Grade 8 B
" Discuss how a government might influence the demand for and the supply of labour."
Time Duration for submitting the Article is
Aug 5th to August 11th, 2013
Write your answer here in 500 Words.
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The public sector competes with private sector to attract many of the same types of workers with the same skill and so government needs to be aware about what private sectors are paying. Usually public sector pay lower wages than private sector this problem becomes the focus of the public sector, so government make a rule that government will give employee in public sector fringe benefits. Like retirement entitlement, less working hours and other compensations. While there are many relatively lower paid workers in the public sector, others appear to earn as much if not more than private sector workers in very similar jobs. Some studies show that there were very little difference in the salary of public sector and private sector, because the difference of the level of education and qualification were taken the account.
ReplyDeleteGovernments intervene with the labor market because they want to protect the rights of employees and employers, to outlaw and regulate restrictive practice that may be used by powerful trade unions and major employers, to raise the wages of the lowest paid workers, to reduce unemployment and to outlaw unfair discrimination.
Some examples of the rights of employees are to comply with the terms and conditions of their employment, to receive minimum wages that is arranged by the government, to receive holiday hours/year and to have protection from their job. Some examples of the rights of the employers are to comply with the terms of their contract with an employee, to provide a safe working environment,not to discriminate and worker and to have rights to legally terminate employment.
A powerful employer maybe able to set a low market wage while a trade union may use its power over the supply of labour to a firm. This case is not good to employees because they will earn very low wages, so governments have to make rules (to outlaw and regulate restrictive practice that may be used by powerful trade unions and major employers). The government must control the level of wages and working condition. A trade union may also be liable for any damage, loss or suffer by an employer for industrial action.
To decrease or omit poverty in their country governments must have a rule or legislation about the minimum wage. This case is to avoid human exploitation by powerful employers. If the worker work hard, there must be high wages. If the worker is an unskilled worker, employers must pay with the minimum wage, but the rule of minimum wage produce different arguments between employers and government. Some small trade unions feel that its too hard to pay the minimum wages, but in other cases the minimum wage is the savior for unskilled workers or fresh graduates. An example , the new governor of Jakarta made an announcement about the rise of minimum wage in Jakarta from 2 million it raised up to 2.7 million. This happens to be happy news for employees, but this news is also a nightmare for employers especially small business. This case also effects production cost and will reduce the demand for labor.
Government may help to train workers to help these workers to find a job, this is to reduce unemployment. A government may also provide an employment service to help people look for a job. There is an important rule that government made, government disallow discrimination between people in work according to experience, performance, gender, religion and race.
The conclusion is government influences labor markets by making legislation that protects employees and employers and affect the demand for supply and labor. If the legislation is hard for employers so the demand of labor will decrease, but if the legislation is a benefit for employees the supply of labor will increase.
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ReplyDeleteLabor plays essential role in most of industries especially in manufacturing and in developing countries such as Indonesia, Malaysia, Philippine and many others. We can see that one cigarette company may employ thousands of employees and one garment company in Indonesia can engage more than ten thousands labors. Hence, any factor that may impact labor should be seriously considered. Demand & supply mechanism is absolutely critical for labor. It has huge impact on labor wages, quantity and regulation.
ReplyDeleteWith regards to demand and supply of labor, government has an authority to control and encourage the mechanism by using tax and subsidy. Government may increase or reduce tax rate to stimulate or to hinder the company production and ultimately will control the labor demand and supply. Government may also provide or withdraw the subsidy for certain industry or specific company in order to control the demand and supply process.
If we review on tax factor, government is able to increase tax rate to reduce the production, where ultimately will reduce the demand of labor and will increase the labor supply. For example: tax rate for cigarette & liquor companies has been seriously planned to increase in 2014. When the regulation implemented, it will have huge impact on the production of cigarette & liquor in Indonesia. Companies from that particular industry will have to recalculate their production cost. If they decided to charge the same price to customers whilst remitting higher tax to the government, there will be some operational cost to be sacrificed. And the biggest operational cost will derive from labor cost. The company will terminate some of their labors (decrease labor demand), which will generate another issue, the incremental labor supply in the market.
