to keep up with the high raising cost of living, the higher price for gas, heat, and food it doesn't even out and with the more money the less "help" you can qualify for and all that these people look at is the "gross" income not the "net" income because what you gross on paper you never get in your check because it goes out in taxes.
3 people like this
• United States
3 Dec 06
its hard both ways but fact that the minimum wage is getting raise is good. the govt needes to change somethings
3 people like this
@claudia413 (4283)
• United States
3 Dec 06
Yes, I think it is. People who have minimum wage jobs will be making more, but everyone will be paying more for the goods and services where those people work. Small businesses are the ones who usually suffer, and many times they even lay off some employees. Sure hope this doesn't happen to you.
3 people like this
@pagli84 (1850)
• Netherlands
3 Dec 06
minimum wage is $5.15 in maryland and pennsylvania to my knowledge (unless they've changed in the past few months), which i think is absolutely ridiculous. i know that the higher minimum wage might hurt small businesses and families that use childcare but, honestly, if you are well enough off to pay for childcare, then i dont think you should worry too much. how can you expect anyone to live off minimum wage? poverty line in the US is $17,000 a year i think...if someone works full time at minimum wage in MD or PA, they will only get paid $206 BEFORE taxes...let's say they receive $150 a week after taxes..that's $600 a month and only $7200 a year. nobody can live off of wages like that..and not everyone has the skills to get a higher-paying job either. even if they work 2 full time jobs at minimum wage, they will still be under the US poverty line.
3 people like this
@ipanks (891)
• Indonesia
4 Dec 06
sometimes governments act to fast and sometimes act so slow.sometimes governments make confusing in some places.ah what the best citizen must doing?
2 people like this
@ipanks (891)
• Indonesia
4 Dec 06
sometimes governments act to fast and sometimes act so slow.sometimes governments make confusing in some places.ah what the best citizen must doing?
@Meljep (1668)
• United States
4 Dec 06
When the min. wage goes up the employers have to pass the expense onto the general public. Someone has to pick up the tab.
@wildguy2 (1349)
• Canada
4 Dec 06
In my province here in Canada the minimum wage is so low that most families will find any means possible to stay on Welfare. To one sense I can't say that I would blame them. I believe here the min wage is about $6.75 per hour, so if you have a job working 40 hours a week, by the time you take out your expenses, especially if you have kids you just cannot survive. However, a young women on income assistance will receive close to $1000.00 a month from the government, heat subsidies, child allowance of about $400.00 per month, rent subsidy, free medical insurance, free daycare, and clothing and school supplies, for the children, not to mention free courses that they might use to try and get a job. Honestly, if you are living with $1400.00 or more a month and 99% of your expenses paid for, does the government actually think that offering these job training will make people get out and go to work....getting what they receive they would have to earn about $15.00 per hour.... Just another reason that the min wage can increase all it wants but it will not make one bit of difference.... The Government is it's own worse enemy...
1 person likes this
@owlwings (42235)
• Cambridge, England
4 Dec 06
The minimum wage here in the UK is already equivalent to $10 - $11. I think that we have a higher cost of living here but, even so, it seems to me that the minimum wage in the USA is far too low. I also think that it is iniquitous that it varies from State to State! Whether raising the minimum wage translates into higher prices really depends to a great extent on how much of the workforce are being paid at the 'minimum wage' rate. The fewer there are, the less effect it will have. Here in the UK it is really impossible to raise a family even with two people working full-time at the minimum wage. Such families would qualify for additional benefits both from the Government and from the local councils.
1 person likes this
@cr1st1nel (3566)
• Romania
4 Dec 06
ts hard both ways but fact that the minimum wage is getting raise is good. the govt needes to change somethings
1 person likes this
• United States
4 Dec 06
Usually as prices raise across the country the wages increase to meet the prices. It's not really so you are making more money, it' so you can keep up with the raising cost of everything else.
@JC1969 (1226)
• United States
4 Dec 06
Well what happens to us military families is that they will give a little pay raise here and there, or like for us living overseas they may deem it necessary to raise our COLA as a result of the dollar not doing well against the euro, and then after the raise goes into the checks, you will notice the commissary raises prices of food and non-products, AAFES (BX, PX, NEX)will raise prices on commonly used and bought items. Oh and we are told that the prices for our gas coupons is based on the average price civilians are paying in the US, yet when your prices were lowered, we still saw $3.50 and higher for almost 3 months before they lowered it a little bit. So, in part I have to agree with you. We make a little more and the government finds a way to take it back or the local businesses find a way to extract more from us.
