The Regulation Of Minimum Wage - 1055 Words

The Regulation of Minimum Wage In today’s society, people face to many serious issues which affect the society both in a positive and negative ways such as increasing the employment rate and increasing the unemployment rate. The increasing of the unemployment rate is caused by some reasons, and one of the problems that causes the high unemployment rate is the issue of the minimum wage. Depending on the states in the U.S., the price of minimum wage is different, but the low minimum wage may cause the economic condition worse unless the government changes the amount of minimum wage. Minimum wage is the lowest wage that an employer is allowed to pay. This wage is regulated by the law, so all workers must follow this rule. According to the book, â€Å"Minimum Wages†, the author Neumark, David states, â€Å"In 1938, the U.S. Congress passed a federal minimum wage as part of the Fair Labor Standard Act† (Neumark 1). Since that time, the minimum wage has been regulated and controlled by the law. This minimum wage causes a bad effect on the economy because nobody wants to work with a low wage. Therefore, the number of people who quit a job has been increasing, and because of this, the unemployment rate is going to be higher. This issue may cause a big impact on our society and economy in the near future. First of all, if the number of workers quit a job because of the minimum wage, the company will lose workers. Also, a worker who quit a job will lose a job and do not want to start workingShow MoreRelatedMinimum Wage Regulations Strike At The Very Heart Of The Free Enterprise System1526 Words   |  7 PagesAs a form of price control, minimum wage legislations strike at the very heart of the free enterprise system. 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