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The Impact of Raising The Minimum Wage

While from the U.S.,this discussion on Bloomberg TV is well worth watching.

Nela Richardson discusses the possible implications of raising the minimum wage with Scarlet Fu and Sara Eisen on Bloomberg Television’s “Market Makers.

Impact of Raising The Minimum Wage

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Employment and Productivity

Saturday’s Australian contained two important articles from David Uren and Adam Creighton (Kevin Rudd Revives Failed Productivity Pledge) and Judith Sloan (Job Creation No Government Miracle).

These pieces address the message the HRN Society is trying to get across, namely, how  under the present government productivity and employment growth has been lower than under the previous government even though the economy has been growing at or around trend. In particular, the Sloan article draws attention not only to these points but to the fact that the work force (those who are officially employed or unemployed) has been growing slower than the proportion of those of working age (15-64). This means that people (particularly low skilled) have been dropping out of the work force altogether – too hard to get a job so let’s retire or live on welfare. Read more

When Labour Lawyers Get Together

Des Moore Write:

As some will already be aware, Workplace Express (WE) is an organisation which publishes daily reports on decisions made by the Fair Work Commission and by courts on workplace relations. It also publishes reports on events where presentations are made on workplace relations issues.

On 22 July WE published reports on the annual labour law conference held at the Hilton in Sydney under the auspices  of the University of Sydney’s Workplace Research Centre.  One of the eleven speakers was Josh Bornstein, a Principal of Maurice Blackburn and a  self-described “employment lawyer”. Bornstein is well-known  as a strong supporter of the regulatory system and as a critic of any who oppose that approach. On this occasion he did not hold back.

Below are the WE report of the speech by Bornstein and of my critique (made after forcing myself to read the full text). WE agreed to publish my critique after I contacted it and pointed out that Bornstein had made an error in his calculation of the increase in productivity over the past year. An AMMA official, Scott Barklamb (just back from a spell at the ILO), apparently also complained to WE about aspects of the Bornstein address and he (Scott) makes some very useful additional criticisms.

Given the current state of our universities, it is not surprising that even though the University of Sydney has a Workplace Research Centre, it appears to have arranged this conference without inviting speakers who advocate a deregulated system. Almost all the speakers appear to be regulator advocates or sympathisers, although the title for this year’s conference  “Beyond ‘Groundhog Day’: Can productivity and fairness be improved without further ‘labour law reform’?” suggests that even those advocates may be thinking it has gone far enough.

Read more