The Statutory Minimum Wage

2020 ◽  
pp. 191-231
Author(s):  
Zoe Adams
Keyword(s):  
Minimum Wage ◽  
Conceptual Structure ◽  
Minimum Wages ◽  
Wage Regulation ◽  
The Relationship

This chapter explores the modern minimum wage framework in detail. The first section begins by exploring the background to the National Minimum Wage Act through the lens of the relationship between minimum wages and wage supplementation. The second section then explores the conceptual structure of the Act in more detail. In particular, it explores how an individual’s minimum wage entitlement is assessed; the types of ‘work’ that are either implicitly or expressly, excluded from the Act; and the content of the concept of the ‘wage’. It concludes with some remarks about what the Act’s structure implies about the legal system’s understanding of the role of minimum ‘wage’ regulation today.

Minimum wages and inequality in Mexico

2020 ◽  
pp. 573-595
Author(s):  
Alice Krozer ◽  
Stefanie Garry ◽  
Juan Carlos Moreno-Brid
Keyword(s):  
Economic Development ◽  
Income Inequality ◽  
Minimum Wage ◽  
Latin American ◽  
Poverty Reduction ◽  
Minimum Wages ◽  
The Other ◽  
Comparative Perspective ◽  
The Status ◽  
The Relationship

The literature on minimum wages in Mexico has focused largely on their impact on poverty, and poverty reduction, while their relationship with inequality has not been fully explored. The purpose of this chapter is to examine the status and dynamics of the minimum wage in Mexico and its relation with income inequality from a Latin American comparative perspective. In this context, we are mostly interested in juxtaposing the Mexican experience with the cases of Brazil, Argentina, and Chile, as three countries of roughly comparable economic development in the region pursuing labour policies diametrically opposing those of Mexico. In light of this Mexican exceptionality, we analyse the relationship between minimum wages and inequality in the country, and what Mexico could learn from the diverging experience of the other countries, with the aim of providing some recommendations to policymakers.

Left Government, Policy, and Corporatism: Explaining the Influence of Partisanship on Inequality

2008 ◽  
Vol 60 (3) ◽  
pp. 349-389 ◽  
Author(s):  
David Rueda
Keyword(s):  
Welfare State ◽  
Earnings Inequality ◽  
Minimum Wages ◽  
Wage Distribution ◽  
Significant Determinant ◽  
Mediating Role ◽  
Government Employment ◽  
The Relationship ◽  
The Welfare State

The author argues that to understand the relationship between partisan government and equality two fundamental things need to be done: separate the effects of partisanship on policy and of policy on the economy; and assess the influence of government partisanship once the mediating role of corporatism is accounted for. The main goal of this article is to explore the relationship between government partisanship, policy, and inequality at the lower half of the wage distribution. The analysis is motivated by a puzzling finding in previous work: the absence of government partisanship effects on earnings inequality. The author focuses on the role of three different policies: government employment, the generosity of the welfare state, and minimum wages. The results show that government employment is a most significant determinant of inequality (although it is affected by left government only when corporatism is low). They also demonstrate that welfare state generosity does not affect inequality and, in turn, is not associated with left government. Finally, they reveal that the effect of government partisanship on minimum wages and of minimum wages on inequality is completely conditional on the levels of corporatism (these effects are only present when corporatism is low). The author explains why specific policies do or do not affect earnings inequality and also why corporatism mitigates or magnifies the influence of government partisanship. By explicitly exploring the determinants of policy and earnings inequality, the article represents an important contribution to our understanding of how governments can promote redistribution.

Protecting the Low Income Earner: Minimum Wage Determination in Australia

1995 ◽  
Vol 6 (2) ◽  
pp. 252-287 ◽  
Author(s):  
David H. Plowman
Keyword(s):  
Minimum Wage ◽  
Family Size ◽  
Low Income ◽  
Division Of Labour ◽  
Minimum Wages ◽  
Pivotal Role ◽  
Wage Determination ◽  
Sexual Division ◽  
Wage Adjustment

The Minimum Wage, in various variants, has been an important part of Australian wage determination for over a century. This paper documents the development of the minimum wage and in so doing highlights the pivotal role of the Sunshine Harvester case. That case left a number of legacies which are examined in other parts of the paper. These include the bifurcated nature of wage determination, consideration of family size, the sexual division of labour and wages, the conflict between needs and capacity to pay, wage adjustment indexes and the role of minimum wages in a decentralised wages system.

