Do Changes in the Collective Bargaining System and the Expansion of Low Wage Work in Germany Necessitate the Introduction of a National Minimum Wage? PDF Download

Author: Viola Monka
Publisher:
ISBN:
Category :
Languages : en
Pages : 86

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Author: François Eyraud
Publisher: International Labour Organization
ISBN: 9789221170143
Category : Business & Economics
Languages : en
Pages : 154

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This manual draws on the ILO's comprehensive database containing the principal legal provisions and minimum wage fixing mechanisms in 100 countries. The minimum wage has had a long and turbulent history, and this study sheds light on its intricacies by providing a thorough overview of the institutions and practices in different countries. It outlines the main topics for debate concerning the effects of minimum wages on major social and economic variables such as employment, wage inequality, and poverty. The book considers the various procedures countries use for implementation, including the criteria employed to fix the minimum wage, and how they are linked to specific country objectives. It then measures the efficiency of the minimum wage, and focuses on its impact on employment as a major political issue. For the benefit of non-specialists, the validity of econometric models and their results are examined.

Author: Fabian Uyanakumarage
Publisher: GRIN Verlag
ISBN: 3346135128
Category : Business & Economics
Languages : en
Pages : 38

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Seminar paper from the year 2020 in the subject Economics - Other, grade: 1,3, University of Applied Sciences Riedlingen, language: English, abstract: „Minimum wage is the minimum amount of remuneration that an employer is required to pay wage earners for the work performed during a given period, which cannot be reduced by collective agreement or an individual contract”. The government uses the minimum wage as a basic price control, which can force companies to create equal pay for all employees regardless of their origin, gender or belief. Currently, 90 percent of countries have regulations or binding tariff regulations that determine the minimum wage. In countries such as Sweden, Finland, Denmark, Switzerland, Austria and Italy there is no legal minimum wage. There, the government leaves the employer associations and unions to set a minimum wage in collective bargaining. New Zealand was the first country to introduce the minimum wage in 1894, and 192 more followed until 2019. Many of these countries have very complex systems, for example India has more than 1200 different minimum wage rates. Hardly any other labour market policy measure has been discussed as extensively as the introduction of the minimum wage of EUR 8.50 gross per hour on January 1, 2015 in Germany. For the supporters it was a long overdue step to offer low-wage earners a higher wage and thus a better standard of living. However, economists warned in advance that introducing minimum wages would only have negative consequences, especially when it comes to employment. Various studies have predicted that it could result in the loss of thousands of jobs. For example, the Ifo Institute in Munich forecasted a threat to up to 900 thousand jobs. Opponents of the minimum wage also pointed out that low-skilled workers would find it difficult to get into employment and would make little contribution to fighting poverty. The aim of this paper is to analyse how the market in Germany reacted to the introduction of the minimum wage. Also the history and structure of the minimum wage is described and the different economic theories are compared.

Author: Marc Amlinger
Publisher:
ISBN:
Category :
Languages : en
Pages :

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Since 1 January 2015 a statutory minimum wage of Ĩ 8.50 per hour applies in Germany. In 2014 between 4.8 and 5.4 million employees still earned a lower hourly wage. Even if it cannot yet be stated exactly how many employees benefitted from the introduction of the minimum wage, above-average wage increases in the classical low-wage sectors indicate significant effects of the introduction of the minimum wage. Even collective bargaining policies benefitted from the introduction of a minimum wage and contributed to the further increase of the lowest wage groups. The negative effects on the labour market that were predicted by many economists did not materialise. On the contrary, employment in Germany has seen a continuous increase. Merely the so-called 'mini jobs' (a special form of marginal part-time employment) show a strong decline, but many of these were transformed into regular jobs requiring social insurance. Against the background of these positive experiences, discussions are currently being held on the future adjustment of the minimum wage that is to come into effect at the beginning of 2017. Following the German Minimum Wage Act the Minimum Wage Commission - composed by employers and trade union representatives - has to give a recommendation by taking into account the recent developments of collectively agreed wages. According to the wage index of the Federal Statistical Office, collectively agreed wages increased by a total of about 5.5% in 2014 and 2015. Thus, the minimum wage would have to be increased to about Ĩ 9. Furthermore, it should be examined whether this level of the minimum wage actually guarantees "appropriate minimum protection for employees", as required by the Minimum Wage Act.

