At the federal level I’ve been saying $12 the last few years, but I might be changing my mind and going to $10 now. I’m conflicted.
Each city or state can put a higher minimum wage if it seems necessary. Moreover, our states give us the ability to see how different ideas actually work. If a state or city puts in a higher minimum and it works well, then other states, or even the federal government, can inact the same policies. This is one of the benefits of our system, which give states some autonomy, and they can be like test markets.
I don’t think the minimum has to be a living wage, but I think it needs to feel fair, and working for $8 doesn’t feel fair to me, not for any job. I was having a conversation about minimum wage with my Mexican MIL not too long ago, and I really believe one of the things that has differentiated us from the third world is a minimum wage. She’ll talk about the workers there don’t need more, because where the workers live everything costs less. She almost talks about it like they don’t know any better. It makes me very uncomfortable to hear people talked about in that way.
Some things to consider: where I live they pay very low wages for a lot of jobs. Some are $8 or $9 and change. These jobs include manning a gated entry where cars drive through, working at the front desk at recreation centers, and being greeters at a sales office and information center.
Most jobs here are occupied by seniors who are retired or semi retired and have other income. Some younger adults do the work too, often they are part time workers, mostly moms, who want to get their child into the charter school here. If they work minimum 20 hours in the city limits, their child can go to the school here, and it’s the best in the area. Significantly better, because this region of FL is a low wage area, which affects the quality of the schools.
Sometimes I wonder if it’s fair how people are paid in my city. The low wages combined with tons of volunteerism (I volunteer teaching Zumba) our maintenance fees to live in the community are relatively low. This is especially great for people on low fixed incomes who don’t want to work, or who can’t work.
The one thing I like about a slightly higher minimum wage is employers who want to pay more (I wanted to when I was a business owner) can more easily assuming the market can bear a higher cost of services and goods. My market could easily have paid another $5—$10 for a lot of services, but I had trouble raising my prices more, because of competition. If the other owners had to also pay the minimum wage of $12, then we all would raise our prices a little. I compare it to dentists being forced to wear gloves when the whole HIV thing happened in the 80’s. Just make it a standard practice so everyone has to do it, and the patients won’t wonder why their dentist suddenly started wearing gloves. Level the field and protect both the dentist and the patient.