Southern Dad, I did not decribe you as ignorant. I don't suppose you contend the federal minimum wage rate has only affected the wage rates of those earning the precise $7.25 per hour rate. Was my supposition incorrect? Respectfully, Supposn
You start off the conversation with an insult to those that might disagree with you. I clearly understand that minimum wage increases will increase far more people than those making minimum wage. Ever wonder why unions push so hard for minimum wage increases? Think about it, there aren't too many union employees making minimum wage. The reason is simple, many union contracts require an "in kind" increase to the wage table in the contracts if the federal or state minimum wage increases. What's an "in kind" increase? That's open for interpretation.
When I was in Rhode Island working in management, the union argued that it was an increase that matched the percentage the state minimum wage had been increased. The company was arguing that it was an increase by the monetary amount. In the end it didn't matter. Not long after that dispute, which was never settled, the property was sold. The new company closed the production facility, moving that production to another facility, eliminating those jobs, in question.
Federal minimum wage should not exist. The federal government should not have its hands in everything. Let the states, counties, and localities work this out. At a minimum, leave the federal minimum wage where it is. It has become irrelevant, any way. Let states, counties, or localities continue to pass minimum wage increases. Let the market dictate the fair wage. Why did Walmart raise its starting wage to $11 per hour? They didn't do it because of laws passed. They did it because it was necessary to attract and keep better candidates. Which is exactly how it is supposed to work.
Raising the minimum wage does not hurt companies like Walmart. They like it. Raising minimum wage kills the smaller companies with which Walmart competes. Lastly, the other issue that arises when labor expenses increase, is that companies look towards automation, offshoring, or outsourcing. It's not that they aren't always looking at those options, it is that the ROI starts looking better when the labor expenses increase.