Parker: Country Gets It Wrong on the Minimum Wage

CBS News

Elaine Parker of Job Creators Network writes in The Hill about the fallacies perpetuated by those on the left regarding raising the federal minimum wage – especially as it affects employers and entry-level workers:

Democrats are preparing to take control of the U.S. House of Representatives for the first time in nearly a decade. For almost that long, they’ve been promising to raise the federal minimum wage. In 2014, former President Barack Obama proposed a 40-percent increase, from $7.25 per hour to $10.10. The Congressional Budget Office predicted that doing so would erase half a million jobs from the economy as employers would struggle to absorb sharply higher labor costs.

To the muscle-flexing Socialist wing of the incoming Democrat majority, led by Vermont Senator Bernie Sanders and Representative-elect Alexandria Ocasio-Cortez (I-NY), the Obama plan was stingy. Instead, they want to more than double the rate to $15, which they call a “living wage” — the amount of income that would allow low-wage workers to raise their families.

Can employers afford to pay more than twice as much for entry-level labor? The CBO methodology would suggest millions of lost jobs as a result.

You can read the rest of the article here.


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