The Senate is currently considering differing proposals dealing with the Federal minimum wage, both proposals, one by Sen. Kennedy and one by Sen. Santorum, would raise it. Sen. Kennedy's proposal would raise the rate a full two dollars while Sen. Santorum's would raise it just over a dollar. Both plans would also have the wage raised in increments, the only difference being that Sen. Santorum's plan also includes certain tax breaks for small businesses.
While I favor Sen. Santorum's plan over Sen. Kennedy's, I think both are bad ideas. The economy, and specifically the job market, have been moving forward for well over a year now, and last month's job creation was the highest it's been since around this time last year. Raising the minimum wage would only hamper job creation, for a wage hike would directly affect small business owners. If these owners are forced to pay higher wages to their employees than it will most likely prevent them from hiring new ones, and possibly force them to let go of current ones.
The economy is slowly but surely gaining steam. We are creating jobs and we are growing at paces that outdistance every other industrialized nation in the world. The economic troubles of Germany should be teaching us a lesson. Over regulation there and too much government interference have created an environment where growth is almost nonexistent and unemployment is in double digits. Our government here should leave the economy alone so that it may continue to grow, lest we fall into the same trap as our German and European cousins.
No comments:
Post a Comment