Wage Determination in Low-Wage Labor Markets and the Role of Minimum-Wage Legislation

2017 ◽  
pp. 197-206
Author(s):  
Michael J. Piore
Keyword(s):  
Labor Markets ◽  
Minimum Wage ◽  
Wage Determination ◽  
Wage Labor ◽  
Minimum Wage Legislation

The Role of Risk Preference in Immigration and Minimum Wage Policies

2014 ◽  
Vol 14 (4) ◽  
pp. 1709-1724
Author(s):  
Yulian Wang ◽  
Hongfei Zhu
Keyword(s):  
Minimum Wage ◽  
Wage Rate ◽  
Illegal Immigration ◽  
Risk Preference ◽  
Illegal Immigrants ◽  
Wage Policy ◽  
Minimum Wage Legislation ◽  
Employment Elasticity ◽  
Enforcement Policies

Abstract This paper examines the effects of two enforcement policies and a minimum wage policy in controlling illegal immigration and improving welfare when capital is immobile. The model highlights the importance of the role of risk preference by considering various attitudes to risk held by illegal immigrants and host firms. It is shown that the effect of internal enforcement on the wage rate in host firms depends on the attitude to risk of illegal immigrants and host firms. It is also shown that the impacts of the minimum wage legislation differ according to risk preference and the degree of labor employment elasticity to the source wage. Moreover, attitude to risk is shown to be important in determining the effectiveness of policies on welfare.

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.

scholarly journals An incomplete breakthrough

2018 ◽  
Vol 9 (1) ◽  
pp. 73-96
Author(s):  
Qiuyin Hu
Keyword(s):  
Collective Bargaining ◽  
Minimum Wage ◽  
German Law ◽  
Wage Setting ◽  
Member States ◽  
Minimum Wage Legislation ◽  
Wage Floor ◽  
The Eu

This article reflects on how appropriately the German Minimum Wage Act— the latest national minimum wage legislation within the EU— has been constructed so as to remedy the fading role of collective bargaining in wage setting and curb the increasing in-work poverty across the country. Based on identifying four fundamental parts of a minimum wage regime, it examines successively the corresponding provisions in the German law, with frequent comparisons with the legislation of several other Member States. It is found that Germany has refrained from learning the positive legislative experiences of its EU counterparts, and has developed a minimum wage regime that is distinct in more than one aspect. Such a wage floor, however, loses efficiency and momentum before serving the original purposes of its own introduction.

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.

scholarly journals City Minimum Wages and Spatial Equilibrium Effects

2021 ◽  
Author(s):  
Jorge Perez Perez
Keyword(s):  
Labor Markets ◽  
Minimum Wage ◽  
The United States ◽  
Local Labor Markets ◽  
Spatial Equilibrium ◽  
High Minimum Wage ◽  
Percent Increase ◽  
And Migration ◽  
Wage Increases

Local minimum wage laws are becoming common across U.S. cities, and their effects may be different from the effects of state or national minimum wage policies. This paper studies the effect of changes in the minimum wage on spatial equilibriums in local labor markets. Using residence and workplace data for the United States, I analyze how commuting, residence, and employment locations change across city and state borders if the minimum wage changes on one side of the border. I find that areas in which the minimum wage increases receive fewer low-wage commuters. A 10 percent increase in the minimum wage reduces the inflow of low-wage commuters by about 2.5 percent. Rises in the minimum wage are also associated with employment relocation across borders toward areas that did not witness an increase in the minimum wage. I formulate a spatial equilibrium gravity model to explain the distribution of workers between low- and high-minimum wage areas. I calculate counterfactual equilibriums with a higher minimum wage for U.S. counties with cities considering an increase, highlighting the role of commuting and migration responses. About two-fifths of the counties considering increases would receive fewer low-wage commuters. Employment relocation away from high-minimum wage areas drives the commuting losses.

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 BAGAIMANAKAH PERAN SERIKAT PEKERJA DALAM PENENTUAN UPAH SETELAH BERLAKUNYA PERATURAN PEMERINTAH NO. 78 TAHUN 2015 TENTANG PENGUPAHAN

2018 ◽  
Vol 1 (1) ◽  
pp. 1832
Author(s):  
Wawan . ◽  
Andari Yurikosari
Keyword(s):  
Minimum Wage ◽  
Trade Unions ◽  
Government Regulation ◽  
Standard Of Living ◽  
Wage Determination ◽  
Market Survey ◽  
Expert Interview ◽  
The Government

Law no. 13 of 2003 on Manpower clearly regulates the determination of district minimum wage set by the Governor by taking into account the recommendations of the Wage Council, the Wage Council conducts a market survey to establish the standard of living needs of a person. The Manpower Act states that in the process of establishing a minimum wage the need for negotiations between the wage council, trade unions and employers' organizations. While the Governor looks for the middle line to set the minimum wage. After the issuance of Government Regulation no. 78 Year 2015 on Wages, minimum wage determination is no longer through negotiation, but through minimum wage calculation formula that is with the minimum wage of the current year, inflation and gross domestic income. The author intends to find out about the role of unions after the issuance of Government Regulation no. 78 of 2015 on remuneration, and determination of minimum wage. The author examines this issue using nomative research methods supported by expert interview data. The author analyzes that after the issuance of the Government Regulation on Remuneration of unions has ceased to function in the protection of workers' welfare.

scholarly journals DETERMINANTS OF SCHOOL ENROLMENT IN INDONESIA: THE ROLE OF MINIMUM WAGE

2021 ◽  
Vol 24 (2) ◽  
pp. 181-204
Author(s):  
Dyah Savitri Pritadrajati
Keyword(s):  
Secondary School ◽  
Minimum Wage ◽  
Low Income ◽  
Substitution Effect ◽  
Drop Out ◽  
Educational Investment ◽  
School Enrolment ◽  
Minimum Wage Legislation ◽  
Senior Secondary

This paper investigates the role of minimum wages in determining school enrolment (educational investment) in Indonesia using the National Socioeconomic Survey (Susenas). It finds that minimum wage legislation has a negative and significant substitution effect on educational investment. Individuals are more likely to drop out of senior secondary school as a result of a minimum wage legislation. Even though the response among low-income households is positive, this result may be generated by a fall in the probability of obtaining low-skilled employment, which offset the substitution effect.

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