Most often, businesses are forced to cut jobs, which is why the Congressional Budget Office reports that raising the minimum wage to $15 an hour nationwide would result in 1.4 million lost jobs in a few short years.

The policy would harm younger, less-educated, and otherwise marginalized workers the most—some of the same populations that have been hardest hit by the pandemic.

Wage mandates would also result in exploding costs for essential goods as employers pass new labor costs on through higher prices.

Under a $15 minimum wage, child care costs would rise by thousands of dollars—21% on average, and by more than 30% in 10 states.

Food prices would also increase, including an estimated 38% increase in fast-food prices.

Another unintended consequence is increased automation. Some companies, such as Amazon, have achieved a $15 minimum wage by automating jobs that produce less than $36,000 per year in value (the cost to employers, with taxes, of a $15-per-hour job).

Replacing more workers with self-ordering kiosks, automated customer service systems, and robots won’t produce more good-paying jobs for low-wage workers. //

Job losses of 1.4 million is only a starting point for the Democrats’ proposed tax on workers.

That’s because lawmakers can’t create good jobs or higher incomes simply by mandating them into existence. Opportunities and income growth come from workers achieving the education and experience necessary to help them produce more value.

Cutting off the bottom rungs on the career ladder through a $15 national hourly minimum wage and threatening employers with new taxes on entry-level and low-skilled jobs will do far more harm than good for workers and the American economy.

There are ways, however, that lawmakers can help workers achieve higher incomes without taking away others’ jobs and incomes or taxing employers who provide jobs.

Congress should reduce regulatory burdens on businesses, eliminate unnecessary licensing restrictions for employees, expand nontraditional education options, and keep taxes low on employers and employees alike.