As described in the previous section, Australia has been experiencing an economic boom for several years. In order to continue such a successful story, a functioning labour market is necessary.
A closer look at the Australian labour market illustrates that it is predominantly dominated by the service sector. In 2017, almost 80% of the employees worked in this area. The remaining 20% were employed in sectors like mining, construction, manufacturing or agriculture (ABS, 2018). An appropriate approach to analyse the efficiency of a labour market is to calculate the employment rate. According to the theory, there is a correlation between economic growth and the number of unemployed persons. Consequently, as the economy grows, the unemployment
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(ABS, 2018). This trend is partly due to the support of the Reserve Bank of Australia (RBA), which reduced the cash rate. Through this expansive monetary policy, Australia tried to place cheap money in circulation in order to stimulate the economy which should make more jobs available (RBA, n.d.). However, it must be critically noted that, despite the incredible economic growth of recent years, Australia has not managed to keep the unemployment rate permanently below five percent. This is also due to the fact that the employer side sometimes has serious difficulties to keep pace with the increase in workforce (RBA, 2013). Furthermore, some experts suspect the reason for the level of unemployment is the high minimum wage. Indeed, Australia has a very high minimum wage, but this varies due to age and industry. As a result, 24% of Australians employees only received the minimum wage in 2017. However, the impact of the minimum wage on the unemployment has not yet been proven (Mather, 2017). From a macroeconomic point of view this situation can be described as an oversupply of labour (Keat, Young & Erfle, 2014) A wage increase will only be possible, if the unemployment rate decreased to the RBA determined natural unemployment rate of five percent
If this growth rate is too quick, it can lead the economy into a recession. The inflation of prices has doubled since 2015, proving economic expansion. Due to the business cycle, when the economic expansion is finished, recession comes soon after. The job market in Canada has been declining slope, making jobs more scarce to the Canadian workforce.According to Trading Economics, the unemployment rate has grown from 6.6 percent in January 2015 to 7.2 percent in January 2016. In Dinner Party Economic it explains the relationship between inflation and cyclical unemployment and how both topics never occur at the same time, “We don’t see inflation and cyclical unemployment occurring at the same time, which is why economists often talk about the unemployment and inflation as a trade-off”,
Dwyer, M. (2010, August 18). Job market firms but wage pressure restrained. The Australian Financial Review, p. 6.
Unemployment refers to the total percentage of a country’s workforce that is unemployed and is looking for a paid job. The rate of unemployment is the percentage of the whole population that is actively seeking paid employment (Coyle 2). The ratio is reached at by dividing the number of jobless people by the already working individuals in the workforce. In statistics, a rising unemployment rate is an indicator of a weakening economy (Mankiw 16).On the other hand, a falling rate indicates that the economy is growing.
Our society is structured according to already predetermined dimensions. Especially significant is gender. Our gender is an element that can not only define differences but also create advantages and disadvantages (unequal society 148). It therefore becomes essential to consider what gender refers to. Gender is best defined as a way of classifying people based on socially agreed distinctions that are associated with male and female anatomy (gender history 153). Gender differentiation is evident in all societies and in particular in Australia with men and women seen to take on different social roles (gender 384). This has resulted in a significantly unequal spread of life chances (gender 384). Thus creating a category of analysis that inequalities flow from (gender history 154). Differences in opportunity between men and women therefore become evident. This historically established prejudice against women. However, the women’s liberation movement in the 1960’s and 1970’s broke barriers with women gaining more power in respect to education and employment (gender 383). Despite such breakthroughs, elements of gender inequality can still be seen in Australian society. This is interesting as most Australian’s have an assumption that we are an egalitarian society that does not encourage injustice and believes everyone should have a ‘fair go’ (collective identity 167). Through the exploration of the Australian labour force and harassment, violence and discrimination towards women we can see that gender equality is growing, but still evident, in Australian society.
