The Inside Job

Minimum Wage Deals a Blow to Teen Training

By Liz Wolgemuth

Posted: July 24, 2008

The federal minimum wage rose 70 cents today to $6.55 an hour. It will rise again next year to $7.25. The move has its fair share of detractors who argue against government price-setting.

Business owners who pay minimum wage to train teenagers in their first jobs often find the increases frustrating, as it makes the training more expensive, and the teenagers aren't bearing major financial burdens.

I started working as soon as I could—in an independently owned coffee shop—and worked in the same spot for all of high school. I was as green as it gets, and I got minimum wage. I had to learn how to operate a register, prepare food, sanitize a floor, unclog a toilet, record sales at close of business, and how to respond to customers. I learned what happened when a drawer was short, when the cafe wasn't cleaned properly at night. My boss wasn't in the shop all the time, but when he was, he was training. Even after I'd been there a year, he'd quiz me on how to pull the perfect shot or how to steam skim milk properly (the lack of fat makes it tricky to build decent foam).

There are, obviously, major benefits to increasing the pay of 13 million or so workers. A downside, however, is that employers may be less able to hire and train those very green teens.

Higher minimum wage for youth

I have been thinking about this problem recently, and I think that it would be in favor of the United States of America That we provide a minimum tuition fund from businesses as well, say one dollar an hour, it would add a new dynamic to the youth financial market, and it would effectively increase the wealth of our nation if we were to provide funding to "financial education" programs in public schools.

Yes, I know this might temporarily hurt our trade and business, but we shall soon after have the benefits of an educated America.

Nick Girard of CA @ Oct 22, 2008 22:59:54 PM

I'm of a very mixed mind on this. On the one hand, I think that if people are willing to work for less, isn't it better to allow it than to make the employers not want to spend the money? On the other hand, that leads to exploitation, when a class of workers winds up only being offered sub-poverty wages. It's a tough question.

I worked at McDonald's from when I was 15 to when I went off to college, at a time when the minimum wage was $1.60/hr. I did get raises, though, since I outlasted many other folks by quite a bit (many of my co-workers left after just two or three months, and two weeks wasn't unheard of). I learned a lot, mostly about work ethic (and, well, that THAT wasn't what I wanted to spend the rest of my life doing).

Maybe there should be two levels of minimum wage, with a lower one for young people who are getting training to be part of the work force, but who are primarily students. I can see exploitation there, too, but perhaps child labour laws would fend that off.

Barry Leiba of NY @ Jul 24, 2008 16:08:25 PM

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You're taking a break from your job-hunting and job-hopping ways and have decided to stay put in your current position. Liz Wolgemuth’s careers blog will show you how to make the very best of your job, each day.

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