Why would the government impose tax increase then? The reasons could be varied from implementing a greener country (less cigarette and alcohol consumer), control tobacco & liquor price until the pressure to filling the gap of State’s income.
On the other hand, the government may also reduce tax rate on certain industry, hence it will create higher profit for the company if they operate within the same production level. The company may also increase their production to take advantage of tax decrease policy. By doing that, the company will require additional labor; therefore, it will increase labor demand and ultimately will decrease labor supply. For example, the government may reduce tax rate for rice production to stimulate rice export and reduce rice import from other countries.
The other authority that government can utilize is through SUBSIDY. By initiating subsidy, the government intended to stimulate the process of that particular industry. On the contrary, by plugging out the subsidy, the government aims to slow down the process of the particular industry. For example; government may provide subsidy on Trans Jakarta bus-way project. By having subsidy, Trans Jakarta Company can operate more busses and hire more drivers. Thus it will increase demand for bus drivers/labors and decrease the labor supply. This shortage of demand can be seen when the bus-way was initially implemented many private drivers and public bus drivers were applying to become Trans Jakarta bus-way drivers. The ripple effect would be bus-way fare could be kept affordable for Jakarta commuters, which will decline the usage of private car and finally reduce the traffic congestion in the city.
ReplyDeleteOn certain circumstances, government can also plug out the subsidy, for example: the recent fuel price hike which intended for high end users. By plugging out the subsidy, fuel price will increase and commuters will seek cheaper alternatives such as public transportation instead of private car. This policy will lead to the reduction of car manufacturing/importing and eventually decline the demand of car manufacturing labor and increase the labor supply in the market.
Other influences that may contribute to labor demand and supply mechanism would be government policy/regulation, technology, education, global market etc. As we all knew that recently government impose on minimum wage regulation through Peraturan Gubernur DKI Jakarta No. 189/2012 which commenced in 2013, this regulation has multiple ripple effect in the industry. Several factories have to lay off many of their labors to keep up the same production cost. Some even have to shut down their business because they are not making profit anymore. Thus, it will leave many labors unemployed (resulting enormous labor supply). Government also imposed on age limit regulation. This policy is to protect children from early working and put a limit for elderly hence it will provide job vacancy for productive age labors.
So in conclusion, government regulation may have huge influence on supply and demand mechanism.
New technology may also have significant impact on labor supply & demand. With advance technology and inventions, many tasks that previously conducted by hundreds of labors can be minimized into ten employees only. This event created substantial effect whereby labor supply will be tremendous and they have to seek other employment vacancy to support their life.
Alternatively, they may also have to equip themselves with new skills in order to survive with the technology enhancement such as: computer skills, foreign language etc. That brought us to the importance of education in influencing labor supply & demand.
The requirement for labors these days is much different compared to a decade ago. Global market has evolved so rapidly that labors must be ready to compete in this condition. Labor cost & expertise becoming crucial factor to be considered by multinational companies before they decide to open factory in certain country. For example, when NIKE corporation decided to open the factory in Indonesia, it is predicted that labor demand will be escalating and labor supply will be decreasing in that area.
In conclusion, we can see that government definitely has the authority to control labor demand and supply through subsidy, tax and government policy/regulation. However, there are other external factors that may influence the mechanism which are technology, global market, education etc.
The government rules in each country takes much important role in affecting the demand and supply of the labor market. And that role is to protect employers and employees rights. In a free market system, government takes view that markets are best suited to allocate scare resources and allow the market forces of supply and demand to set prices. The government is a major employer in many countries, employing many thousands public sector workers. Because it is such a major source of demand of labor, so it is able to exert a large influence over the market wage rates for each different occupations in different rates. So, government makes rules and regulations to intervene the labor market.
