McDonald’s is the number one paying minimum wage Company in America. The minimum wage was created in 1938 as part of the fair labor standards Act (FLSA) it was .25 cent back then, then it was raised to $7.25 by July 2009. When people think of minimum wage they only think about teenagers working summer jobs or just for pocket money but in reality everybody from every age is getting minimum wage no matter how many kids you have or how many bills you have. People struggle every day to pay their bills and to put food on the table because they don’t get paid enough. My friend works at McDonalds for 2 years and now he makes $8.00 he says ‘’ I barely get by the week and I usually still have to ask my parents for extra money f... ... middle of paper ... ...people lose their jobs then they are doing something good for them and their kids after them.
Fast Food is the blame for obesity “Why are Americans so fat?” Almost 36 percent of men and women are obese. Not just overweight or fat, but OBESE. That percentage is about to increase within a couple of years, because fast-food establishments are popping up on every corner. The amount if calories in a simple burger is crazy. Americans should blame fast food restaurants because they have cheaper food prices, larger proportion sizes, and it is more convenient.
Much of the food industry is helped by newly immigrated or undocumented workers, many of which make minimum wage or less. Also, students without their degrees yet may sometimes be in the workforce at minimum wage in order to help pay for school. On the employer’s side, small businesses would be greatly impacted immediately. A restaurant run by an individual might see costs labor costs alone go up 3.5% if minimum wage were to be increased by just a quarter. Taking money out of that restaurant owners pocket might cause him to lay-off workers which would increase the unemployment rate.
Raising the minimum wage means the higher labor costs for business and it becomes less affordable than before, which push business owners to take actions. Although there are two basic ways to maintain profits, which are firing workers and increasing the selling price, more business owners, in the short term, prefer
The current wage of a fast food restaraunt - such as McDonalds - is $7.25 an hour(Kim 1). If the wage is just as cheap as a BIg mac, how could you keep the wage high but the prices low. When it cost a company more to pay the employee than they can get from a paying customer, the price of the item being bought has to go up or they have to get rid of the high cost. WHich would be the associate. Which then brings us right back around to unemployment rate.
Hardly ever do you hear about the costs of bearing the franchised uniform. Perhaps the largest threat to any employee behind the counter of a fast food restaurant is the paycheck. Thousands of workers struggle to survive on their minimal pay. According to an article composed by professor Lawrence Wittner, if congress had kept the minimum wage in line with inflation as stated under the Fair Labor Act of 1930, the current US minimum should be $10.74. Instead, today employees benefiting minimum wage receive $7.25 an hour, nearly two-thirds what it ought to be.
Imagine the challenges and obstacles individuals face when they only receive $7.25 an hour to help support themselves and their families. Raising minimum wage could potentially have positive effects on individuals and businesses, but it could also have a negative effect on employment and production costs. Many people argue over the effects of raising minimum wage and how it will affect individuals and most importantly businesses. Many individuals consider raising minimum wage could potentially affect unemployment and how it will increase the prices of production. Others argue that increasing minimum wage is a good idea because it will help many individuals financially and help our economy grow.
In many cases, un-skilled workers would receive less hours to so that the employers could accommodate the increase in wage costs. This would actually have the opposite effect on low-skilled workers and would in fact increase the poverty rate. There are many other things that can be done to fight poverty. For example, raising the Earned Income Tax Credit amount would do far more for fighting poverty than haphazardly raising the minimum wage. Another argument for raising the minimum wage is that it would provide a “living wage”.
The American life has been transformed by the fast food industry not just changing the American diet but also the culture, workplace, economy, and the landscape. “Today about half of the money used to buy food is spent at restaurants-mainly fast food restaurants.” (Schlosser) This could be due to the fact that about two-thirds of working women are mothers. The impact of fast food on the American culture is transparent when just looking at McDonald’s. McDonald’s has become the world’s most famous brand; the golden arches are more known than the Christian cross. “A survey of American schoolchildren found that 96 percent could identify Ronald McDonald.” (Schlosser) McDonald’s is responsible for 90 percent of new jobs in The United States.
In 1938, minimum wage was created for the purpose of preventing slavery and making businesses pay overtime for employees; today people think this wage is made for supporting lifestyles when its really a entry level wage. One of the biggest issues in todays world seems to be money, and while the economy seems to be doing well on the surface people are still pushing to get minimum wage increased as a solution to poverty. However, it’s not all; it would do is put people into poverty. By increasing the minimum wage, the loss of jobs would increase as well. When the wages for employees goes up that means more money from profits have to go towards the employee.