1. World problems
  2. Inappropriate employment incentives

Inappropriate employment incentives

  • Ill-conceived incentives for employment
  • Reinforcement of unemployment
  • Inadequate work incentives

Nature

As the "baby-boom" generation ages, skilled labour is becoming more difficult to find and to keep. Unemployment benefits in many developed countries are too close to minimum wages to make "drudgery" style employment worth the effort. There is a unprecedented demand for a sense of individual and team significance and for a level of involvement in the whole working process itself, for which few production systems are prepared. A culture of unemployment is developing, in which many people would prefer to be unemployed than to work in undesirable circumstances. This culture is not without its social price. The pattern of wages and salaries in some countries sustains a perverse incentive structure which over-encourages searching, or waiting, for certain types of work. The result is a number of candidates far exceeding that which can be absorbed in the occupations concerned. The incentive structure, making a limited number of job categories more desirable than the rest, may arise as a result of market forces freely creating a demand, and hence offering a premium to certain occupations. It may also be artificially created by government policies that attract large numbers of workers to one or a few types of developmental sectors, to the neglect of the infra-structure viewed as a totality.

Narrower

Aggravates

Underemployment
Presentable

Aggravated by

Related

Strategy

Value

Inadequacy
Yet to rate
Unemployment
Yet to rate

Reference

SDG

Sustainable Development Goal #8: Decent Work and Economic Growth

Metadata

Database
World problems
Type
(D) Detailed problems
Subject
  • Medicine » Pathology
  • Social activity » Employment
  • Social activity » Employment conditions » Employment conditions
  • Social activity » Unemployment
  • Social activity » Work
  • Societal problems » Inadequacy
  • Content quality
    Presentable
     Presentable
    Language
    English
    Last update
    May 20, 2022