Minimum Wages and Supporting Wage Growth

This chapter addresses the central question of how governments can seek to underpin real wage growth for working households over time. It looks first at the role that minimum wages can play in supporting wages and household incomes in the middle as well as lower parts of the distribution. This is investigated through a simulation exercise looking at the impact of a substantial increase in the minimum wage in the UK, bringing out the broader lessons to be learned for rich countries. A variety of other routes through which policy might seek to support wage growth are then set out and discussed.

The Quest for Fairness in Australian Minimum Wages

Journal of Industrial Relations ◽

10.1177/0022185611419618 ◽

2011 ◽

Vol 53 (5) ◽

pp. 662-680 ◽

Cited By ~ 4

Author(s):

Joshua Healy

Keyword(s):

Minimum Wage ◽

Real Wage ◽

Industrial Relations ◽

Minimum Wages ◽

National System ◽

Relative Wages ◽

Rate Of Increase ◽

Worthy Goal ◽

Wage Increases ◽

The attainment of ‘fairness’ is widely regarded as a worthy goal of setting minimum wages, but opinions differ sharply over how to achieve it. This article examines how interpretations of fairness shaped the minimum wage decisions of the Australian Industrial Relations Commission between 1997 and 2005. It explores the Commission's approaches to three aspects of fairness in minimum wages: first, eligibility for increases; second, the form of increase; and third, the rate of increase over time. The Australian Industrial Relations Commission consistently gave minimum wage increases that were expressed in dollar values and applied to all federal awards. Its decisions delivered real wage increases for the lowest paid, but led to falls in real and relative wages for the majority of award-reliant workers. Fair Work Australia, the authority now responsible for setting minimum wages in the national system, appears apprehensive about parts of the Australian Industrial Relations Commission's legacy and has foreshadowed a different approach, particularly with respect to the form of adjustment.

The perception of biopsychosocial impacts of COVID-19 during lockdown restrictions over time in the UK – a mixed methods study

Journal of Ideas in Health ◽

10.47108/jidhealth.vol4.issspecial2.131 ◽

2021 ◽

Vol 4 (Special2) ◽

pp. 402-414

Author(s):

Samuel Grimwood ◽

Kaz Stuart ◽

Ruth Browning ◽

Elaine Bidmead ◽

Thea Winn-Reed

Keyword(s):

Social Issues ◽

Negative Impact ◽

Mixed Methods Study ◽

Biological Domain ◽

Data Points ◽

Integrated Recovery ◽

Biopsychosocial Health ◽

The Uk ◽

The Impact ◽

Background: The COVID-19 pandemic has profoundly impacted the health of individuals physically, mentally, and socially. This study aims to gain a deeper understanding of this impact across the pandemic from a biopsychosocial stance. Methods: A survey created by the research team was employed between November 2020 and February 2021 across social media, relevant organizations, and networks. The survey incorporated 5-time points across the different stages of the pandemic, covering biological, psychological, and social. There were 5 items for each survey (Very Positive affect to Very Negative affect), and analysis was undertaken using SPSS version 16. Descriptive statistics and non-parametric Friedman and Wilcoxon Tests, as well as correlations between the three domains, were implemented. Results: This study included 164 participants (77.0% female and 35.0% male) across 24 out of 38 counties in the UK. The impact of COVID-19 on biological domain was significant across the five data points χ2(4) = 63.99, p < 0.001, psychological χ2(4) = 118.939, p <0.001 and socially χ2(4) = 186.43, p <0.001. Between the 5 data points, 4 out of 5 had a negative impact, however between the first stage of lockdown and the easing of restrictions, findings for biological (Z=-2.35, p <0.05), psychological (Z=-6.61, p < 0.001), and socially (Z = -8.61, p <0.001) were positive. Negative correlations between the three domains across the pandemic are apparent, but in later stages, the biological domain had a positive correlation r = 0.52, p < 0.001. Conclusion: The data shows a negative impact from the self-reported perception of wellbeing from a biopsychosocial stance over time, as well as perceiving the three domains to interact negatively. To address these biopsychosocial issues, the research implies a place-based integrated recovery effort is needed, addressing biological, psychological, and social issues simultaneously. Further research should investigate biopsychosocial health among a more generalizable population.

