THE ROLE OF STANDARD WAGE POLICY IN AUSTRALIA IN FORMING EMPLOYMENT STRUCTURE
Australian employment structure maybe is one of the best in the world because it is support by adequate wages standard as a national economic backbone. OECD (2012) reported that Fair Work (FW) Act 2009 was able to guarantee wage and employment and this lead to a sharp increase in the employment rates in Australia. Australian standard wages policy supports their employment structure, but it needs further evaluation and sustainable development by the government to keep it running well. How? Are there any weaknesses in the current policy?
In 2012 Australian standard wages were raised by the government because of country’s strong economic backbone. This situation occurs …show more content…
McKibbin and Harper (2010) commented that Australian government decision to increase the minimum wage is considered as a reckless move because it is not transparent and proper in its process. McKibbin and Harper (2010) argued that without adequate calculation and consideration, government will fail to formulate the minimum wages policy and it will be dangerous for macroeconomic stability. To formulate a wage policy, government should consider fairness and the standard of living of the low-wage workers. McKibbin and Harper (2010) point out that government should be more explicit and transparent in order to answer the question about the calculation of minimum wage decision. Dockery and Seymour (2010) investigate that people who are paid at the minimum wage are potentially exposed by the wage …show more content…
Lee and Suardi (2011) demonstrate that time series approach are calculating the exact value of the minimum wages. The Australian government should be able to formulate the minimum wage rates correctly to avoid miscalculation that might trigger a negative impact on the social and economic situation. Lee and Suardi (2011) found that reckoning of minimum wages using time series approach will not refer to negative employment issues. Also, Since 1 January 2010, both employers and employees in the Australian national workplace system are covered by the National Employment Standards (NES). Under the NES, employees have definite terms and conditions. Together with wage scales in modern awards (which also take effect from 1 January 2010) and minimum wage orders, the NES collates the safety net that cannot be altered to the disadvantage of the employee. The NES include minimum entitlements to leave, public holidays, notice of termination and redundancy pay. In addition to the NES, generally employee's terms and conditions of employment can come from a modern award, pre-modern award, agreement and/or state or federal
Australian employment structure maybe is one of the best in the world because it is support by adequate wages standard as a national economic backbone. OECD (2012) reported that Fair Work (FW) Act 2009 was able to guarantee wage and employment and this lead to a sharp increase in the employment rates in Australia. Australian standard wages policy supports their employment structure, but it needs further evaluation and sustainable development by the government to keep it running well. How? Are there any weaknesses in the current policy?
In 2012 Australian standard wages were raised by the government because of country’s strong economic backbone. This situation occurs …show more content…
McKibbin and Harper (2010) commented that Australian government decision to increase the minimum wage is considered as a reckless move because it is not transparent and proper in its process. McKibbin and Harper (2010) argued that without adequate calculation and consideration, government will fail to formulate the minimum wages policy and it will be dangerous for macroeconomic stability. To formulate a wage policy, government should consider fairness and the standard of living of the low-wage workers. McKibbin and Harper (2010) point out that government should be more explicit and transparent in order to answer the question about the calculation of minimum wage decision. Dockery and Seymour (2010) investigate that people who are paid at the minimum wage are potentially exposed by the wage …show more content…
Lee and Suardi (2011) demonstrate that time series approach are calculating the exact value of the minimum wages. The Australian government should be able to formulate the minimum wage rates correctly to avoid miscalculation that might trigger a negative impact on the social and economic situation. Lee and Suardi (2011) found that reckoning of minimum wages using time series approach will not refer to negative employment issues. Also, Since 1 January 2010, both employers and employees in the Australian national workplace system are covered by the National Employment Standards (NES). Under the NES, employees have definite terms and conditions. Together with wage scales in modern awards (which also take effect from 1 January 2010) and minimum wage orders, the NES collates the safety net that cannot be altered to the disadvantage of the employee. The NES include minimum entitlements to leave, public holidays, notice of termination and redundancy pay. In addition to the NES, generally employee's terms and conditions of employment can come from a modern award, pre-modern award, agreement and/or state or federal