National minimum wages could gain more ground in EU

2015 ◽  
Keyword(s):  
Minimum Wage ◽  
Trade Unions ◽  
Current System ◽  
Minimum Wages ◽  
Foreign Workers ◽  
Content Type ◽  
Collective Agreements ◽  
The Uk ◽  
The Relationship ◽  
The Eu

Subject The relationship between minimum wages and employment in the EU. Significance The introduction of a national statutory minimum wage in Germany this year took the number of EU states without one to just six out of 28. The German move raised opposition from business groups which warned that companies would shift production to countries with lower labour costs. The UK government's recent announcement of a statutory national 'living wage', higher than the minimum wage, has similarly triggered a debate about the implications for employment. Impacts In Austria and Nordic states without a statutory national minimum wage, collectively negotiated sector minimum wages fulfil the same role. The opening of such labour markets to foreign workers, not typically covered by collective agreements, is challenging the current system. Italy is considering the introduction of a national minimum wage but trade unions are opposed.

scholarly journals Dampak Upah Minimum terhadap Probabilitas Keluar dari Sektor Formal

2019 ◽  
pp. 119-139
Author(s):  
Clara Tridiana ◽  
Diah Widyawati
Keyword(s):  
Minimum Wage ◽  
Minimum Wages ◽  
Probit Regression ◽  
Formal Sector ◽  
Skilled Workers ◽  
Job Classification ◽  
Unskilled Workers ◽  
Wage Regulation ◽  
Skilled And Unskilled Workers

The effectiveness of minimum wages is still debated, even though minimum wage regulation increases worker’s wages, yet it causes “disemployment effect”. This study aims to identify differences in minimum wages impact on probabilities out of formal sector for unskilled and skilled workers. The type of skill used is based on job classification. Using Sakernas data in August 2010 and 2015, probit regression was conducted to estimate minimum wages impact on probabilities out of formal sector on skilled and unskilled workers. Based on analysis, minimum wage on probability of exit from formal sector is higher for unskilled workers than skilled workers. ============================= Efektivitas penerapan upah minimum masih diperdebatkan, karena meskipun upah minimum meningkatkan upah pekerja, namun di sisi lain dapat menyebabkan “disemployment effect”. Penelitian ini bertujuan mengidentifikasi perbedaan dampak upah minimum terhadap probabilitas keluar dari sektor formal pada tenaga kerja tidak terampil dan terampil. Tipe keterampilan yang digunakan dalam penelitian ini berdasarkan klasifikasi jenis pekerjaan. Dengan menggunakan data Sakernas Agustus 2010 dan 2015, penelitian ini menggunakan regresi probit untuk mengestimasi dampak upah minimum terhadap probabilitas keluar dari sektor formal pada tenaga kerja terampil dan tidak terampil. Hasil yang diperoleh adalah dampak upah minimum terhadap probabilitas keluar dari sektor formal lebih tinggi pada tenaga kerja tidak terampil dibandingkan tenaga kerja terampil.

scholarly journals THE ROLE OF THE CENTRAL JAVA PROVINCIAL WAGE COUNCIL IN DETERMINING REGENCY/CITY MINIMUM WAGES IN 2020

2020 ◽  
Vol 4 (1) ◽  
pp. 58
Author(s):  
AGUS PRAMONO
Keyword(s):  
Minimum Wage ◽  
Government Regulation ◽  
Minimum Wages ◽  
Central Java ◽  
Presidential Decree ◽  
The Republic ◽  
Government Workers ◽  
Central Java Province

<p>The purpose of the study entitled "The Role of the Central Java Provincial Wage Council in Determining Regency/City Minimum Wages in 2020" is to determine the role of the Central Java Provincial Wage Council and the procedures for setting the minimum wage in 2020 by the Governor of Central Java Province. The research method used is normative juridical, which is an approach aimed at the study of legal issues from the aspect of applicable legal regulations, in this case in the form of the role of the Central Java Provincial Wage Council in seeking regency/city minimum wages in Central Java. Before the Central Java Provincial Wages Council was formed the name of the Central Java Provincial Research, Wages and Welfare Commission. With Presidential Decree No. 107 of 2004 concerning the Wages Board stipulated by the President of the Republic of Indonesia Megawati Sukarno Putri on 18 October 2004. In principle between the Research Commission and the Wage Council there are some differences, among others, regarding the requirements to become a member of the Research Commission and the Wage Board that the requirements to become members of research do not have to bachelor, while to become a member of the Wage Board must be a S1 as well as regarding the composition in the Research Commission the ratio between representatives of workers, government and employers is 1:1:1 and universities. While in the Wage Council the ratio of government, workers, and employers is 2: 1: 1 and universities and experts. In order to follow up on the Presidential Decree on the Wage Council, the Governor of Central Java Province issued Decree No. 560/61/2005 concerning the Establishment of the Central Java Provincial Wage Council. The Governor of Central Java Province also issued Regulation No. 31 of 2005 concerning Procedures for Proposing Members of the Central Java Province Wage Council. Governor's Decree Number 560/58 2019, concerning UMK of 35 Regencies/Cities in 2020 stipulated the highest wage in Semarang City of Rp. 2,715,000,-, while the lowest was found in the Banjarnegara district of Rp. 1,748,000. Determination of wages has been through existing mechanisms and refers to applicable laws and regulations. The minimum wage is calculated based on the formula of Article 44 paragraph (2) of Government Regulation no. 78 of 2015, in accordance with the Minister of Manpower Letter No. BM 305 Year 2019.</p>

scholarly journals UPAH MINIMUM DALAM PERATURAN MENTERI TENAGA KERJA DAN TRANSMIGRASI NOMOR 7 TAHUN 2013 DITINJAU DARI PERSPEKTIF EKONOMI ISLAM

