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Reevaluating the Benefits of Minimum Wage

Their feelings were that if you paid a minimum wage, en employer would not have to spend as much time providing direction and training for a more qualified worker. Low wages simply resulted in employers having cheap standards, which would produce inefficient employees. Without a minimum wage, workers could not be as productive because they would not be making enough money to properly maintain themselves properly. Employees that were able to maintain themselves would be better workers and much more productive.
             Today the arguments over minimum wage center on technical questions about unemployment and the benefits of this law. Back in 1938, when the minimum wage law was first enacted, the question was primarily over the appropriateness of government interference between an employee and the employer. The controversy continues as today the minimum wage is generally viewed as an economic policy issue, then it was a constitutional issue.
             The Fair Labor Standards Act sets minimum wage, overtime pay, record keeping and child labor standards for employment. Unless exempt, covered employees must be paid at least the minimum wage and not less than one and one half times their regular rates of pay for overtime hours worked. .
             The Wage and Hour Division insures that the public is aware of the minimum wage requirements through education. Employers must display an official poster in a common area, outlining the provisions of the Act. In addition, there are several national and state web sites that provide up-to-date information regarding all aspects of the minimum wage.
             Every employer must keep certain records for each non-exempt worker. This documentation must include at a minimum identifying information about the employee and data about their hours worked and wages earned. These records must be retained for at least three years and must be available for inspection by the Division's representatives.


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