Asked by Cardian Williams on Jul 18, 2024
Verified
What is a drawback of a minimum wage in terms of social policy?
A) It assumes people will take differences in pay into account when they choose a career.
B) It is one and a half times the employee's usual hourly rate.
C) It applies only to the hours worked beyond 40 in one week.
D) It places the employer at an economic disadvantage relative to employers that pay the living wage.
E) It tends to be lower than the earnings required for a full-time worker to rise above the poverty level.
Minimum Wage
The lowest amount that employers may pay under federal or state law, stated as an amount of pay per hour.
Social Policy
Policies and principles aimed at improving the welfare and quality of life for the population, typically in areas such as health, education, and social security.
- Evaluate the obstacles and disapprovals related to compensation strategies like minimum wage acts and policies ensuring pay equity.
Verified Answer
SM
Shakira MorrisJul 22, 2024
Final Answer :
E
Explanation :
The drawback of minimum wage is that it tends to be lower than the earnings required for a full-time worker to rise above the poverty level. This means that even with a minimum wage, many workers are still struggling to make ends meet and may still require additional financial assistance or government support. This undermines the goal of minimum wage as a social policy to ensure that workers are paid a fair and livable wage.
Learning Objectives
- Evaluate the obstacles and disapprovals related to compensation strategies like minimum wage acts and policies ensuring pay equity.