Monday, October 15, 2012

The Need For Minimum Wage Increase In Different US State


Many people are confused with the minimum wage and the basic income. According to Wikipedia, minimum wage is the lowest hourly, daily or monthly salary that employers pay to workers. In the same way, it is the lowest pay that workers can expect in which they can sell their services or labor. On the other hand, a basic income or some people call it negative income tax is a system of social security that from time to time provides each citizen with a sum of money that is sufficient to live on. Thus, it is important to know the minimum wage before you accept any job offer.

Minimum Wage Controversy

There are many controversies and debate on going about the minimum wage increase in different US state. According to idebate.org, the argument over the existence of a minimum wage and whether it should be increased at various times has been around in America since the 30s. In 1938, the US minimum wage was established after being first passed in 1933. It was then ruled unconstitutional by the Supreme Court. 

Historically, the minimum wage has been raised several times. Every time, it is raised or someone proposed it to be raised, it encounters controversies and a similar debate like the one present in America between 2006 and 2007. Records show that the year 2006 is the longest in history without an increase. Many argued that an increase has been due. Several proposals were made that year to increase the minimum wage. The debate also brought out several issues including the net effect on workers, employers, and the overall economy.

Minimum Wage Hike In 2013

It is important to know that the minimum wage differ in each state. In Colorado, the current minimum wage is $7.64/hr.  In Washington, it is $9.04/hr. Complianceposter.com, posted a recent report showing a list of states that will adjust their minimum wage rates in the coming year. In Colorado, the proposed wage is $7.78/hr, while in Washington, it will be $9.19. The website also mentioned that every year there are about ten states that adjust their minimum wage rates for an increase in the cost of living. The increase in minimum wage is based on the Consumer Price Index (CPI) which ascended to 1.7% since August of 2011.  Other states that are expected to increase their minimum wage next year are Montana, Ohio and Oregon. This is such a good news to job seekers especially to the head of the family or bread winner. With minimum wage increase, they are more likely to buy their needs and have enough money for other things. This will also guarantee a higher income to those homeowners who are still paying rents and other bills.

Compliance posters are updated regularly so that both employees and employers can view the current statutes and regulations enforced by the U.S. Department of Labor. DOL often provides electronic and printed copies of these required posters free of charge. Employers affected by the minimum wage hike are required to post the updated Minimum Wage posting for 2013.


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