What Will Raising Minimum Wage Actually Do?

If minimum wage is raised from $7.25 to $15.00 an hour, then what?  Seattle, Washington is apparently the trend setter in this notion, and the increase is slated to take place over the next three years.  Right now, according to this website, the current minimum wage in Seattle is $11.00 an hour.  While the wages increase annually toward $15.00, what will the cost of living do?  If we can learn anything from history at all, the cost of living will probably increase right along with or just ahead of the wage increase.  The wealth war between minimum wage and the elite will not be resolved by increasing minimum wage.

A part time job, even a full time job making $15.00 an hour will not close the wealth gap.  What it will do, however; is decrease the buying power of all those currently making between $10 and $30 an hour.  Even if minimum wage is doubled, we have to consider the fact that the earnings of most positions presently above minimum wage, will not be doubled.  This will negatively impact most of what's left of the Middle Class, as the pay scale for most nonfarm employment falls between $10 and $30 an hour.

It's time to wrap our mind around a simple fact.  Those earning the lowest income are always going to struggle, economically.  If minimum wage is raised to $50.00 an hour, the cost of bare basics will be commensurate with that figure.  There is no one who will be impacted positively by doubling the minimum wage.  What happens to those who are now earning less than $15.00 and hour but more than minimum wage?  Did you know beginning salary in some areas for firefighters is $11.00 an hour?  How will cities, which are already on the brink of bankruptcy, double their salary?  Surely no one believes a firefighter should be paid less than those flipping burgers.  Pharmacy Technicians earn an average of $11.86 an hour, which is an annual salary under $25,000.  Forty hours a week at $15.00 an hour amounts to $31,200.

 We also have to consider the number of people on fixed incomes and how that would compare to a doubled minimum wage.  There are also many state and health workers who are not earning $15.00 an hour.  Patient Care Technicians average about the same as Pharmacy technicians and we need to face facts, health care is huge in this country.  There are a number of people making less than $15.00 an hour taking care of people on fixed incomes that are nowhere near $30,000 a year.  

The entire concept of entry level positions and counter help making $15.00 an hour is simply ludicrous.  The economy would be shifted off center, with no stabilizing foundation.  The two things it would accomplish, is the absolute final destruction of the Middle Class, and fully impoverish those dependent upon government provision.  

Impoverished Indulgence and Entitlement

The Other 1 Percent seems to have more areas of agreement than most other "groups."  It's not that we agree on everything, but we agree on a number of basics and that's enough to not focus on the differing details.  Also, there's the fact that the Other 1 percent is busy and doesn't really have a great deal of free time to play the blame game.  We know the system of perpetual motion can't self start or self-recover.  We already know that, as well as realizing money is like water, in that, it will seek it's own level . . .

As some are just sure raising the minimum wage to $15.00 an hour will repair this broken economy, others are flying to the other extreme, just sure it will collapse the economy.  The economy is already collapsing under the printing presses.  Increased minimum wage will only reduce the buying power of what's left of the Middle Class.  I've been in ministry long enough to hear folks' various economic struggles and it's really not about the income, it's about management and priorities.  Scripture says we are to be faithful in the little things and we'll be given much.  I know for a fact and have shared with others, G-d will not give us more of what we already cannot handle . . . and that includes money!

Consider this, in regard to raising the minimum wage.  There are already people making between $14.00 and 18.00 an hour that still can't make ends meet.  There were people making that wage back when minimum wage was $5 something and they were still going upside down in cars and houses.  And that is not about distribution of wealth, that's simply a choice of lifestyle.  If there were to be a redistribution of wealth, within a matter of months, the wealthy would once again be holding the majority of the money and the people now crying for redistribution would once again have empty pockets.  When someone chooses to live beyond their means, they are going to be behind, all the time, with an excuse every time; regardless of how much they make.  We've all read about real estate moguls and millionaires filing bankruptcy.  It's possible to live beyond one's means on every level of income, and it is also possible to live within one's means on even low income levels, as long as one is willing to work and prioritize responsibly.  

I remember my days of being poor, and that's certainly not to say I'm wealthy now, but my days of not being able to make ends meet was a clear case of not being right with G-d and not being responsible with my income.  I wasn't a partier, I just simply lived with poor priorities and kept company with folks who did the same.  Americans make choices, then try to create an image of success or victimhood, but the choices are made. Many simply choose other priorities and indulgences knowing, yes knowing, someone will provide their basic needs.  There's no reason on earth, someone making $12.00 an hour cannot afford their own groceries, but there are many.  If the family is large, then assistance is available on that income, but management is still the key that makes the difference between independence and need.

Whether it's SNAP cards, automatic deposit, food pantries and community services, taking the shame out of begging has created an atmosphere of impoverished indulgence and entitlement.