4 ms·
Countries with a social-democratic (Sweden, Norway) or conservative-corporatist (Germany) welfare state traditionally do not have minimum wage laws, because rel
by thomasz 7y ago
Countries with a social-democratic (Sweden, Norway) or conservative-corporatist (Germany) welfare state traditionally do not have minimum wage laws, because relatively strong unions and a somewhat robust social safety net have the same effect - you won't find someone willing to work for less than social security benefits which creates a lower bound.
As soon as these states move towards a more liberal welfare model (USA, UK) , they have been forced to offset the worst excesses of the labor market with mandatory minimum wage laws. I think the last was Germany, which recently introduced mandatory minimum wage in 2017.
- varjag 7y agoNorway have selective regulation, mandatory minimum wages in certain trades and low income occupations.
- microcolonel 7y ago> minimum wages in certain trades My understanding is that these come from private agreements, not legislation. Are you saying that there are a handful of industries where there is actual legislation?
- varjag 7y agoNo. You can't say legally employ a cleaner for less than their occupation minimum wage. They don't have to negotiate for it or be in a union, either. https://www.arbeidstilsynet.no/en/working-conditions/pay-and-minimum-rates-of-pay/minimum-wage/ https://www.arbeidstilsynet.no/en/working-conditions/pay-and...
- microcolonel 7y agoCollective bargaining agreements are private agreements, aren't they? I meant that the legislature and regulators me not decide the wages; and your reference seems to directly indicate that.
- varjag 7y agoI linked to the state regulator website that enforces minimum wages (among other occupational regulations).