Estimating the Relative Level of Minimum Wage in China

It is generally believed in existing literature that China＇s minimum wage is too low and must be raised substantially. Such a view is highly misleading given the inconsistent statistical standards for minimum and average wages. In order to ensure comparability, this paper has adjusted the statistical scope for minimum and average wages respectively. If employees of urban private and self-employed businesses are included in calculating the average wage, the minimum-to-average wage ratio will increase by about 0.06; if the minimum wage standards of various localities include personal contributions to social insurance and the housing fund, the minimum-to-average wage ratio will increase by 0.008; if overtime pay is deducted from the average wage, the minimum-to-average wage ratio will further increase by around O. 06.In addition, if the median wage is used in place of the average wage, the minimum-to-average wage ratio will increase by at least 0.08. After these adjustments, China＇s minimum-to-average wage ratio for 2013 will increase from 0.28 to 0.49, which is within the range of between 0.40 and 0.60 that is recognized internationally as reasonable. Our analysis suggests that as far as the immediate interests of workers are concerned, it is more imperative to unify the statistical approaches for minimum and average wages in China than to raise the minimum wage standard. In order to achieve the expected effect, simply raising the minimum wage alone is not enough. What is also necessary is to enhance supervision and inspection on compliance by firms with the minimum wage policy, particularly the overtime pay regulations. An alternative is to replace monthly minimum wage with hourly minimum wage.

Analyzing the Impacts of Minimum Wage Standards on Reducing the Working Poor in China

During the past decades, the transformation of the labor market has significantly impacted on workers＇ wage structures and their employment in China. Along with the widening wage gaps and the growing income inequalities, the size of non-standard jobs expanded rapidly in China＇s urban labor market. As a result of this, the concept of working poor has become increasingly applicable to social and labor market realities in China, Based on the household survey data and by using quantitative analysis, this paper attempts to examine the interaction between the compulsory minimum wage standards and the working poor in the period of China＇s economic transition. The results show that for those whose monthly wages higher than the compulsory minimum wage standards were less likely to work poor and that workers with wages lower than the minimum wage floor were vulnerable to working poor, which supported the expectation that the implementation of compulsory minimum wages would help to reduce the risk of being a member among the working poor in China＇s urban labor market.

An Empirical Analysis of Employment Stability and the Wage Gap of Rural Migrants in China Based on Quantile Regression

Under the background of accelerated integrated urban-rural development, this paper offers an analysis on the short-term employment of rural migrants in China and resulting wage gap between long-term and short-term rural migrants. On the basis of correcting for sample selection problems arising from labor market participation and short-term employment, rural migrants＇ wage function is estimated using quantile regression method, and wage gap between long-term and short-term rural migrants is decomposed using MM method. Our empirical results suggest that those with a higher level of education, training experience and local employment recommended by family relations or in formal labor market are more likely to secure long-term labor contract,＂ region and education have significant contributions to the wage of rural migrants,＂ rural migrants of both long- and short-term contract types have great gaps at the bottom of salary distribution; and there exists a sticky floor effect in wage difference of rural migrants. These results have important policy implications in enhancing employment stability of rural migrants, improving income distribution equity, speeding up the process of urbanization, and balancing regional development.

The gender pay gap： Review and update

This paper explores the research behind the wage gap between men and women, the reasons for and extent of the gap, and strategies for dealing with gender pay discrepancies. Historically, gender discrimination was the traditional and easy explanation for pay discrepancies, but more aggressive enforcement of equal pay legislations has virtually diminished the validity of rationalizing the existence of pay differences solely on gender. Statistical data surrounding the pay gap point to other factors as more causal instruments that sustain and perpetuate the gap in spite of more than forty years of enforcement of equal pay legislations. The choices we make seem to predict and explain current wage gaps better than blatant gender discrimination does, and policies directed at improving those choices appear to be better strategic tools in closing the wage gap.

Research on the Influence Degree and Effect of Support on Innovation Incentives for R&D Personnel in Micro and Small Enterprises:An Empirical Study based on the China Micro and Small Enterprise Survey(CMES)

In this study,the influence degree and effect of support on innovation incentives for research and development(R&D)personnel in micro and small enterprises(MSEs)were explored based on the CMES data.We found that government support will increase the R&D wage and widen the gap between R&D wage and staff wage,especially for small,non-high-tech enterprises with strict financing constraints.Furthermore,taking the wage gap as a mediator,we concluded that support would widen the wage gap and increase management innovation rather than technological innovation in MSEs because the wage premium of R&D personnel is the main driver for the increase of management innovation.The findings of this study provide useful enlightenment for China to implement an innovation-driven strategy and build an innovative country.

The impact of globalisation on the skill wage gap in Turkey:A quantile regression approach

This study examines how increasing international trade affects the skill wage gap in Turkey.There has been a rapid increase in international trade in Turkey after 2000.As international trade increases,goods produced with higher technologies have a higher share in overall exported products.All these developments raise a question:how does the improvement of technology levels in the Turkish manufacturing industry,together with the increasing demand for skilled workers,change the skill wage gap?To explore this issue,this study utilises the Structure of Earnings Survey Data by the Turkish Statistical Institute.To have more robust results,the quantile regression model is applied to estimate the skill wage gap.One of the most prominent findings of this study is a continuous increase in the skill wage gap even though specific information about firms and workers is controlled.