2018 ◽  
Vol 4 (2) ◽  
Author(s):  
Ayu Yuningsih
Keyword(s):  
Minimum Wage ◽  
Minimum Wages ◽  
Wage Determination ◽  
Large Role ◽  
The Core ◽  
Business Results ◽  
The Government ◽  
Islamic View

Today the problems of labor and wages have been unsolved problems. The root of the problems that occur in workers or workers still lies in the issues of relations and agreements between employers and governments that ultimately impact on the workers. The Government has arranged a solution to solve the problem of injustice towards the labor of one of them through the determination of Minimum Wages as regulated in the Regulation of Minister of Manpower and Transmigration No. 7 of 2013, but the determination of Minimum Wage for workers is considered not to provide justice for laborers because the value of wages earned is comparable with the large role of labor services in realizing the business results of the company concerned. This paper aims to find out how the Islamic view of Minimum Wage is applied in Indonesia and find out whether the Minimum Wage determination has fulfilled the principles of Maslahah and Adl which are at the core of Islamic teachings.

Revisiting the Employment Effects of Minimum Wages in Europe

2018 ◽  
Vol 19 (4) ◽  
pp. 426-465 ◽  
Author(s):  
Michael Christl ◽  
Monika Köppl-Turyna ◽  
Dénes Kucsera
Keyword(s):  
Minimum Wage ◽  
Negative Relationship ◽  
Optimal Level ◽  
Minimum Wages ◽  
European Countries ◽  
Employment Rate ◽  
Eastern European ◽  
Employment Rates ◽  
Eastern European Countries ◽  
The Relationship

AbstractThe aim of this study is to estimate the relationship between the minimum wage and the employment rate of young individuals, taking into account potential non-linearity. In a cross-country setup of European countries, we find a significant nonlinear relationship between the minimum wages and employment rate of young individuals. Theoretically, while low minimum wages can indeed be positively associated with employment, after a certain level of the minimum wage, the relationship turns negative. This implies that there is an optimal level of minimum wages that maximizes the employment rate of young individuals. We additionally show that the negative relationship between minimum wages and employment of young workers is stronger if labor markets are otherwise strictly regulated and when workers are relatively unproductive. Using these results, we are able to calculate country-specific turning points and show that some European countries in our sample might in fact contribute to high unemployment rates among young individuals by setting minimum wages too high. However, in other European countries, especially the Eastern European countries, an increase in minimum wages (up to a certain level) might even lead to higher employment rates of young individuals.

Wages, Salary, and Remuneration—Towards a Social Wage

2020 ◽  
pp. 128-164
Author(s):  
Zoe Adams
Keyword(s):  
Twentieth Century ◽  
Minimum Wage ◽  
Relational Model ◽  
Fourth Section ◽  
The Third ◽  
Contract Of Employment ◽  
Minimum Wage Legislation ◽  
Wage Regulation ◽  
Social Wage

This chapter traces the development of minimum wage legislation through the early to mid-twentieth century. It demonstrates the significance of the concept of ‘remuneration’ in shaping the legal environment in which workers’ right to payment was coming to be conceived. The first section begins with a discussion of this concept, tracing it from its origins in the concept of the salary. The second section builds on this analysis to explore the role of these concepts—the wage, the salary, and remuneration—in experiments in wage regulation. The third section explores the link between these different concepts and the emerging relational model of the contract of employment. The fourth section shows how these changes influenced the way in which minimum wage legislation came to be conceived in the mid-twentieth century, particularly in the context of the wages councils system of the 1940s. The fifth section then explores the broader implications of these changes, returning to the example of dock work and the various ‘decasualization’ policies of the era.

scholarly journals Minimum Wage and Unemployment in Greek Labour Market: A Descriptive Analysis

2014 ◽  
Vol 4 (4) ◽  
pp. 36 ◽  
Author(s):  
Kostas Karamanis ◽  
Charis Naxakis
Keyword(s):  
Labour Market ◽  
Minimum Wage ◽  
Wage Rate ◽  
Descriptive Analysis ◽  
Minimum Wages ◽  
Wage Level ◽  
Employment Rates ◽  
The Relationship

The purpose of this paper is to investigate the relationship between the minimum wage level and the rates of unemployment and employment in the Greek labour market. More specifically, this study analyses the evolution of the minimum wage during the period 2000-2013 and also whether these changes have really affected the unemployment and employment rates or not. The main conclusion of our study supports several other studies conclusions suggesting that the level of minimum wage in Greece did not really affect the unemployment and employment rates. The views of economists on effect of the establishing of minimum wages are quite contradictory. The evaluation of relationship between labour market and minimum wage rate is either positive or negative or even not related at all, depending on the assumptions about characteristics of labour market. 

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