Raising the pay for minimum wage workers will be the proper way to create effective results, yet there exists those who oppose an increase. Neal Asbury, an American entrepreneur, writes “Raising the Minimum Wage Brings Minimum Benefits” to express how a hike in wages will increase unemployment levels. The author introduces a survey done in 1992 regarding economists’ beliefs towards an increase in minimum wage, where 72 percent claim it would hurt unemployment levels (Asbury). According to this claim, more than half of economists argue that if a rise in minimum wage is to occur, unemployment will soar among the country. Businesses will be prone to lay off employees or hire fewer workers because of higher costs and will lead low-skilled workers to be jobless. An increase in pay will lea...
Thank you, Mr. Speaker, first off I would like to acknowledge the traditional owners of the land that we meet on today, the Noongar people, and acknowledge their elders both past, present, and future. It is an honour to rise in this place for the first time as the representative of the people of Capricornia. I am here today to discuss the future of gender equality in Australia. If we are honest, I think we can all agree that gender equality is an issue which goes far beyond our reach due to our generation being so careless about it.
Unemployment is an issue that national leaders try to deal with every day. Many job-creating strategies have been put forth over the years, and, in recent times, a popular strategy is to raise the Federal minimum wage. However, increasing the minimum wage could have an unforeseen effect on America’s job market that if unchecked could spiral out of control.
One of the most talked about subjects in the U.S economy is the topic of minimum wage. With president Obama working to increase the minimum wage to 10.10$ per hour people, both economists and politicians alike, have been debating whether or not raising the bar is a smart idea. At a time when the country the country’s inflation continues to rise at a steady pace and Americans are constantly working to feed their families, some economists know that a raise in the minimum wage would help elevate some of the difficulty. The last time the federal minimum wage was raised was in July of 2009, where rose from 6.55$ to 7.25$. However there are plenty of reasons as to why the wage should be raised. Some may not think it, but raising the federal wage could very well assist the U.S with some of its largest economic problems; the increasing standard of living in the U.S, the recession in the economy, and even the ever inflating U.S national debt.
...nz, 2013). America’s unemployment rate is 7.5% with a petty minimum wage that is $6 to $8 less than the minimum wage pay of workers in foreign countries. An increase would benefit the lower class and families would have less of a struggle.
In theory when an increase in minimum wage increases the cost of low-wage workers firms should want to hire less workers, however in reality this basic theory might be wrong according to Plumer B. (2013) While some studies found a link between higher minimum wage and higher unemployment level many others such as a recent paper from U.C. Berkeley that exploited differences across state borders did not find a link between higher minimum wage and higher unemployment.
I INTRODUCTION Labour law in Australia has evolved from the traditional system of compulsory arbitration into a system of federal legislated minimum employment standards aimed at providing a ‘safety net’ to protect the vulnerable employees in our society. Governments have implemented various mechanisms to protect the weak and redress the imbalance of power to ensure employees voices are heard within workplace relationships. The radical political changes under the Howard Government created perhaps the most revolutionary alteration to Australian industrial relations attacking tradition ideals of compulsory arbitration.
As Canadian's fertility rate fells, baby boomers retires, immigration and foreign workers becomes very important for the increase of labor demands in the Canadian's job market. The government is planning to reduce the application waiting time and therefore there will be more newcomers coming in the next fewer years. Canadian companies will then have many experienced and foreign trained applicants where they can help Canadian companies to increase their foreign trade and to build a better relationship with the other country. However, new comers have difficulties in finding employment because of their unrecognized foreign qualifications, non Canadian work experienced and the lack of support in the settlement programs where they get help to find employment.
Statistics on the Australian Queensland Job growth Website In the last two years employment has grown and unemployment has fallen in Queensland. ‘In March 2016, trend employment in Queensland was 50,000
People need money to purchase all kinds of goods and services they needed every day and sometimes, for goods or services they desire to own. To fulfill that, they have the essential need to earn money. In order to earn money, they must work in either in fields related to their interests or to their qualifications. However, people will meet different challenges during their jobs-hunting sessions, such as many candidates competing for a job vacancy; salaries offered are lower than expected salaries and economic crisis or down which causes unemployment. Unemployment is what we will be looking into in this report. Dwidedi (2010) stated that unemployment is defined as not much job vacancies are available to fulfill the amount of people who want to work and can work according to the current pay they can get for a job they chose to work as. There are four major types of unemployment: frictional, structural, cyclical and seasonal unemployment.