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Mark Cuban's Bold Message For Employers Regarding Minimum Wage

The billionaire entrepreneur argues that paying workers more is the right thing to do.

By Josh Koebert , Edited by Calista Headrick

Updated Aug. 5, 2026

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While state minimums may be higher, the federal hourly minimum wage has remained at $7.25 for many years. For someone working 40 hours a week year-round, that's just $15,080 annually before taxes.

Mark Cuban thinks it's time for a change.

The billionaire entrepreneur and longtime Shark Tank investor recently reiterated his support for raising the federal minimum wage to $20 an hour.

But unlike many advocates who focus primarily on fairness, Cuban argues that paying workers more money is simply good business. He believes better wages can reduce financial stress, improve company performance, and ultimately create stronger businesses while helping more Americans build real wealth.

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Cuban says higher wages benefit everyone

Cuban made his comments while responding to criticism of wealthy entrepreneurs and discussions about income inequality on X.

Rather than embracing slogans like "eat the rich," he argued that successful businesses should share more of their success with employees. He described himself as a believer in "trickle up" economics, saying he wants to put "appreciable assets and higher wages into the hands of people who have to live paycheck to paycheck."

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He believes $20 should be the new standard

Cuban has previously said he believes a $20 federal minimum wage is "smart."

While he acknowledges that startups often have to prioritize survival in their earliest stages, he argues that businesses should pay a living wage once they're established and financially stable.

The current federal minimum hasn't changed since 2009

Although many states and cities have adopted higher minimum wages, the federal minimum wage remains $7.25 per hour.

That rate has not increased in more than 17 years, making it one of the longest periods without a federal increase since the Fair Labor Standards Act established the modern minimum wage.

Presently, 20 states have a minimum wage of $7.25 per hour — or no minimum wage, hence the federal minimum is the state's minimum. Some of these these states will have statutory provisions that allow some workers to be paid a lower minimum wage (ranging from $2 – $5.15 an hour) in certain circumstances, typically for small employers where federal wage laws don't apply.

An experience with his own employees changed his perspective

Cuban says one moment reinforced his views on employee pay.

After learning that hourly concession workers employed at the Dallas Mavericks' arena were relying on government assistance, he said he immediately raised wages for every hourly employee and their managers because he found the situation embarrassing.

Cuban says better pay improves business performance

Cuban's argument isn't based solely on helping workers.

He told Fortune that when employees aren't constantly worried about paying bills, they bring less financial stress into the workplace. He believes that can improve morale, strengthen relationships with customers and vendors, and ultimately help businesses perform better.

He also said that as companies mature, helping employees thrive often improves the owner's own quality of life alongside the company's financial success.

He has shared company success before

Cuban says his philosophy extends beyond wages.

According to Fortune, he shared 20% of the profits when he sold his computer consulting company, MicroSolutions. After the sale of Broadcast.com to Yahoo, he says roughly 300 of the company's 330 employees became millionaires. He has also said he distributed more than $35 million in bonuses to Dallas Mavericks employees in 2024.

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His views differ from many wealth-tax proposals

Cuban doesn't dismiss concerns about income inequality.

Instead, he argues that policies should encourage businesses to create more jobs, raise wages, and help employees build wealth rather than simply punishing successful entrepreneurs.

Cuban has also proposed broader employee ownership through company stock so workers benefit alongside executives and shareholders.

The wage gap remains substantial

Cuban's comments come amid continued debate over executive compensation.

According to Oxfam and the International Trade Union Confederation, CEO pay rose 11% in real terms during 2025, while average worker pay increased just 0.5%. The organizations also found that the average CEO earned $8.4 million in pay and bonuses last year.

The debate isn't likely to end soon

Supporters of higher minimum wages argue they help workers keep up with rising living costs and reduce dependence on government assistance.

Critics often counter that significant wage increases could raise labor costs, contribute to higher prices, or make it more difficult for some businesses to hire workers. Those competing views have helped keep Congress from changing the federal minimum wage for nearly two decades.

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Cuban sees workers as an investment

Throughout his career, Cuban has consistently argued that employees shouldn't simply be viewed as a business expense.

Instead, he believes they're an investment. Paying people enough to reduce financial stress, sharing success when companies prosper, and helping employees build wealth are, in his view, strategies that strengthen businesses over the long run rather than weaken them.

Bottom line

Mark Cuban's support for a $20 federal minimum wage isn't rooted solely in politics or ideology. His argument is fundamentally a business one: Workers who are paid enough to meet their basic needs may be more productive, more committed, and better positioned to help companies succeed.

Whether lawmakers ultimately raise the federal minimum wage remains uncertain. While a job in concessions for the Mavericks may be out of reach, many side hustles do exist that pay at least $20 an hour to help workers invest in themselves and get ahead financially.

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