The data supports that the Fair Labor Standards Act continues to influence workers' wages today, though the real value of the minimum wage has largely declined, showing the need to consider the cost of living when setting wage standards.
- The best conclusion supported by the data in the table showing the historical national minimum wage from 1938 to 2012 is that the Fair Labor Standards Act still affects workers' wages today.
- Despite the nominal increase in the minimum wage over time, after adjusting for inflation, the real value of the minimum wage has declined by more than 30% between 1967 and 2010.
- The period between 2008 and 2010 saw an increase in minimum wage, which prevented a further drop; however, without these increases, the purchasing power of the minimum wage would have declined even more severely over that period.
- The updated minimum wage set in 2009 at $7.25 per hour highlights ongoing efforts to address the living wage concerns, yet workers earning minimum wage often make less than what's needed for a reasonable standard of living,
- The minimum wage serves as a price floor in the labor market, intending to ensure a minimum standard of living for workers.
- It is crucial to understand that while nominal wages have risen, the real purchasing power can diminish if increases do not keep pace with inflation.
- This has been a challenge with the federal minimum wage, suggesting that the impact of the Fair Labor Standards Act on improving workers' living standards may be limited unless minimum wages are adjusted to account for cost of living changes over time.