Minimum Wage? (1 Viewer)

[loquasagacious]

Does a minimum wage protect workers from exploitation or prevent full employment? Maybe both?

Or more directly; Should we have one at all? And if so higher, lower or the same as it is?

 

[lolwth]

what is the minimum wage currently?

 

[spyro14]

I have to say that it is a relatively important measure to take to stop exploitation of workers (even though they are becoming increasingly incompetent with all the time spent on facebook and whatnot).

As for full employment, well probably better to speak of it as the natural rate of employment which is probably assumed anyway. But no i don't think the effect is that great on the level of employment since I think the extra cash would probably be pocketed by a very satisfied but licentious employer and not spent on more workers.

Finally, no idea i'm not economists and I haven't really looked at any relavent statistics to make an informed decision about minimum wage levels.

 

[lolwth]

says the school kid

 

[SnowFox]

Who is to say he doesnt work?

 

[Kolefax]

I have to say that it is a relatively important measure to take to stop exploitation of workers (even though they are becoming increasingly incompetent with all the time spent on facebook and whatnot).

lol, yeah. I agree with you on that part though. The minimum wage is important to stop employers paying them like they are in a developing world sweatshop.

 

[loquasagacious]

what is the minimum wage currently?

$12.50p/h or $13.50p/h from memory

 

[sombrero]

I currently get $4 an hour

 

[Graney]

It's hard to argue against the minimum wage, because unemployment has remained consistently low in Australia for over a decade.

To abolish the minimum wage would make barely a dent in the unemployment figures, while making low paid workers much worse off.

In times of serious economic crises, experiencing high unemployment, abolishing the minimum wage would then be advisable.

 

[lolwth]

i have a feeling it is above $14 for some reason. When i was on $14 last year i was below it thought. Full time work.

Felt pretty good to move up a pay grade lol

 

[spyro14]

It's hard to argue against the minimum wage, because unemployment has remained consistently low in Australia for over a decade.

To abolish the minimum wage would make barely a dent in the unemployment figures, while making low paid workers much worse off.

In times of serious economic crises, experiencing high unemployment, abolishing the minimum wage would then be advisable.

Completely agree with first two paragraphs, not so much with third. Even in the worst case scenario I feel abolishing minimum wages completely wouldn't be beneficial for the economy overall, since consumer spending itself in Australia's case is a vital engine of growth.

 

[spyro14]

i have a feeling it is above $14 for some reason. When i was on $14 last year i was below it thought. Full time work.

Felt pretty good to move up a pay grade lol

You continue to impress me, this time with your $14 hourly rate, or is $15? moving up in the world I see.

 

[lolwth]

lol $17 now

idk i think it if reasonable considering the experience advantage i am amassing over my fellow civil engineers but whatever

 

[loquasagacious]

I currently get $4 an hour

Minimum wage refers to the adult minimum wage. Junior rates for under 21's, trainees/etc are usually a percentage thereof.

 

[Graney]

Completely agree with first two paragraphs, not so much with third. Even in the worst case scenario I feel abolishing minimum wages completely wouldn't be beneficial for the economy overall, since consumer spending itself in Australia's case is a vital engine of growth.

Having a job is the best form of welfare. In an economic downturn, it's standard for the national wage setting body to avoid raising the minimum wage, and in fact keep it below inflation

As was done here:
Minimum Wage-Setting Decision: Workplace - Fair Work

They kept the minimum wage steady, in the face of steady unemployment figures. A rise in unemployment would make a lowering of the minimum wage appropriate, to help employers in being able to afford to retain their staff. It is a tragedy if someone loses their job, when they would have willingly accepted less pay, only because the government mandated a level of minimum wage above what their employer could afford.

The minimum wage cannot drop below what people are willing to work for. Especially in a country like Australia, where we have an unemployment benefit. The unemployment benefit keeps the minimum wage artificially high, because people will not apply for jobs that are going to pay less than welfare offers.

 

[spyro14]

lol $17 now

idk i think it if reasonable considering the experience advantage i am amassing over my fellow civil engineers but whatever

What can I say? You never cease to amaze me and i'm sure your fellow civil engineers are shaking in their boots.

 

[Graney]

$543.78 per week.

Adult, full time?

35 hours?

$15.50 hour.

I'm 21, casual and I get paid less than that

 

[spyro14]

Having a job is the best form of welfare. In an economic downturn, it's standard for the national wage setting body to avoid raising the minimum wage, and in fact keep it below inflation

As was done here:
Minimum Wage-Setting Decision: Workplace - Fair Work

They kept the minimum wage steady, in the face of steady unemployment figures. A rise in unemployment would make a lowering of the minimum wage appropriate, to help employers in being able to afford to retain their staff. It is a tragedy if someone loses their job, when they would have willingly accepted less pay, only because the government mandated a level of minimum wage above what their employer could afford.

The minimum wage cannot drop below what people are willing to work for. Especially in a country like Australia, where we have an unemployment benefit. The unemployment benefit keeps the minimum wage artificially high, because people will not apply for jobs that are going to pay less than welfare offers.

I don't believe i'm disputing that. I was just saying that abolishing minimum wage completely should be avoided. Then again, i'm not even sure why you quoted me.

 

[Graney]

I don't believe i'm disputing that. I was just saying that abolishing minimum wage completely should be avoided. Then again, i'm not even sure why you quoted me.

You are disputing several things I said.

You're suggesting the minimum wage can drop to an unreasonable level. It can't. It cannot go below what people are willing to work for. If they don't like it, they can always quit. This is doubly true in a society that maintains some form of welfare for the unemployed.

The employer will not be able to find staff if the wage he offers is unreasonable and below a living allowance. Employers will always be required to maintain reasonable wages to attract quality staff, regardless of whether a minimum wage exists.

I'm saying it shouldn't be avoided, it should be done if necessary.

 

[Graney]

If you're okay with the minimum wage being lowered, or not keeping pace with inflation, why are those two ideas acceptable and abolishing it entirely is not?