Virginia has rejected calls to raise the minimum wage.
Though well intentioned, such laws reject reality. Minimum wage laws should be abolished altogether.
Minimum wage laws should be abolished as they prevent a willing employer and a potential employee from legally entering into a contract for employment at a wage they both agree on. Even a very low skilled employee can be given a chance to acquire new skills and move up the economic ladder when an employee is willing to hire them for an entry level position at a wage they both agree on.
Assuming that such laws are not repealed however, raising the minimum wage will only keep more of the least skilled out all employment.
When Wal-Mart opened three new stores in the District of Columbia recently, it had twenty-three thousand people apply for 800 jobs. Wal-Mart was presumably not paying anywhere near the $10.10 per hour being proposed as necessary to “address income equality.” According to Wal-Mart Senior Vice President Henry Jordan, Wal-Mart did as any rational employer would do and hired only the “best of the best” for the 800 positions. Why would the least skilled of the twenty-three thousand have any chance at all?
Raising the minimum wage would attract an even larger pool of applicants with skill and experience, thus giving those with the least skill even less of a chance of any employment whatsoever.
One more thing: between Wal-Mart and Uncle Joe running the small hardware store down the street, which business is more likely to be able to survive increases in the minimum wage? Minimum wage laws not only kill job opportunity for the least skilled all around, they kill businesses.