ReplyDeleteThe purpose why government intervene the labor market policy are :
1. Check and correct for labor market failure
2. Achieve better distribution of income and wealth
3. Make the Country/State economical condition better
And these are the reasons why government want to influence the labor market:
1. Protect the rights of employees (Supply of Labor) and employers (Demand of Labor)
Some of the employers don't provide the absolute rights for the employees, for example workplace health and safety guarantees. And also same from the employees to the employers. They have to follow the rules made based on the contracts agreed, for example, follow the terms and conditions of their employment(hours of work, holidays, dress codes, disciplinary procedures, etc.)
2. Outlaw and regulate restrictive practices that may be used by powerful trade unions and major employers
In free market, wage rates will be set by the interaction of labor supply and demand decisions. But, powerful employer may be able to set a low market wage while a trade union may use its power over the supply of labor to a firm to force up market wages without similar gains in labor productivity.
3. Set the minimum wages of the lowest-paid workers
The government set the minimum wages is to protect vulnerable and low-paid workers from exploitation by powerful employers. Apart from rising the paid of low-paid workers, it is argued that favorable minimum wages set above free market wage levels will simply raise production costs and reduce the labor demand.
4. Decrease unemployment factor
Governments often provide unemployed workers with help re-training in new skills required for employment in new growing industries and occupations. Aside from re-training, they might also provide financial assistance to firms to encourage them locating in areas of high unemployment. But there also other helpful service provided by the government, that is “Employment Service”. The service is to make employees easy to meet and deal with the employers.
5. Forbid unfair discrimination (Sex, Races, Religion, Abilities, etc.)
Government set rules “NO DISCRIMINATION” to prevent employers to discriminate disabilities of employees. But actually not all disability people always can't to do their work. Apart from abilities differentiate also with the race, sex and religion.
That's all from me thanks you! By Constantius Neil
government will always have a relationship with a business / company.it will bring some effect for them ,Either good or bad. the good one is usually the one that can influence the demand for and the supply of labor in that company . Like for example , for the demand for laboR. factors that affecting them are first , wages , so company will always want a workers that are skilled but , they can be paid with low wages . so , with this situations , government can help the company to paid them . But , usually company with a workers that are paid by the government are the one who works for the country , like example in Indonesia , a company with a workers that are paid by the government are PLN , Pertamina , etc. Others are rules and regulation . Company will always want a workers that can do their job according to the rules and regulation . For this one , government can make some free school that will teach them about the rules and regulation and also train them how to do it . Then it will make the company easier . Third , are high productivity . Ofcourse , a company will always want a workers that can make a high produvtivity . With this high productivity , a company can get a high profit . But the problem is many people cant do it because they dont have any skills .So , the government will help them by making a free school for the workers to learn and make some program . Like example , in Indonesia , the government are making a program called Bos , It means that all people in Indonesia must study , atleast 9 years , or until they reach the junior high school . And for it ,the governement will pay it all and it is a must for all people in indonesia .third are future expectation and fourth are factors substitubality . Both of them , are being helped by the government for the company .
ReplyDeleteThen after the demand for labour , government are also help for the supply of labor. Factor that affecting the supply of labor are first , wages . People are always want a job that heve a high payment so that they can fulfill their needs and wants .If the company only give them just a small amount of wages , then they cant fulfill their needs , and if this keep happening then the country will be full of poor people . and ofcourse the government didint want this happening .in jakarta , they are makeing a program called UMR so that every workers must be paid approximately 2 million. By doing this program , workers will be really helped by the government for the wages . the others factor are the difficulty . people also will find a job that are not really difficult . Because if its too dificult then , they cant do what the company want them to do. . To solf this problem , governement are making some free school for them to learn , so that they will not face any difficulties again.Third ,is the type of work , people are always want to find a job that are suitable for them . And to make it run influencly, government are also making a free school about their type , so that thay can learn deeper about it . Fourth is the location . People is aalways finding a job that are near with their house . they usually didnt want it if the place is to far.If its far , than they must have some transportation to go there , and it will have some Cost . So , with this problem , government are making some free public transport , so that they now can take any kind of job , either its far or near , because now their have the free transport . Some of the example are free Bus and train in australia , etc . fifth is the eligibility . sixth are fringe benefit . Both of them are also helped by the government so that it can run influencly . seventh is the rules and regulation . People are also want to find a job that dont have a really complicated rules and regulation . So to influence this , the government are making some rules for the company so that they wont have a really complicated rules and regulation .
