In the final analysis, an employee’s wage has to be reflective of how productive he is. If a person costs the company $10 an hour (neglecting benefits and other employee mandates) but produces only $9 per hour worth of value for the company, he is useless to the company. In fact he is less than useless. Arbitrary wages that ignore the economic value contributed hurt the economy, not help it.
Basic Economics 101 & 102, which should be a REMEDIAL REQUIREMENT for every politician going to D.C., says that supply and demand are diminished by artificial economic ceilings and floors forced by government fiat. Maximum prices or wages are artificial ceilings. Maximum prices force lower supply of product. Maximum wages force lower demand in the job market.
Minimum prices or minimum wages are artificial floors. Minimum prices force lower demand. Minimum wage lowers supply in the job market because it forces higher costs in wages forcing companies to cut back on their work force. If a company keeps the same number of jobs, then to stay in business, because its costs are higher, the company will either have to 1) raise prices which will lower demand eventually causing layoffs or 2) cut back hours and, therefore, reduce production supply. (The domino effect from there is less supply or higher prices, which, in turn forces less demand, and the downward spiral is on for that company, product, or sector.) So the company will most likely reduce its work force resulting in fewer jobs for entry level workers and possibly in the long term the same domino affects mentioned above.
The lesson is that voluntary cooperation of supply and demand in the free market in jobs and products accurately determines wages and prices.
These things are borne out not only in basic economic theory but in historical fact. It is not rocket science. However, Socialism opposes basic and sound economic theory which is why Socialism sits on the ash heap of historical disaster only to be brought back out and tried again by do-gooders who don't know better and power-lusting demagogues. And although government economic meddling solely cause these economic destabilizers and shortages, the government-media propaganda machine will spew out reams and volumes arguing for more government as the solution because "the free market is too unstable".