7 Reasons Why Minimum Wage Harms the Poor

Details About Its Debilitating Effects

Marty K.
We all are in favor of people receiving substantial, fair wages so that they can take care of their families and live adequate lifestyles. Is it really the role of government to force this to happen?

According to polls, around 70 per cent of people believe that it is. I suggest that many have become a bit confused regarding this, but with knowledge of the facts, many might change their views. It is my objective to provide the proper enlightenment.

Reason Why Minimum Wage Harms the Poor #1: Minimum wage interferes with the right of consenting adults to enter into a mutually agreeable, legal contract concerning the lawful activity of work

Whenever rights are eroded or infringed upon, people are harmed and this does not exclude the poor. We cannot assume that the person desiring the condition of the contract is only the employer, and the benefits offered may appeal to the employee greatly. One example will be covered in Reason #2.

Reason Why Minimum Wage Harms the Poor #2: Minimum wage can endanger or destroy apprenticeship programs

A young person (perhaps one who is living at home) might be thrilled at the opportunity to work for a low amount instead of having to pay tuition to go to a trade school. What is wrong with that? "Everything," says the government. Hence, learning by doing becomes outlawed and poor youths are forced to pay to learn how to weld, to do plumbing, construct or to learn other trades. They might have to take out educational loans, adding to their burden.

Reason Why Minimum Wage Harms the Poor #3: Minimum wage laws prevent the formation of new jobs and opportunities and contribute to unemployment

Entry positions are for people starting out, so that they can advance. Why would it benefit poor people to eliminate low paying positions, altogether - those that employers will have to make unavailable because the law forces them to pay what they cannot afford?

Inner city youths deserve opportunities that will be hampered by the minimum wage, since many of the jobs they would fulfill will disappear. Although many first jobs are not glamorous, they are vitally important for setting the stage for success in life. These jobs teach responsibility, team work, customer service, taking care of equipment and honestly. When these circumstances are not prevalent in the lives of youths, they tend to prone to going off in the wrong direction. I find it really ironic that the minimum wage mostly harms the people it is supposed to help.

Reason Why Minimum Wage Harms the Poor #4: Minimum wage will prevent the poor from improving their skills, and will keep them poor

Minimum wage is a liberal or socialist ideal, and it will only keep people dependent upon government, instead of understanding deep from within how to enrich their lives and greatly achieve. Minimum wage is closely aligned with welfare, which has become greatly abused. Low paying jobs should always be available for people on welfare. A low paying job is better than no job, and it will often lead to a higher paying job if the person has a great attitude or seeks to improve his or her level of skill. The attempt of many politicians to take away every form of human discomfort and to make life perfect for everyone is disgraceful.

Reason Why Minimum Wage Harms the Poor #5: Minimum wage will cause the tongue organ to deteriorate

Let's say that you walk into an interview, and the person relates that he will hire you and pay you 50 cents per hour, which will increase to one dollar per hour after 30 days. Now, all of us will agree that this is absurd, but why do some people insist that government should be stepping in? Every person has, or should learn the ability to speak for him or herself according to their right to freedom of speech, with general respect.

Reason Why Minimum Wage Harms the Poor #6: Minimum wage will be most harmful to the small or poorer business owner, or those who would like to become one

To how many people does this apply? I would venture to say millions, including many of the readers of this article. They will not be able to hire basic help, or limit their operations to what they can handle themselves, thereby also eliminating jobs as described in Reason #3.

Small businesses create 75% of new jobs each year, but they also undergo most job losses. This is why we need to be cautious when considering placing cumbersome burdens on these small companies, further endangering jobs at the same time.

Some years ago, a client of mine who owned a restaurant chain admitted to me that minimum wage would not harm him, but rather the "little guy." Since that conversation, I have come to understand why large corporations normally do not speak out against the minimum wage.

Reason Why Minimum Wage Harms the Poor #7: Minimum wage increases will cause inflation and hurt the economy

I recall someone expressing his view that minimum wage would cause "little" harm to the economy. I thought to myself, "This is like being a "little bit" pregnant. Products such as groceries, food in restaurants and many other products will increase to a percentage almost equal to the minimum wage increase in a short amount of time. Inflation will start to rise all around and it will actually surpass what was supposed to be gained by enacting the socialist law. That really nullifies the reason for minimum wage increases, and of course, I am maintaining that we really don't need it, at all.

