Minimum Wage In Australia Essay

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Introduction

Youth wages in Australia are scrutinised as it is suggested paying individuals incomes based on their age and not their skill level is discriminatory. From this arises the question of whether the implementation of ‘equal pay for equal work’ should be enacted in the work place. Further arguments discuss the tangible need for an increase in wage and whether it is necessary for a young persons’ future. In reality however, raising a youths’ income to that of an adults’ may lead to serious repercussions and ramifications, which may have impact on Australia’s economy. Australia’s youth today is in no great need of higher wages, as opportunity is plentiful in this vastly developed country. Youth wages provide first-time job seekers opportunity and financial reassurance but not absolute dependence from personal income. Minimum wage is an incentive to continue …show more content…

Significant global events have effected these variations, as exhibited in figure 1.
Figure 1
The real hourly earnings (per hour) have demonstrated gradual growth over the period of 1984-97. This is surprising, given that there was a decline in teenage full-time employment in these years . However, enhanced demand for part-time workers resulting from extended trading hours in retail and other service industries could be one factor elucidating this trend . Due to the decrease in full time employees, employers were more willing to pay higher hourly rates to the casuals.

It is apparent that hourly earnings negatively impacted employment , suggesting that raising the minimum wage to an even higher level put pressure on employers to retain their workers. This further advocates that if the minimum wage was to be abolished, and individuals were to be paid wages not based on their age, unemployment would come to supreme heights.

Factors that have influenced changes in youth

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