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12 Dec 2023
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Tan Kin Lian - Perspectives
A fair wage system
I wish to suggest the framework for a fair wage system in a city.
a. A minimum wage is set for the lowest paid jobs, at a level that is adequate to meet the cost of living and to raise a family
b. Other jobs that require higher skills and responsibility are set at a multiple of the minimum wage (i.e. pay differential).
c. The minimum wage, pay differentials and standard work conditions are renewed annually by a panel representing the employers, workers and government. In most years, the pay differentials and work conditions remain unchanged.
d. The minimum wage is set for each city, as the cost of living may vary between cities in a country.
This system will reduce the need for workers to go on strike to press for higher wages to meet the cost of living. In most cases, the wages are adjusted each year, based on the adjustment of the minimum wage.
Tan Kin Lian
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