Most minimum-wage jobs are entry level, from which most employees leave after a year, or jobs that require little special knowledge, skills or experience. They are only about 5 percent of the workforce. But the 95 percent of experienced or special workers whose earnings are greater than the minimum wage will most certainly react if the minimum wage is raised. They will say: “I do more for the company and so I deserve to earn more.”
Companies will be in the position of having to pay them proportionately more. Certainly supervisors of minimum-wage employees deserve to be paid more than those they supervise. And so, as the saying goes, “high tide raises all boats” and employers will simply have higher compensation costs for which they must either raise prices or go out of business. Just whom does that help?
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