Wage Floor (Noun)
Meaning
Floor below which wages are not allowed to fall.
Classification
Nouns denoting communicative processes and contents.
Examples
- A higher wage floor would benefit low-income workers and stimulate economic growth by increasing their purchasing power.
- The federal government has raised the wage floor several times over the years to account for inflation and maintain a decent standard of living.
- Some argue that a higher wage floor would lead to increased unemployment among low-skilled workers as employers would be unable to afford the higher labor costs.
- Critics of a high wage floor point out that it can have unintended consequences, such as driving up the cost of goods and services for consumers.
- The state has implemented a wage floor of $15 per hour for all employees, including those in the service industry, to help reduce poverty and income inequality.