Introduction

Youth Migration and the Politics of Wellbeing ◽

10.1332/policypress/9781529209020.003.0001 ◽

2020 ◽

pp. 1-18

Author(s):

Elaine Chase ◽

Jennifer Allsopp

Keyword(s):

Young People ◽

Social Care ◽

Immigration Policies ◽

Children And Young People ◽

Unaccompanied Children ◽

Youth Migration ◽

The Uk ◽

The Impact ◽

This introductory chapter provides an overview of youth migration. Youth migration needs to be understood in relation to its negative drivers of persecution, violence, and unsustainable lives in countries of origin, factors that motivated the flights of many young people. But at the same time, there is a need to recognize that such adversity also fuels individual and collective dreams and aspirations for better lives. Without acknowledging this, politicians will struggle to formulate meaningful and workable asylum and immigration policies. The chapter then briefly outlines the differing journeys that young people took in order to arrive in Europe. The chapter explains that the book focuses on how asylum, immigration, and social care procedures are operationalized once unaccompanied children and young people arrive in the UK and Italy, and the impact that these bureaucratic processes have on them over time.

Sources of Increasing Inequality

The Poor and the Plutocrats ◽

10.1093/oso/9780198870142.003.0009 ◽

2021 ◽

pp. 172-190

Author(s):

Francis Teal

Keyword(s):

Two Dimensions ◽

Labour Markets ◽

Living Standards ◽

The Political ◽

Poor Countries ◽

Unskilled Labour ◽

The Us ◽

The Uk ◽

Rich Countries ◽

While all the evidence we have points to the rising living standards for most of the very poorest, the wages of unskilled labour in poor countries remain a fraction of those in rich countries. Those potential workers are seen as a threat to the living standards of the unskilled in rich countries and the political impetus to limit their access to those labour markets has been, and remains, one of the most potent issue in the politics of rich countries. This aversion to immigration as a threat to the wages of the unskilled often transmutes into a hostility to trade, as goods, which use a lot of unskilled labour, can be imported more cheaply. Both immigration and trade are seen as a threat to the unskilled. Two dimensions of this threat are examined in this chapter—the impact of Chinese exports on wages in the US and the impact of immigration on the UK economy.

Can't wait to get my pension: the effect of raising the female early retirement age on income, poverty and deprivation

Journal of Pension Economics and Finance ◽

10.1017/s1474747218000057 ◽

2018 ◽

Vol 18 (3) ◽

pp. 450-472 ◽

Cited By ~ 2

Author(s):

JONATHAN CRIBB ◽

CARL EMMERSON

Keyword(s):

Early Retirement ◽

Poverty Rate ◽

Living Standards ◽

Income Poverty ◽

Retirement Age ◽

Pension Income ◽

Proportional Effect ◽

The Uk ◽

Household Incomes ◽

AbstractWe estimate the impact of increasing the female early retirement age (ERA) on household living standards. Examining the increase in the female ERA from 60 to 63 in the UK, we find increased earnings only partially offset lost public pension income, leaving affected women's household incomes £32 per week lower on average. The proportional effect was substantially larger for women in lower income households. This increased the income poverty rate among affected women by 6.4 percentage points. We find no evidence of an increased inability to afford important material items, potentially suggesting that material deprivation has been avoided through smoothing of consumption.

The Impact of GRDP and RWP on Regional Minimum Wage

JEJAK ◽

10.15294/jejak.v13i2.23398 ◽

2020 ◽

Vol 13 (2) ◽

pp. 292-306

Author(s):

Robert Tua Siregar ◽

Hery Pandapotan Silitonga ◽

Khairunnisah Lubis ◽

Acai Sudirman

Keyword(s):

Linear Regression ◽

Multiple Linear Regression ◽

Correlation Coefficient ◽

Minimum Wage ◽

Linear Regression Analysis ◽

T Test ◽

Minimum Wages ◽

Market Demand ◽

F Test ◽

The purpose of this research was to find out the effect of the percentage in development of Pematangsiantar city’s regional minimum wages, and the problem in this study how GRDP and RWP affect on the percentage of development of Regionl Minimum Wage at Pematangsiantar City. The method used was quantitative descriptive analysis. Data analysis used were Classic Assumption Test, Multiple Linear Regression, Correlation Coefficient, Determination, F-test and t-test object on RMW at Pematangsiantar city. Finding of research and results of the study can be summarized as follows: 1). The results of the multiple linear regression analysis test are that the GRDP and RWP had a positive effect on the RMW of Pematangsiantar City, 2). The results of the correlation coefficient indicate that the GRDP and RWP of Pematangsiantar City on its RMW were at a very strong level, while the coefficient of determination of 67.5% at high or low of the minimum wages can be explained by the GRDP and RWP, while the remaining of 32.5% was influenced by other factors which were not included in this study, 3). Hypothesis Test for F-test indicates that the GRDP and RWP influences significantly on Pematang city’s RMW, and for the t- test indicates that the GRDP and RWP had a positive and significant effect on the RMW in Pematangsiantar City from 2005 to 2018. This means that as the GRDP increases, the value of setting Pematangsiantar City's minimum wage in the following year will also increase, and vice versa. The increase of laborers/workers demands will affect the standard of regioanalwages that will be determined, this happens because wages will always adjust to the labor market demand. The stipulation of the minimum wage, it has an impact on GRDP in Pematangsiantar City, because the consumptive rate will be carried out in the place where it gets paid.

