The problem is that there is no data that has shown this to be true for the types of minimum wage increases that are commonly considered. I think the actual moral view is that the government should not restrict the freedom of employers and employees to enter into whatever voluntary agreements they want, regardless of the outcome. Most people would disagree.
If you want to toss some bucks my way on a whim, and/or I want to toss some labor your way out of the goodness of my heart, no one objects.
It's when you draw up an employment contract and expect the government to enforce it that, well, the government begins to consider what kinds of contracts it will lend its enforcement to.
