Tuesday, February 17, 2015

The Republic of low wages: More and more people are working for … – GazetaPrawna.pl

The Republic of low wages: More and more people are working for … – GazetaPrawna.pl

In 2013. At most the minimum wage, which is 1600 zł gross, received 28 percent. construction workers, while in the industry for over two and a half times less, because 11 percent. – It is not accidental – says Jarosław Strzeszyński Analysis of the Institute of Real Estate Market Monitor. In his view, a very large percentage of construction workers from minimum wage results, among others that in this industry employs a lot of people without formal vocational training that perform very simple work involving eg. for digging ditches. In addition, many construction companies in poor financial condition, can not afford to pay higher wages because they barely exist at common payment arrears between contractors.

There is also the case that every fourth employee in health, trade, hotels and restaurants also receives at most the minimum wage. Because eg. A trade occurs murderous competition. As a result, small shops are losing customers to discount stores and supermarkets. Those that remain on the market, they have so often very low income. Employ vendors offering them usually only the minimum wage or less part-time.

The CSO data shows that the ranking is the worst regions in the province. Lodz. In this region, as many as 17 per cent. Employees receives compensation not exceeding the minimum wage. – This is the result of poor economic structure of the region – explains prof. Zbigniew Krajewski from the University of Lodz. He explains that in the region is dominated by food processing and industries: textile, knitting, textile and leather industries. – And in these industries are traditionally low wages – emphasizes prof. Krajewski.

It is best in the province. Mazowieckie. In this region, only one in ten employed receives no more than minimum wage. – The position of Mazovia overstates Warsaw. Are located in the headquarters of companies and institutions, where salaries are high because they are employed generally specialists – says Karolina Sędzimir, an economist at PKO BP. He adds that in addition the cost of living in the capital are the highest, which makes earnings and must be sufficiently high. – It must be remembered, and that in the province. Mazowieckie is most companies with foreign capital. And in those wages are generally higher than average – says Sędzimir.

The unions are demanding for several years to the minimum wage was 50 percent. the average wage in the national economy. According to the union its level would allow the employee to keep the other person on the subsistence level, which protects against poverty. Meanwhile, in 2013. Minimum wage reached 43.8 per cent., And 44.4 per cent last year. average. The government and employers do not agree to meet union demands, because they think it will have an adverse impact on the labor market could increase unemployment and the informal economy.

According to Professor. Mieczyslaw Kabaj of the Institute of Labour and Social Affairs has no simple relationship between the level of the minimum wage and unemployment. This is confirmed by statistical data. According to them, eg. In 2002. When the minimum wage was only 35.6 percent. the average wage in the economy, the unemployment rate at the end of the year, calculated according to the LFS, was the highest in the period of economic transition and amounted to 19.7 per cent. However, in 2013., After a few years of minimum wage increases in relation to the average wage increased to 43.8 per cent., The unemployment rate was significantly lower, at 9.8 percent. Also prof. Elizabeth Kryńska from the University of Lodz believes that there is no empirical evidence that the increase in the minimum wage increases unemployment. – Some studies have shown, however, that this has an impact on employment, causes a decrease in the demand for graduates and yo ung people – said prof. Kryńska. But he added that it was not introduced special solution: those who have less than one year work experience, may receive 80 percent. the minimum wage.

– Currently earning a minimum spend often more than they earn to survive from month to month – notes prof. Kabaj. To escape poverty, benefit from the savings – if you have them, or with the support of family, friends, or social assistance. If they earned more, it also increased their consumption would be. Because the poorest for current expenses generally spend all of their income, as opposed to the wealthy, who are trying to save. – This would benefit the employer, because they would increase the demand for their products and services – says prof. Kabaj. But apparently, as of now, many entrepreneurs do not see.

Pay the minimum gets every fourth person employed in the protection and trade.

LikeTweet

No comments:

Post a Comment