President Obama and his allies want to raise the federal minimum wage to $10.10 an hour, though this move would hurt many hard-working, experienced employees.
Millions of American workers started at minimum wage, made headway at their jobs and won significant raises, but not all of them have passed $10.10 an hour. If suddenly the minimum wage goes up for everyone, then untried workers, new on the job, would make the same as proven employees who’ve been plugging away for years. Moreover, if entry level workers all get additional pay, then companies will have less money available to provide future raises for everyone.
While companies save money by cutting unessential jobs, or moving workers from full to part time, a minimum wage hike would also make it tougher and slower to progress to higher pay.