Each state in the United States has different minimum wage laws, with some states setting minimum wages that exceed the federal minimum wage, currently set at $7.25. However numerous states still fall short of establishing a minimum wage that can adequately sustain a decent standard of living within their respective regions. The federal minimum wage, as established by The Fair Labor Standards Act of 1938, has undergone periodic updates throughout the years, with the most recent adjustment occurring in 2009, resulting in the current rate we see today.
At the time of writing, the lowest minimum wages are in Wyoming and Georgia, both at $5.15 per hour, which is below the federal minimum wage. This is because these states do not have their own minimum wage laws. The good news is that individuals covered by the Fair Labor Standards Act (FLSA) are obligated to pay their employees at least the federal minimum wage. Since most medium to large employers are subject to the FLSA, their employees receive a minimum of $7.25 per hour, which, while not substantial, is certainly an improvement compared to the $5.15 rate.
The highest minimum wage is not in any state but rather in the nation’s capital, Washington D.C., where it currently stands at $17.00 per hour—nearly $10 more than the federal minimum wage. However, some cities across the states have higher minimum wages than D.C.’s. The state with the current highest is Washington state which currently stands at $15.74.
A CLOSER LOOK
Let’s take a deeper look into the numbers. If an employee earns $7.25 per hour and works 40 hours a week before taxes, their annual income would be approximately $15,080 before taxes are deducted. So, what’s the issue here?
The problem arises when we consider that the average annual expenses for a single-person household is approximately $40,859. This means that an individual living alone would need to secure another job, or possibly even two, in order to cover their living expenses.
POSSIBLE SOLUTIONS?
What potential solutions could address this issue? The easy answer is to raise the minimum wage, but nothing is that easy. Raising the minimum wage is a complex process that often lies beyond the direct control of the average person. Individuals can advocate for raising the minimum wage so that their government representatives at all levels are aware.
According to a study conducted by the Congressional Budget Office, raising the federal minimum wage to $15 per hour could potentially help reduce the number of people living in poverty. However, it’s crucial to acknowledge that not all businesses, particularly small ones, may be able to afford this increase. This could potentially lead to job losses and necessitate price hikes on their products or services in order to offset the rising labor costs.
What about pursuing a “traditional job”? This is another easier said than done solution. While many individuals can attain salaried positions, not everyone has access to these opportunities, and some are limited to hourly wage positions. On top of this, ongoing labor strikes have shed light on the fact that even those in salaried roles may be underpaid, contributing to the reasons behind many strikes. So, seeking a “traditional job” may not necessarily be the most viable solution.
WHAT IS A “REAL JOB” ANYWAY?
What even is a “real job” anyway? Personally, I think, jobs come in all different forms and sizes, each with its own significance. Even small jobs play a crucial part in our daily lives. Consider your coffee shop barista – without them, how would you get your morning coffee on the way to work? Who’s there to fill up your gas tank? Pick up your garbage? These jobs, although different, are all essential in the grand scheme of things.
There is no perfect solution to the minimum wage debate. I do believe there’s a potential solution that can be mutually beneficial for consumers, employees, and businesses alike. It involves implementing minimum wage increases at a more gradual pace, similar to the approach taken by some states like New York. Currently, New York’s minimum wage stands at $14.20, and it is set to increase to $15 on January 1st, with subsequent annual raises determined by the state’s Department of Labor. I believe that if this kind of approach can be successfully implemented at the state level then I think it can be applied on a federal level. In my view, everyone deserves a wage that allows them to meet the cost of living, commonly referred to as a living wage.
What do you think a good solution is? What do you consider a “real job”? What do you think the minimum wage should be?

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