Bifurcate the minimum wage into a minimum wage and a subsidized wage: The federal government should institute a higher minimum wage for workers, including food service, in all industries and businesses that cannot be exported overseas.
In manufacturing and other outsourceable businesses, wages should float downward to the level of competitiveness with our off-shore competitors.
There should then be an income tax credit or subsidy that brings those workers to parity with the newly establish, higher minimum wage. Industry will then not only have the incentive to keep jobs here, but to create more jobs in the United States, all without workers suffering from the subsistence wages of overseas.
The ensuing job creation and capital expansion should help pay for the subsidies through increased U.S. GNP.