Raising the minimum wage has been a raging debate over the past few years. With the ratio of CEO income to minimum wage income at the highest point ever, many people feel the time has long passed to curb this statistic.
As of January 1st, 2015, the minimum wage has gone up in 21 states. This raises the minimum wage higher than the federal pay floor in over half of the nation’s states. The move has long been supported by unions, low waged workers and many who feel anyone who works 40 hours a week should make enough money to support their family.
This does raise wages for 2.4 million workers by about $1 to an average of $8 per hour with a high of $9.15, according to the Economic Policy Institute. Currently, the federal minimum wage is $7.25/hr.
This is a great move for the economy overall because we know those in the minimum wage brackets tend to spend all of their income to survive. Thus, an additional $1.5 billion will be pumped into the economy as a result of this decision to raise the bar.
What do you think of this decision and should the minimum wage be higher than this $8/hr average?
PUBLIC NOTE: The opinions expressed in this article are the author's own and do not reflect the view of the Urban Intellectuals, affiliates or partners.