By Erik T.X. Squire

In Mr. Obama’s State of the Union speech he said he would raise the minimum wage to $10.10 through the power of executive order. As the POTUS said “America does not stand still and neither will I.” The executive order will only affect federal contractors. However, Mr. Obama also encouraged the passing of legislation in support of raising federal minimum wage to $10.10 (up from its current $7.25).

Is that one of the President’s big ideas to combat income inequality? Is that the best he can come up with? To some, the President’s efforts might have seemed heroic. However, all it was, was manipulation. The economy will hardly be impacted by this legislation. If it is impacted, it might not even be a positive one. Take a look at some of the facts:

Statistics show that in 2012 only 4.7 of 75.3 million hourly workers were making minimum wage or lower. With over 40% of the 4.7% aged 16-19.

The bill, if passed, would affect no more than 23% of the 75.3 million working Americans, not counting those who don’t work for hourly wages i.e., salary workers. That number includes a vast amount of workers who’s wages are largely supplemented by tips. That percentage also reflects those making close to $10.10 (i.e., $9.75 or even $10.00).

Here’s an example of the effects of minimum wage changes, reported by the Quad-City Times: “Illinois has an 8.6 percent unemployment rate. Iowa has $1 lower wage with 4.2 percent unemployment and higher average wages per worker.”

Raising minimum wage doesn’t guarantee income equality. Likewise, having a low minimum wage doesn’t mean that an employer won’t pay its workers $10.10 or even $10.50 for that matter.

Most people start off at a low paying job, and then they work hard and educate themselves. When they’ve gained experience and a good work ethic, they get paid competitive wages for competitive work. That’s how a free market works. Someone acts responsible and hardworking; then the employer pays them a higher wage. They fork out the extra money rather than risk the valued employee offering their talents elsewhere.

Mr. Obama is not stupid (at least America hopes he isn’t), so why is he giving the public some lame ploy to help end income equality? Answer: He wants approval ratings. What better way to capture the public’s approval than to tell them what he thinks they want?

A high school teacher once told a story about his school’s class presidential election. He said “one of my students got up on a stage to make a speech to the student body. The student threw candy into the audience and said that if he were to become class president, then he would make sure that root beer was served in the cafeteria all year long!”  Sound sort of familiar?

However Mr. Obama is unaware that he didn’t give his audience enough credit. Not everyone is so easily swayed, or fooled by a sweet talking politician. There are those that will think critically before jumping on board with any given idea. Students of SMCC; let us be those people.

Sources for this column include: The New York Times: In State of the Union Address, Obama Vows to Act Alone on the Economy. By: Peter Baker. And the Bureau of Labour Statistics: Minimum wage workers account for 4.7 percent of hourly paid workers in 2012.