@MrEricMc (157)
• United States
4 Dec 06
when people say that prices are going to go up becasue minimum wage gets in increase, I think that they are missing the point. For the most part, prices go up on a lot of goods and services even when there is no raise in minimum wage. A lot of times the prices change based on supply and demand. Now as we all know, gasoline and home heating costs have increased tremendously in the last few years, yet no minimum wage increase was put into effect then. And this is just one example of how prices have changed since the last min. wage increase. Im quite sure that none of us is paying the same amount for groceries or any other product that we use regularly as we did when the min. wage was last increased. And just as a side note, I think the federal minimum wage is still 5.15 and that hasnt changed in decades. I assume that whatever state you are in just passed a new min. wage for the state to bring it to 7.15. I know here in ohio we just raised ours to 6.85.
• United States
4 Dec 06
Yes, Michigan just passed this law this year. I agree it is based on supply and demand, but some companies that have the money(national companies) are raising prices here, because the wage increase is cutting into there pay checks and bonuses. That is the part I do not agree with. supply and demand is a normal part of selling, price increases because of that is expected.
• United States
5 Dec 06
See who it hurts more then anyonoe is the small businesses because they can't keep up with the higher and higher wages. What it forces them to do is raise there prices on there goods/services where they normally wouldn't because they have these higher salaries to pay. And what kills me in my field that a kid right out of high school can come to my job making mininum wage at 7.15$ an hour and I have a college degree and am making only 1.45$ more then them an hour.
@bhbirdie6 (1769)
• United States
4 Dec 06
There are some serious problems with your statement. Currently the federal minimum wage is $5.15 NOT $6.75. Depending on which state you live in the STATE minimum wage might be higher. Also, the federal minimum wage is NOT going to be raised after the first of the year. Currently there is talk of the federal minimum wage being raised but I doubt that Congress can get it done by the first of the year. Now, you may have been speaking of the particular state that you live in. If so, specify your state instead of saying "here in the USA". Get your facts straight before you try to make a social or political commentary.
• United States
5 Dec 06
Oh please grow up, and dont be so nit picky. I live in the United States, I didn't say the Federal minimum wage if that is what I meant that is what I would have said and if you want to know what state I am in look at the profile and know what?? Doesn't matter raising the minimum is not going to help anyone because the extra money goes out in taxes and the cost of living that we endure here.
@conanyyy (698)
• China
4 Dec 06
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When you raise wages, prices go up too. It's a vicious cycle. I don't think raising the minimum wage is the answer. Getting the cost of living back down makes more sense to me. I keep seeing news report after report about how everyone is struggling financially and are more in debt. I know it has to be even tougher for someone only making minimum wage
• United States
4 Dec 06
I can't believe you copied this response by Melanie652 in #6 in this discussion. You should be ashamed.
@Ambur25 (1007)
• United States
4 Dec 06
"Here in the USA the minimum wage is going to raise again fromm 6.75 to 7.15$ after the first of the year." It's hard to use such a general term when referring to minimum wage. I'm not sure where you're at right now, but minimum wage raises by state. It is only $5.75 where I am. The higher the cost of living is, the higher minimum wage will be. It all depends on where you live. But yes, they do raise it to meet the requirements of the price of other things such as taxes on electricity, food and the price of gas.
• United States
5 Dec 06
See this is true I live in New York State our cost of living is much higher then the southern states where the minimum wage is lower. However nothing here is lowering prices are raising on everything from food, to gas, to utilities. So in the long run the raising of the wage is not giving us more money but tricking us to believing that we are.
@dsunny (999)
• India
4 Dec 06
the new wage raise would help in no way...it will be compensated by rising the prices...
@flowerchilde (12534)
• United States
4 Dec 06
I think so yes.. some are against raising the minimum wage also because it slows down business, especially small business. Some economic politics says to let businesses run.. free enterprise makes for productivity, makes more jobs.. And other economic politics seem to want less jobs and more welfare. I think this is because the more government programs you have, the bigger government keeps getting. Ultimately would you have a society where everyone looks to the government for aid and support? But this cannot work. Because after awhile productivity collapses, and where then is the government to collect the taxes for said aid and support anyway? I'm divided about minimum wage laws.. but think more jobs is almost always the way to go, and less government.