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Old 01-19-2008, 06:09 AM   #1
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I used to volunteer at an agency for employment and family services. i helped people who were on welfare and had families get jobs. I knew at the time, though it became even clearer as I was there, that minimum wage and living wage are not the same. Thinking about it a little, I realized it wouldn't make much sense to just up minimum wage to living wage because, for instance, when I got my first job I did not need living wage. Like myself at the time, there are probably plenty of teens who still live with and are taken care of by their parents and just want extra cash. So I was trying to think of a little solution, and I thought why not do something along the lines of having a minimum wage of 6 or 7$, as it is now, for people who are claimed to be "dependents" of someone, and a separate living wage of 13 or 14$ as a minimum for independents? I see the problems that would arise out of this, like employers only hiring kids who they don't have to pay as much, but I was just wondering if anyone has any ideas on how something like this might work out better.
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Old 01-19-2008, 07:55 AM   #2
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As you said- it creates a bit of an imbalance. If social security could make up the extra seven or so dollars you might be on to something, though. For the tax-conservative out there it could work, too- as it actively encourages employment unlike a lot of other initiatives.

It`s an intriguing proposition, at least.
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Old 01-19-2008, 09:49 AM   #3
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Quote:
Originally Posted by loki View Post
So I was trying to think of a little solution, and I thought why not do something along the lines of having a minimum wage of 6 or 7$, as it is now, for people who are claimed to be "dependents" of someone, and a separate living wage of 13 or 14$ as a minimum for independents?
Everyone would claim to be independent.
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Old 01-19-2008, 12:14 PM   #4
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First of all, the federal minimum wage is $5.85/hr and will go up to $6.55/hr in July, and up to $7.25 next year.
Some states or localities have higher minimum wage statutes.

The problem is that not everyone needs to earn a living wage.
Take the teenager flipping burgers at McDonalds part time after school. Does that person need to make $14 an hour? Full time, that equates to about $29K/yr.
That's the same as many entry-level jobs for college graduates!

If businesses had to pay every single employee that much, then their prices would go up in return.
Using the McDonalds example, you would expect a Big Mac to cost about $8.00. And say bye-bye to the dollar menu.
Many businesses, particularly small businesses would simply fold, as they would not be able to pay their employees.
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Old 01-19-2008, 04:01 PM   #5
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Employees and employers should negotiate the salary. Unions shouldn't do it for you. And the government especially shouldn't do it for you.

Earning a wage is simply one thing: How much your work is worth to this business. If you get paid more than what you are worth, you are a drain on the business. If you get paid less than your work is worth, you're the one with a drain....

Minimum wage is just a price floor on labor.

Only .25% of our country makes minimum wage. When I worked a minimum wage job, I usually got a raise in under two months. If you can't make more than minimum wage, I really don't know what to tell you.
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Old 01-19-2008, 06:19 PM   #6
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That's the wonderful thing about this country.
If you're not satisfied making minimum wage, you get another job that pays more or take steps to make yourself more valuable to an employer like educating yourself, specialized training, and so forth.

Honestly, though, if you're not willing to put forth the effort to make yourself worth more than minimum wage, then you deserve to be paid minimum wage.
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