MoLE is discussing living wage to improve worker welfare and boost participation, especially among women.
- Currently statutes mandates minimum wage for employees.
Significance of Living Wages
- A globally implemented living wage could generate $4.6 trillion in additional GDP each year through increased productivity and spending. (WEF)
- Improve Female Labour Participation: While living wages benefit all workers, they have a greater impact on women, who often face higher opportunity costs due to responsibilities like childcare, health, and education.
- Covering these costs through fair pay can make it easier for women to join the workforce.
- Other
- Responds to rising inflation and living costs
- Helps attract and retain talent
- Aligns with emerging labour regulations and social expectations