Photo By: Senator2029/Wikimedia Commons
Wal-Mart has been criticized by labor advocates for it’s low compensation rates. But, starting in April, hundreds of thousands of Wal-Mart employees will receive a pay raise – $1.25 higher than the federal minimum wage. Wal-Mart announced that its employees will earn $9 an hour rather than the lower $7.25, and will go up to $10 by next year. Wal-Mart is not alone in this action, as other companies are starting to follow suit.
This raises many questions, the most frequent one being “What does this mean for our economy?” You can read more about Wal-Mart’s decision to raise it’s minimum wage and the possible effects it may have, in last week’s Do Now entitled Should Companies Like Wal-Mart Raise Wages?
KQED asked students: Should more big retail companies like Wal-Mart raise wages for their lowest paid employees? How might the increase in wages affect workers and/or the economy? What are the possible pros and cons of doing so?
There are many different opinions concerning attempt to raise minimum wage. On one hand, raising minimum wage would make many people’s income more, well, liveable. On the other hand, skeptics are retorting that it may lead to an increased competition in the workforce and even worse – inflation.
Many students believe that even though raising minimum wage may seem like a quick-fix, it will have negative effects on the economy and lead to inflation and/or unemployment.
@KQEDedspace #DoNowWages @MrKellyIII #MinaretsEG5 to a certain extent it’s good, too much can have a negative impact! pic.twitter.com/D3dreOaPAL
— Shelby Mikkelsen (@ShelbyMik) March 6, 2015
Increasing pay=competition for workers=all wages raising=inflation @KQEDedspace #DoNowWages @MrKellyIII #MinaretsAPEG pic.twitter.com/0gcjMYyHin — Cierra (@SeriouslyCierra) March 6, 2015
@KQEDedspace Raising minimum wage doesn’t just hinder, it makes poverty and unemployment worse #donowwages #boydbence pic.twitter.com/UyAIid6KRO
— Trinity Sullivan (@newtechtrinity) March 28, 2014
Other students agree with Wal-Mart’s decision to raise it’s minimum wage because they believe it will help boost the economy.
Economic recovery means a boost in minimum wage can push low-income workers to spend more @KQEDedspace #DoNowWages @MrKellyIII #MinaretsAPEG — Dominique Sidoti (@DomsidSidoti) March 7, 2015
@KQEDedspace @teacherstevew #DoNowWages #MHS615 pic.twitter.com/K0CaxOD3Rz
— Samantha Keel (@SamanthaKeel) March 6, 2015
Many students feel that raising minimum wage would benefit it’s employees, and in turn make living in a crunching economy easier.
@KQEDedspace #DoNowWages @MrKellyIII #MinaretsEG4 We need higher wages because the wages are not even livable! pic.twitter.com/VNtxrMIezI — Jennifer Ellis (@JenniferEllis97) March 5, 2015
@KQEDedspace #DoNowWages @MrKellyIII #MinaretsAPEG Raise minimum wage because the cost of living has gone up. pic.twitter.com/b3K7kF1pZr
— Melina Munton (@MelinaMunton) March 6, 2015
An individual should be able to survive on minimum wage. @KQEDedspace #DoNowWages @MrKellyIII #MinaretsEG4 pic.twitter.com/qyQcrAo6tg — Ealish Ellis (@EalishEllis3) March 5, 2015
Student Hiba Ahmad explained that if the minimum wage is increased, it should be done slowly as to avoid plausible layoffs, increased prices of goods and increased competition in the workforce. She wrote…
@KQEDedspace It should be increased slowly. A sudden rise can cause layoffs,price increase, & competition 2 intensify #mrsrfauhs #DoNowWages
— Hiba Ahmad (@hahmad2014) March 7, 2015
Sam Russell provided a graphic showing who would benefit from a raised minimum wage. He wrote…
@KQEDedspace #donowwages @MrKellyIII #MinaretsEG5 wages should be raised so people can survive in the world pic.twitter.com/yRYWzQLgWi — Sam Russell (@iamssaamm1234) March 10, 2015
Maggy Lee shared that her mother is an employee, and felt that raising the minimum wage would help her family. She wrote…
@KQEDedspace #DoNowWages pic.twitter.com/toVNkXhiXS
— Maggy Lee (@maggylee99) March 9, 2015
Brianna commented her opinion on why she thought that minimum wage should be raised. She wrote…
Cheyenne R felt that other companies should raise minimum wage to compete with Wal-Mart and provided some sources to support her answer. She wrote…
Seth replied in agreement with Cheyenne. He wrote…
Sarah Yankoviak then joined the conversation and commented in agreement with Seth’s statement. She wrote… 
Overall, students have split opinions in regards to large companies raising minimum wages. Some students feel that it will be beneficial to the economy, as well as help out the employees benefiting from the raise. Others believe that it will hurt the economy and ma lead to inflation and competition on the work-force.