Evolution of the Gender Wage Gap among China＇s Urban Employees

Using data from the 1995, 2002 and 2007 surveys, the paper attempts to investigate whether the gender wage gap has continued to widen during the period under study. To answer the question, this paper utilizes decomposition methodology to decompose the wage difference between male and female employees into explained and unexplained components. The results of decomposition for 1995, 2002 and 2007 indicate that the gender wage gap increased significantly, particularly in the period 2002-2007, and that an increasing part of the gap was due to unexplained components. This implies rising discrimination against female employees in China＇s urban labor market. Decomposition results based on quantile regression analysis indicate the gender wage gap is greater for low wage groups, as is the share of unexplained components in the gap.

Does Fin tech Narrow the Gen der Wage Gap?Evidence from China

Information and communication technology promotes the rapid development of fintech,which has a far-reaching impact on wage distribution in China.Using data from the Chinese General Social Survey and the Index of Digital Financial Inclusion,this study examines the impact of fin tech on the gender wage gap.We find that fin tech(i)narrows the gender wage gap;(ii)reduces capital constraints and operating costs,thereby promoting female entrepreneurship,driving more women into employment,and enabling women to increase their wages and bargaining power within the household;and(iii)positively impacts the wages of women(and men)who have lower family economic status,and helps women(but not men)counter the risk of decline in wages caused by childbearing and caring under the two-child policy.These findings have important policy implications and provide evidence of women s improving economic conditions leading to a reduced gender wage gap.

Labour market segmentation by ownership type and gender wage gap in urban China:evidence from CHIP2013

This paper explores the labour market segmentation by ownership type and its impact on the gender wage gap in urban China.Using the latest data of the China Household Income Project(CHIP)survey conducted in 2014(CHIP2013)and based on the Brown et al.model,I employ the decomposition analysis in this study.It is found that although both inter-sector differentials and intra-sector differentials affect the gender wage gap,the effect of intra-sector differentials is greater.In addition,in considering the effect of intra-sector differentials,the influence of unexplained differentials is greater than that of explained differentials.The results indicate that when other factors are held constantly,discrimination against female workers in a given sector is more serious,which is the main factor that causes the gender wage gap in urban China.

Leisure participation patterns and gender wage gap:Evidence from Chinese manufacturing industry

This paper aims at explaining the gender wage gap in the labor market from the perspective of leisure participation patterns between men and women.The traditional view is that time and effort spent in child-bearing activities are major sources of gender wage gap.Women,particularly in Chinese society are the major career of children and share a large portion of housework,thus,lacking time for the accumulation of human capital.This directly affects women’s employment status in the labor market as well as wages gaps with men.This study empirically examines the within-job wage differences between men and women in the same occupation and establishment in relationship to their leisure participation patterns.Data were collected via Time Diary Survey from“blue-collar”employees of a Chinese factory,producing parts for cars.The results showed that differences of time allocation in social time and passive leisure time between men and women contribute to gender wage gap.The study also uncovered the hidden gender discrimination in a male-dominated society.This study calls for institutional arrangements by the Chinese government to acknowledge women’s need and rights in workplace.

Statistical Discrimination and Gender Wage Gap： A Model

In this paper, I extend the model in Coate and Loury （CL） （1993） to show how statistical discrimination by employers can help create gender wage gap for men and women with equal earning potentials. Given that employers do not perfectly ob- serve a worker＇s skill type and partly rely on the average skills level of his （her） peers for inference purpose, employers＇ differential treatment of male and female workers can create different skill-investment incentives for them, which in turn justify em- ployers＇ discrimination in the first place. The second result of this paper which is not possible within the original CL framework is that I point to the possibility that there exist circumstances under which the gender wage gap can not be eliminated without the formerly advantaged sex being negatively affected.

Closing the Wage Gap Will Bring Social Harmony

Anyone who follows China affairs will know that the country has embarked on a path toward building a harmonious society. To help clarify the concept of a harmonious society, the Central Committee of the Communist Party of China (CPC) has issued the Resolutions on Major Issues Regarding the Building of a Harmonious Socialist Society after a plenary session in October, as a guide to the process. Below we have two commentaries by Ji Li, a commentator with Study Times and Professor Gu Yumin from the Marxism Sch...

More Rights but Less Gains:Relaxed Birth Control Policyand the Loss for Women

In view of its aging population,China initiated in 2012 a relaxed birth control policy after a three-decades-long implementation of the restrictive one-child policy.This paper examines how China's relaxed birth control policy leads to gender inequality.It specifically focuses on migrant workers because they account for a significant portion of the working group.Using the National Migrant Population Dynamic Monitoring Survey from 2014 to 2016,we found that China's two-child pilot policy reduced female labor force participation by 1.4 percentage points.This negative effect was more pronounced for women with higher educational levels or working in the private sector because employers foresee greater risks of productivity decline.We demonstrated that the gender pay gap increased from RMB956 to RMB1,053 during this same period.Pinpointing these unintended consequences brought about by the relaxation of the one-child policy helps provide a more complete picture of inequality and make sense of persistent relative poverty in Chinese society.To counteract gender discrimination,females are advised to work outside their home jurisdictions and take advantage of positive peer effects.