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> millions of Americans are hurting from years of rising prices... ...and very little corresponding increase in income. The last time the US minimum wage was r

> millions of Americans are hurting from years of rising prices... ...and very little corresponding increase in income. The last time the US minimum wage was raised was 15 years ago, almost to the day! Spend some time talking to people and you'll discover their actual wages, not inflation-adjusted wages, but actual wages, haven't appreciated much in the past 15 years. But boy oh boy have prices increased! As have corporate profits! Makes it rather obvious where the money is going, doesn't it?

apsec112 2y ago
Nominal wages have increased, but in 2022 they increased slower than inflation, so people became poorer in real terms: https://www.stlouisfed.org/on-the-economy/2023/feb/nominal-wage-growth-individual-level-2022 https://www.stlouisfed.org/on-the-economy/2023/feb/nominal-w... The number of people making federal minimum wage is tiny, around 0.1% of all workers: https://www.bls.gov/opub/reports/minimum-wage/2023/home.htm https://www.bls.gov/opub/reports/minimum-wage/2023/home.htm
- taylodl 2y ago
  Nominal wages have been increasing slower than inflation for quite some time. 2022 just made it obvious to everybody what's been going on for some time since the inflation was higher.
- AlexandrB 2y ago
  > The number of people making federal minimum wage is tiny, around 0.1% of all workers: This is largely meaningless. My first job in high school paid $6.51/hr. The minimum wage at the time was $6.50/hr. I would not be part of the 0.1% earning minimum wage - but in practice I wouldn't be any better off than them either. I suspect a lot of employers play this game so they can claim "pays above minimum wage" in their job posting (that's what my employer did).
  - apsec112 2y ago
    In 2014, 1.7% of workers were paid the minimum, and the 10th percentile hourly wage was $8.62, which you could reasonably say was barely more than the minimum. So there were a lot of people making minimum wage or fairly close to it: https://www.epi.org/publication/stagnant-wages-in-2014/ https://www.epi.org/publication/stagnant-wages-in-2014/ However, 10th percentile wages are now $14/hour, which is almost double the minimum: https://www.bls.gov/news.release/pdf/ecec.pdf https://www.bls.gov/news.release/pdf/ecec.pdf and the number of people making exactly minimum wage has shrunk dramatically, from ~1.7% to ~0.1%. So it seems reasonable to say that the number of people making close to minimum wage is now quite small.
    - jgwil2 2y ago
      Would it be fair to say our minimum wage is now so low as to be basically non-existent, in that its effect on the jobs market is negligible? Or is there still some effect of having it there despite the fact that so few jobs actually hit that floor?
ta1243 2y ago
In the UK minimum wage is up 75% since 2014, but median wage is up 50% Given that minimum wage is a leave school asap, don't bother learning anything, then just push a broom round a shop. You used to get 50% more of that by working hard at school, spending years on you career, and getting a median income. Now you get 30% more. Increasing minimum wage just means you're reducing the relative wage of those who set their goals a little higher.
- kwere 2y ago
  it shows that the companies are not competing with each other for talent, one reason is that due to immigration & international learning centers Oxbridge provide a stream of (white collar) skilled workers needing a visa willing to work for lower ball offers

apsec112 2y ago

Nominal wages have increased, but in 2022 they increased slower than inflation, so people became poorer in real terms: https://www.stlouisfed.org/on-the-economy/2023/feb/nominal-wage-growth-individual-level-2022 https://www.stlouisfed.org/on-the-economy/2023/feb/nominal-w... The number of people making federal minimum wage is tiny, around 0.1% of all workers: https://www.bls.gov/opub/reports/minimum-wage/2023/home.htm https://www.bls.gov/opub/reports/minimum-wage/2023/home.htm

taylodl 2y ago
Nominal wages have been increasing slower than inflation for quite some time. 2022 just made it obvious to everybody what's been going on for some time since the inflation was higher.
AlexandrB 2y ago
> The number of people making federal minimum wage is tiny, around 0.1% of all workers: This is largely meaningless. My first job in high school paid $6.51/hr. The minimum wage at the time was $6.50/hr. I would not be part of the 0.1% earning minimum wage - but in practice I wouldn't be any better off than them either. I suspect a lot of employers play this game so they can claim "pays above minimum wage" in their job posting (that's what my employer did).
- apsec112 2y ago
  In 2014, 1.7% of workers were paid the minimum, and the 10th percentile hourly wage was $8.62, which you could reasonably say was barely more than the minimum. So there were a lot of people making minimum wage or fairly close to it: https://www.epi.org/publication/stagnant-wages-in-2014/ https://www.epi.org/publication/stagnant-wages-in-2014/ However, 10th percentile wages are now $14/hour, which is almost double the minimum: https://www.bls.gov/news.release/pdf/ecec.pdf https://www.bls.gov/news.release/pdf/ecec.pdf and the number of people making exactly minimum wage has shrunk dramatically, from ~1.7% to ~0.1%. So it seems reasonable to say that the number of people making close to minimum wage is now quite small.
  - jgwil2 2y ago
    Would it be fair to say our minimum wage is now so low as to be basically non-existent, in that its effect on the jobs market is negligible? Or is there still some effect of having it there despite the fact that so few jobs actually hit that floor?

ta1243 2y ago

In the UK minimum wage is up 75% since 2014, but median wage is up 50% Given that minimum wage is a leave school asap, don't bother learning anything, then just push a broom round a shop. You used to get 50% more of that by working hard at school, spending years on you career, and getting a median income. Now you get 30% more. Increasing minimum wage just means you're reducing the relative wage of those who set their goals a little higher.

kwere 2y ago
it shows that the companies are not competing with each other for talent, one reason is that due to immigration & international learning centers Oxbridge provide a stream of (white collar) skilled workers needing a visa willing to work for lower ball offers