Problem
Discriminatory wage scales
Experimental visualization of narrower problems
Other Names:
Non-comprehensive wage scalesBiased wage scales
Disproportionate salary scales within countries
Unfair salary scales
Inequitable range of salaries
Incidence:
In the UK, for example, the person earning the highest corporate salary earns as much in a day as the person earning the lowest salary earns in a year. From 1980 to 1989, salaries of company directors rose by up to 856% in the UK at a time when the less privileged were exposed to reductions of: state pensions for a retired couple from 43.3% of average earnings to 32.7% (for a single person, from 27 to 20.5%); unemployment benefits from 21.5 to 16.3% for a single person; industrial benefit from 27.7 to 20.5 for death; maternity (34.7 to 25.2% for a couple; and invalid care allowance from 26 to 19.6% for a couple).
Broader Problems:
Economic discriminationOutdated labour negotiation proceduresUnequal income distribution within countries Narrower Problems:
Pay system erosionProhibitive labour costsHigh severance pay for top managersImbalance in professional wage scalesDenial of right of equal pay for equal work Aggravates:
Wage discontentUnderpayment for workNegative effects of relative wage rates on youth employment Strategies:
Undertaking cost-cuttingEstablishing workers' benefitsProviding fair salary scalesShowing biasPreserving inequality of salaries Subject(s):
Principles → ValuesResearch, Standards → Measurement
Social Activity → Employment conditions
Societal Problems → Imbalances
Related UN Sustainable Development Goals:
Problem Type:
D: Detailed problems Date of last update
04.10.2020 – 22:48 CEST