Create basis for fair income distribution

• Source: Global Times
• [01:15 March 03 2010]
• Comments

But the drafting and adjustment of the minimum wage should be the result of a mechanism, not a handout from the government. The minimum wage should be based on a formula taking into consideration factors such as consumption level and inflation rate.

Regardless of the fiscal condition of a particular province or municipality, the minimum wage should be guaranteed and subject to periodic review. Once the minimum wage is set, the government should make sure it is implemented and create a mechanism to oversee the process countrywide.

A compensation negotiation mechanism – another tool to safeguard employees from a company's exploitative practices – is also just beginning to take shape in China.

Every year at this time, we hear various proposals on improving income distribution and ensuring the welfare of the poorer sections.

The best guarantee of their just dues being fairly disbursed is a principle that is institutionalized and carried forward by institutions, and not something left as an administrative measure to the whim of the government.

Discuss on GT Forum: Create basis for fair income distribution