The impact of proposed tax, benefit and minimum wage reforms on household incomes and work incentives

10.1920/re.ifs.2015.0111 ◽

2015 ◽

Cited By ~ 1

Author(s):

James Browne

Keyword(s):

Minimum Wage ◽

Work Incentives ◽

Household Incomes ◽

International Journal of Management Entrepreneurship Social Sciences and Humanities ◽

The Analysis of the Impact of GDP, FDI, Minimum Wage on Employment in Indonesia

10.31098/ijmesh.v2i2.17 ◽

2019 ◽

Vol 2 (2) ◽

pp. 53-62

Author(s):

Thomson Sitompul ◽

Yansen Simangunsong

Keyword(s):

Minimum Wage ◽

Direct Investment ◽

Regression Models ◽

Time Series Data ◽

Minimum Wages ◽

Series Data ◽

Economic Sector ◽

Linear Regression Models ◽

The Impact ◽

Multiple Linear Regression Models

Unlike the previous study in determinant of labor absorption, which focused on economic sector and took up regional scope, this paper examines the impact of Gross Domestic Product, Foreign Direct Investment and Minimum Wages on labor absorption in Indonesia which take the national scope and aggregate labor by using secondary series of time series data (1990-2015). This study contributes to the limited literature on aggregate employment and national scope as the impact of the minimum wage, GDP, FDI in developing countries, especially in Indonesia. By using multiple linear regression models, surprisingly, we find that GDP and Minimum Wages have a positive and significant impact to increase employment while FDI does not affect employment in Indonesia.

City Limits: What Do Local-Area Minimum Wages Do?

The Journal of Economic Perspectives ◽

10.1257/jep.35.1.27 ◽

2021 ◽

Vol 35 (1) ◽

pp. 27-50

Author(s):

Arindrajit Dube ◽

Attila Lindner

Keyword(s):

Minimum Wage ◽

Local Variation ◽

Local Area ◽

Minimum Wages ◽

Level Variation ◽

Early Evidence ◽

Trade Offs ◽

Federal Standard ◽

The Impact ◽

New Evidence

Cities are increasingly setting their own minimum wages, and this trend has accelerated sharply in recent years. While in 2010 there were only three cities with their own minimum wages exceeding the state or federal standard, by 2020 there were 42. This new phenomenon raises the question: is it desirable to have city-level variation in minimum wage polices? We discuss the main trade-offs emerging from local variation in minimum wage polices and evaluate their empirical relevance. First, we document what type of cities raise minimum wages, and we discuss how these characteristics can potentially impact the effectiveness of city-level minimum wage policies. Second, we summarize the evolving evidence on city-level minimum wage changes and provide some new evidence of our own. Early evidence suggests that the impact of the policy on wages and employment to date has been broadly similar to the evidence on state- and federal-level minimum wage changes. Overall, city-level minimum wages seem to be able to tailor the policy to the local economic environment without imposing substantial distortions in allocation of labor and businesses across locations.

UNDERSTANDING THE MINIMUM WAGE: POLITICAL ECONOMY AND LEGAL FORM

The Cambridge Law Journal ◽

10.1017/s0008197318001009 ◽

2019 ◽

Vol 78 (1) ◽

pp. 42-69

Author(s):

Zoe Adams

Keyword(s):

Political Economy ◽

Minimum Wage ◽

Social Reproduction ◽

Historical Sources ◽

Legal Form ◽

Market Wage ◽

Competing Ideas ◽

Law And Legislation ◽

The Impact ◽

AbstractThis article explores how the legal system has constructed, over time, the concept of the “wage”. Drawing on insights from classical political economy it contrasts a conception of the wage as the cost of social reproduction (a “social wage”), with the neoclassical notion of the wage as the price of a commodity (a “market wage”) that we see embedded in legal and political discourse today. Drawing on historical sources, it explores how these competing ideas of the wage have been reconstructed in juridical language in case law and legislation over time, exploring at the same time the impact of this process on the relationship between minimum wages and tax credits. This analysis is then used to shed light on the conception of the wage embedded in the National Minimum Wage Act 1998, providing a critical re-evaluation of the “National Living Wage” introduced in 2016.