Question

Write a 1,000-word (maximum) argumentative essay on a controversial topic. Select one of the following topics and present a sound argument either in favor of it or against it. •Offshoring/Outsourcing of jobs •Transgeneder people serving in the military •Abolition of the Electoral College •Affirmative action •Raising of the minimum wage •Term limits for politicians including the following: •Clearly present to topic under consideration •Clearly state your claim (your position regarding the topic) •Identify your reasons in support of your position. Ideally you will enumerate or bullet point these reasons together with any cited references in support of your reasons •Compile a logical conclusion for your argument. Format your paper consistent with APA guidelines

Answer 1

Raising of the minimum wage

The most recent update to the federal minimum wage was in 2009, when it was raised to $7.25 an hour. Currently, 29 states and the District of Columbia have a higher minimum wage than the federal rate.

Since 1938, when the minimum wage was first introduced (at a rate of $0.25 an hour), the federal minimum wage has increased 22 times. The minimum wage is the salary floor, or the lowest possible rate that employers can pay employees.

Though experts do not expect lawmakers to raise this amount in 2017, the Department of Labor has stated that federal contract employees will receive a minimum of $10.20 this year (tipped employees will get $6.80).HOW

DOES THE MINIMUM WAGE AFFECT PEOPLE AT ALL WAGE LEVELS?

Raising the minimum wage creates a ripple effect throughout organizations – with positive and negative effects. For example, if you run a bialy (hole-free bagel) and coffee shop for early-rising lovers of Polish cuisine, an increase in the minimum wage from $7.25 to $10.10 per hour would affect all your workers.

In your hypothetical business, you employ 6 workers:

• 3 bialy-slingers to work the counter and brew fresh pots of coffee
• a bialy baker who brings the best of the old country to the U.S.
• a baker’s assistant to put the holes back in the bagels
• a manager to keep everything running smoothly

Should the Minimum Wage Be Raised?

Opponents believe that increases to the minimum wage will place a burden on employers, especially small companies, resulting in slower growth and decreased levels of employment. Proponents of an increase in the rate say that the minimum wage has not kept up with inflation and that many minimum wage workers are impoverished.

People on both sides of the issue point to economic studies and data to back up their viewpoint.

Many Americans, however, have already made up their minds on the issue: A 2015 CBS/New York Times survey found that 71 percent of Americans favored an increase to the minimum wage to $10.10/hour.

Here is a summary of the pros and cons of raising the minimum wage.

Why the Minimum Wage Should Be Raised

• An increase in the minimum wage raises the standard of living for impoverished workers.
• The minimum wage hasn't kept up with inflation. As a result, the pay of many workers, particularly those with families of three or more people, are now well below the poverty level.
• Studies show graduated increases in the minimum wage have a low impact on unemployment.
• Additional income would be spent by consumers and would ripple through the economy if overall budgets for salary grew under a gradual increase in the minimum wage scenario.
• Increasing the minimum wage could help reduce gender- and race-based income inequality.
• Government expenses for social programs aimed at the poor would potentially be reduced. This might result in slightly lower taxes for other Americans.
• Slightly more revenue for the government would be generated from payroll taxes for social security.

SHOULD THE GOVERNMENT PEG MINIMUM WAGE INCREASES TO INFLATION?

By setting a minimum wage and setting it to increase with inflation, lawmakers would benefit small business owners who (like our hypothetical bialy-slingers) employ many employees at and near the minimum wage. These employers, who create almost 50% of U.S. private-sector jobs, would know to expect a small yearly increase in the minimum wage – and plan accordingly.

Instead of putting off the minimum wage issue until workers fall further and further behind and need large wage increases (a political “football”), the country would benefit from pegging the minimum wage to inflation and getting on with business. Neither employers nor employees would experience periods of feast and famine. This action would stabilize the long-term economy and encourage entrepreneurial investment.

Needless to say, smart businesspeople should stay abreast of the ever-important minimum wage issue. Track your work-hours, calculate billable hours, create comprehensive reports, and plan for periodical mandatory wage increases. The nation’s political and financial landscape will only continue to change!

PRO'S of raising minimum wages:

• An increase in the minimum wage raises the standard of living for impoverished workers.
• The minimum wage hasn't kept up with inflation. As a result, the pay of many workers, particularly those with families of three or more people, are now well below the poverty level.
• Studies show graduated increases in the minimum wage have a low impact on unemployment.
• Additional income would be spent by consumers and would ripple through the economy if overall budgets for salary grew under a gradual increase in the minimum wage scenario.
• Increasing the minimum wage could help reduce gender- and race-based income inequality.
• Government expenses for social programs aimed at the poor would potentially be reduced. This might result in slightly lower taxes for other Americans.
• Slightly more revenue for the government would be generated from payroll taxes for social security.

CON'S of raising minimum wages:

• In companies with a fixed compensation budget, an increase to the minimum wage could result in layoffs or slower hiring.
• Employers might hire fewer workers in the entry-level jobs needed to begin a career.
• An increase to the minimum wage would provide an incentive for employers to invest in automated processes, technology, and machinery to increase productivity rather than human resources.

• Raises the incentive for companies to outsource labor to countries where minimum wage rates are lower.
• A higher minimum wage could result in an increase of the high school dropout rate.
• Prices might be increased to offset higher labor costs.
• For small companies, already stressed owner/operators might take on more responsibility.
• Wages for higher paid workers might be suppressed, and salary increases might be lower for those not impacted by a higher minimum wage.

CALCULATING THE EFFECTS OF MINIMUM WAGE INCREASES

Before a minimum wage increase, your counter workers made $7.25 per hour. The baker earned $10, the baker’s assistant got $8, and the manager got $12. Your total wages per hour (ignoring peak times, days off, etc.) equal $41.75:

Counter Staff [7.25 x 3] Bakers [18] + Management [12] = 51.75

With a minimum wage increase to $10.10, your total hourly payout would come to $60.30:

Counter Staff [10.10 x 3] Bakers [20.20] + Management [12] = 62.50

However, this situation would certainly lead to dissatisfaction among your more experienced and skilled workers. Your entire staff makes the same amount – and the baker’s assistant now makes as much as the baker!

To reward your experienced (and loyal) employees, you want to offer a variety of pay levels. Say you raise your baker’s wage to $12 and their assistant’s wage to $11. This puts the baker on par with the manager, so you raise their hourly pay accordingly to $14. Now, your total hourly wage payouts equal $66.30:

Counter Staff [10.10 x 3] Bakers [22] + Management [14] = 66.30

Compared to your previous total wages of 41.75, this is an increase of over 150%! If you’re running tight margins, how can you afford to stay in business? Would you even start such a business, knowing a minimum wage increase could cut deep into your profits?

Your bialy business could survive and thrive by marketing its carb-and-caffeine products to minimum-wage workers on their morning commutes. This segment of the consumer market—flush with cash—could spend more on AM treats, increasing demand for your products.