More isn't always Better.. Why Minimum Wage Increase could be Harmful

More isn't always Better...Why Minimum Wage Increase could be Harmful 

There is a push for the minimum wage rates in New Jersey to increase up to $15 which could jeopardize health care agencies in New Jersey.  A bill backed by Senator Stephan M. Sweeny could be a good or bad thing depending on who is on the receiving end.  The smaller  Home Health Aide agencies are concerned because such assistance in New Jersey will make it more difficult for them to hire.  The low wages, unfunded regulations, and declining reimbursement rates create trouble for some agencies to the point that they might fold or merge with larger companies.  In a nutshell, this would mean less jobs and higher unemployment rates.

Certified Home Health Aide agencies pay between $8 an hour and $10 hour.   The more experienced Home Health caretakers tend to earn between $13.50 and  $17.00.   While the minimum wage increase helps current Home Health Aides in their profession, it creates less available positions in the long run.  Agencies agree that the lower end of the pay scale is too low to attract good employees, but at the same time they cannot afford to raise salaries due to the restrictions and regulations.

With the new bill passed and a lack of home healthcare services, the effects will create problems.  Certified Home Health Aides and their patients will see more patients in nursing homes because agencies are unable to afford them.  The long term effect of more patients in nursing homes will result in a shortage of beds and devastating to those reliant on their caretakers.

“It is sad really.  I got into health care because I like helping people.  The minimum wage helps the few, but harms the many.  Some of us might not be guaranteed a job if that happens.  It concerns me,” a local nursing assistant named Cortez commented on the news after she witnessed the cheering on television. 

“More isn't always better,” Cortez followed sincerely.