An article posted on September 22, 2014 in The Daily Texan explains the possible drawback on increasing the minimum wage. The article written by David Davis, Jr. suggests that simply increasing the minimum wage will not resolve the poverty problem but that it may in fact increase the problem.
His thoughts are that if you increase the minimum wage then you are decreasing the amount of profit the company will be making which will lead to less employment overtime. He believes that the right way to go about this is to attract more companies to Texas which will then increase the demand for employment and increase minimum wage that way.
The article is beneficial because I believe the vast majority of low-income workers will vote yes to minimum wage increase and this article explains that by doing so it can potentially hurt low-income workers long-term by leaving them unemployed.
His thoughts are that if you increase the minimum wage then you are decreasing the amount of profit the company will be making which will lead to less employment overtime. He believes that the right way to go about this is to attract more companies to Texas which will then increase the demand for employment and increase minimum wage that way.
The article is beneficial because I believe the vast majority of low-income workers will vote yes to minimum wage increase and this article explains that by doing so it can potentially hurt low-income workers long-term by leaving them unemployed.
