Why is Minimum Wage being Raised?

 Why is Minimum Wage being raised? 

Maddy Munoz

You may have noticed that the minimum wage has been raised to around 15$ an hour. As that may become a shock to some there are some important reasons behind why it's being raised. 

The main reasons why the minimum wage is being raised is because it will stimulate consumer spending, help a lot of businesses especially small businesses, and in all grow the economy.  By helping grow the economy it will increase consumer demand which is very important.  According to Labor House“A raise in the minimum wage predominantly benefits low-wage workers, precisely those most likely to put additional income directly back into the economy, kick-starting a virtuous cycle of greater demand for goods and services, job growth, and increased productivity.”  Which now is very important. Because of covid so many businesses had to be completely shut down, and that put a lot of citizens to struggle and had to fend for themselves.  Then that led to more poverty, and a hard time for our economy.  But if the minimum wage was raised to at most 15$ , people who are currently struggling will be able to pay for necessities not only for themselves but their families, and eventually become very successful. More people who get out of poverty will make our economy start boosting and become very successful. 

According to the economic policy institute “Raising the minimum wage to $15 by 2025, as called for in the Raise the Wage Act of 2021, is an important step toward reversing the erosion of the minimum wage’s buying power and—as detailed later in this report—achieving greater racial and gender pay equity, as well as fairer wages for those workers most affected by the COVID-19 pandemic.” 

In all, the minimum wage has been getting raised for many important reasons. To help poverty,  boost the economies growth, help so many businesses, & rebuild our community from the pandemic. In the end minimum being raised is very very important for anyone and it should continue to raise our economy where it should be. 

Works Cited

Cooper, David. "Raising the federal minimum wage to $15 by 2025 would lift the pay of 32 million workers." Economic Policy Institute, 9 Mar. 2021, www.epi.org/publication/raising-the-federal-minimum-wage-to-15-by-2025-would-lift-the-pay-of-32-million-workers/. Accessed 11 Apr. 2021.

N/A. "Minimum Wage being raised." Labor House, N/A, 2 June 2018, edlabor.house.gov/imo/media/doc/FactSheet-RaisingTheMinimumWageIsGoodForWorkers,Businesses,andTheEconomy-FINAL.pdf. Accessed 11 Apr. 2022.