Author: Gerhard Bosch
Publisher:
ISBN:
Category :
Languages : en
Pages : 0

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In the more recent dualistic theories, Germany is cited as an example of a less solidaristic equilibrium, in which 'producer coalitions' between core workforces supposedly unaffected by deregulation and their employers prevented the introduction of a minimum wage. The present article shows that such an equilibrium never existed. Core workforces are being threatened by the outsourcing of jobs to the low-wage sector. This threat created the breeding ground for a joint campaign by manufacturing and service unions for a minimum wage, which made it possible to amalgamate the unions' considerable resources at company level, their strength being derived from the German system of codetermination. Under pressure from the manufacturing unions in particular, the arrangements for the minimum wage follow, as far as possible, the traditions of free collective bargaining. As a result, the social partners in Germany have a considerably stronger influence on the minimum wage than those in the UK.

Author: Gerald Frank Starr
Publisher: International Labour Organization
ISBN: 9789221025115
Category : Business & Economics
Languages : en
Pages : 220

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Author: James J. Heckman
Publisher: University of Chicago Press
ISBN: 0226322858
Category : Law
Languages : en
Pages : 585

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Law and Employment analyzes the effects of regulation and deregulation on Latin American labor markets and presents empirically grounded studies of the costs of regulation. Numerous labor regulations that were introduced or reformed in Latin America in the past thirty years have had important economic consequences. Nobel Prize-winning economist James J. Heckman and Carmen Pagés document the behavior of firms attempting to stay in business and be competitive while facing the high costs of complying with these labor laws. They challenge the prevailing view that labor market regulations affect only the distribution of labor incomes and have little or no impact on efficiency or the performance of labor markets. Using new micro-evidence, this volume shows that labor regulations reduce labor market turnover rates and flexibility, promote inequality, and discriminate against marginal workers. Along with in-depth studies of Colombia, Peru, Brazil, Argentina, Chile, Uruguay, Jamaica, and Trinidad, Law and Employment provides comparative analysis of Latin American economies against a range of European countries and the United States. The book breaks new ground by quantifying not only the cost of regulation in Latin America, the Caribbean, and in the OECD, but also the broader impact of this regulation.

Author: Wolfgang Steinhart
Publisher: GRIN Verlag
ISBN: 3668497400
Category : Business & Economics
Languages : en
Pages : 29

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Book Description
Seminar paper from the year 2017 in the subject Economics - Job market economics, grade: 1, University Lutheran Church (Business Administration), course: Global Economy, language: English, abstract: Is there a need for establishing a minimum wage? Is it true that such development often hurts the group of workers who are supposed to be benefiting from the establishment of such wage standards? To establish the same vocabulary, we will first define “minimum wage”, and will make a clear separation to “living wage”, since these two terms are often confused. After this we will proceed with the description of our research question what will lead us to the theoretical background and our empirical analysis.

Author: Dale Belman
Publisher: W.E. Upjohn Institute
ISBN: 0880994568
Category : Political Science
Languages : en
Pages : 489

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Belman and Wolfson perform a meta-analysis on scores of published studies on the effects of the minimum wage to determine its impacts on employment, wages, poverty, and more.

Author: David Neumark
Publisher: MIT Press
ISBN: 0262141027
Category : Income distribution
Languages : en
Pages : 389

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Book Description
A comprehensive review of evidence on the effect of minimum wages on employment, skills, wage and income distributions, and longer-term labor market outcomes concludes that the minimum wage is not a good policy tool.