A few questions come to mind: If minimum wage is so great, then why only have small minimum wage increases? Why not raise it to $15 or $20 an hour? If it is beneficial, then more must be better. Also, why stop with minimum wage? Why not have government-mandated price controls on items that business owners can be allowed to charge? For example, if an owner of a sporting goods store charges more for a baseball glove than the government says is okay, shouldn't he be subject to arrest? These are extreme examples, but they demonstrate how aware people understand that the minimum wage law is really the same thing.

Socialism does not work. It never has and it never will. I respectfully suggest that the Democrats will cause great harm to everyone with their minimum wage increases and agendas such as this in their efforts to gain favor with the people.

Published by Marty K.

Involved in various businesses throughout life, including iron & metal, landscape, sales in companies and freelance, business support services.  View profile

  • Minimum wage interferes with the right of consenting adults to enter into an agreeable contract.
  • Minimum wage can eliminate apprenticeship programs.
  • Minimum wage hurts those it purports to help.
Minimum wage is based upon socialism, which does not work. It is contrary to freedom and it brings about overwhelming, harmful results in people's lives and in the society.

8 Comments

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  • Marty K.12/11/2009

    Justin. I am neither a liar nor naive. Supply and demand will determine what people are paid, and they'll paid what they're worth according to their skill level. That is how our system is supposed to operate, and government's interference will not help matters, to say the least. I suggest that you are the one who is naive if you believe that minimum wage will help either individuals or society as a whole. To the contrary, I maintain that it will do the utmost of harm.

  • Ms. Anthony12/11/2009

    Minimum wage is sad.

  • Justin H9/21/2008


    If you are going to argue for a cause, please use examples that are actually true in the real world. Please name one company that is paying minimum wage for a certain positions that will allow an applicant to "negotiate" a higher pay. It doesn't happen. Also, minimum wage is in place in order to keep the upper-end from acting unethically. It's absurd to think that every single person is entitled to a decent wage, and if the minimum wage was revoked, the non-union employees would get shafted hard. If you tell us that this wouldn't happen, then you are either a liar or very naive. I guess in your next article you will be promoting how great it is for companies to increase their profits by employing illegal aliens for $3.50 an hour.

  • Marty Kogan3/5/2008

    Thanks to everyone for participating, and for your overwheliming support!

  • Alyce Rocco11/15/2007

    Increasing minimum wages will not end poverty. Companies simply downsize and outsource work, which creates more lost jobs. Basically the USA government has conspired to create a monarchy, not a democracy; we are but slaves building pyramids for the kings; only today it is called employer/employee. When people choose to rule citizens, it is their responsiblity to ensure that all citizens basic needs for food, clothing and shelter are taken care of.

  • Alyce Rocco11/15/2007

    The wages employers can pay in California is much lower than what one receives for the same work on the East Coast. No one can live on minimum wage, but it forces employers to pay an acceptable salary for entry level jobs. Without it those jobs would still be paying 65 cents an hour, which is what those positions used to pay. It was raised to 85 cents, to $1.00 and slowly to the level it is today. If the gov keeps raising taxes, then it is their responsiblity to force increases in the minimum wage employers are allowed to pay.

  • Mr. Truth11/13/2007

    Reason #4 should be expanded. Studies show that for every increase in the minimum wage, a percentage of high school graduates chooses NOT to continue their education beyond high school believeing, erroneously, that a little more cash today is more important than the value of education over the long-term. Education and marriage are the surest and most proven means of avoiding or escaping poverty.

  • tasloi11/12/2007

    Most plumbing companies I know can get an apprentice, though I think most applicants would then use rule #5 and argue for a paycheck. Otherwise it's an "unpaid internship". Minimum wage laws are crucial because even with them, someone can work 40 hours a week and still not have enough to support themselves, much less a family. What we need is a "fair living wage" that demands people be adequately paid for their money. Only then will people be able to pull themselves out of poverty. I for one am happy to pay what a restaurant meal should cost if workers were fairly compensated.

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