Great topic. As a free-market person, I'll share my perspective. I realize this is a lengthy rant, but it's a topic I'm passionate about:
1 - As a starting point, everyone should understand the historic racist roots of the minimum wage. The minimum wage laws originated as a way to create unemployment among low-skilled minority workers. In other words, low-skilled white workers did not want competition that was willing to work for a lower wage. Minimum wage laws did not begin as a means to lift anyone out of poverty.
https://www.forbes.com/sites/carrie...ivations-behind-minimum-wage/?sh=1fa2b3b811bb
2- Adjusting the minimum wage for inflation is nonsensical, or at least using this as justification for an adjustment to the rate. When the Federal Minimum wage law was enacted in 1938, the minimum wage was 25 cents. Adjusted for inflation that is now $4.64 today. Should we adjust the minimum wage rate down to $4.64? Also, lets keep in mind that it is the Federal Government, or more specifically the Federal Reserve, that creates inflation. So the federal government "prints money", causes inflation which disproportionately impacts prices across a variety of assets and consumer goods, and then asks employers to pay some employees more because of their economic policy? Does anyone else see the problem with this?
3- Only about 2% of employees earning an hourly wage make the minimum wage, over half of which are under 25 years of age.
4-Employers pay based on the productivity that an employee provides. If an employee can only provide $8 an hour in productivity, it's counterproductive to employ them at anything above that. This causes employers within industries that use a lot of low skilled labor to eliminate those jobs through automation, outsourcing, or replacing low skilled jobs with fewer higher-skilled positions. Since consumers (you, me, etc.) seek out low prices, this is the only realistic business decision since increasing prices will make them not as competitive.
5 - If we as a society want to ensure everyone has a minimum standard of living, why is that responsibility placed on employers? I'm in favor of policies that help people that can't support themselves, but if that's something we want to better accomplish, it should be through government programs, not restrictions on employees and employers. Maybe to accomplish that we need to consider expanding the EITC, more social welfare programs (that don't punish employment), UBI, etc. These are all better options than minimum wage.
What is better, being employed at $5 with some government assistance, or being unemployed with lots of government assistance?
6 - A variety of studies show that increases in the minimum wage disproportionately hurt minorities. Why? Because if you are a low-skilled worker that can't provide $15 an hour of productivity, the law deems you unemployable. It is illegal to accept a job that pays you less than the government deems appropriate. That first job is a stepping stone to a better job down the road. Most people making a good salary today started out in a low paying job early in their life. Taking away those opportunities may take away opportunities for some to get their first work exposure and start to climb the ladder.
7- I'm against minimum wage laws entirely, however they definitely shouldn't be enacted at the Federal Level. The cost of living is so different across our country that it just doesn't make sense. Let each state decide. Also, the term "living wage" varies so much between individuals that it can't be used as a target for required minimum wage levels. A "living wage" is very different for a 19 year old with three roommates and a single mom with two children.
In short. There should be no minimum wage at all. It's rooted in racism and disproportionately hurts minorities today. There are a variety of ways to provide a baseline standard of living to all that don't negatively impact levels of employment and ability of the US to compete in a global marketplace. It should be abolished as soon as possible.