Top Pro & Con Arguments

Pro

Increasing the minimum wage would increase worker productivity and reduce employee turnover.

Increases in wages are associated with increased productivity, according to many economists, including Janet Yellen, PhD, Chair of the Federal Reserve. [30] Alan Manning, DPhil, Professor of Economics at the London School of Economics, stated in 2014: “As the minimum wage rises and work becomes more attractive, labor turnover rates and absenteeism tend to decline.” [31] A 2014 University of California at Berkeley study found “striking evidence that… turnover rates for teens and restaurant workers fall substantially following a minimum wage increase,” declining by about 2% for a 10% increase in the minimum wage. [32] A 2014 survey found that 53% of small business owners believed that “with a higher minimum wage, businesses would benefit from lower employee turnover and increased productivity and customer satisfaction.” [33]

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