ReplyDeleteinstead a good effect , there is also the bad effect .Government also sometimes can make the company doesnt run smoothly . Like example , First if the company give some tax every time the company buy something , then it will make the company cant maximize their needs and wants to run their company . Sometimes , the company may pay it by credit and by the time if their doubt is already too many , they cant pay it and because of that , they may close their company or get bankrupt . Second , for the demand for labor , the government are making program called UMR so that every workers must be paid approximately
ReplyDelete2 million . This program can make every company loss their profit because their money must be used to pay the workers .But instead of the loss that the company get , it will bring some benefit to the workers . The workers now can fulfill their needs and wants from the money that they get from the company .
kezia - 8b
Firstly, a government has the right and power to change the demand and supply of labor by changing the rules and regulations of the country. One of the macro economic objective of every country is to have a low unemployment rate. By using the methods below, government hopes that supply and demand of labor would increase. Hence, they can achieve economic growth.
ReplyDeleteExamples of these methods:
1. Age restrictions
The supply of labor will change if there’s a change in age restriction in the country, for example if the minimum working age is changed from 15 to 20 there will be a decrease in supply of labor shifting the supply curve to the left. Because people who used to be able to work (those under 20 and over 15) are not able to apply for jobs anymore.
2. Change in minimum wage
A change in minimum wage of a country (which is decided by the government) would have a significant impact to the supply and demand for labor for example the minimum wage of Australia is $16 per hour, if the government would suddenly change that to $30 per hour .It would increase the supply of labor because more people would want to work because of the higher minimum wage. It would also change the demand for labor because, the higher wage rate means higher expense rate for the company, because companies would not like a high expense rate the company hire less people overall and would most likely to use machinery.
3. Training program
Government may give training programs to unemployed people to increase the supply of labor in the labor market. This would increase the supply because most jobs would require the person to at least have= some experience of the job before a person can apply for that job, thanks to the training programs given by the government now most people can apply for the job because they have meet the minimum requirements. Increasing the supply of labor.
4. Setting limits on available machinery to be hired or used
In order to decrease unemployment rate government may attempt to make a limit on how much machinery a company can use for production. This would drastically increase demand for labor as a company would need more labor as factors of production compared to machines. This would help the economics extremely well as it would majorly decrease unemployment rate.
5. Subsidy
Government may subsidize companies to encourage to hire more people. This works because when they are subsidized they can produce more products because the money that is used as expense money for wages are now replaced with money that the government gave as a subsidy. Meaning the company can focus their capital to things other than labor for example raw materials, machinery, land and other things.
To summarize what have been discussed, the government could and would change the demand and supply of labor by setting up age restrictions as well as minimum wage, preparing training program, setting limits on number of machinery and providing subsidy and many more rules and regulations. This is necessary for a successful economy.
– The government will influence the demand for and the supply of labour, like example about the tax rates, the government is the one that controlling the tax rates at the country. Each of the country the tax rates will be controlled by their government. The government also influences about the employment subsidies. So the government can see if the person is rich or poor, the government will give the subsidies more to the one that is poor rather the rich person, subsidies means that the government give a lower price to the goods rather than if the person buy it at anywhere. The government will also influence the wages, and it is also related to a company/ business , why because at the business/ company ,the one that own the company sure will give the wages to the workers, they will think that if the workers is high educated, have a great skills, the demand for the workers is greater than the supply of the workers, have a high responsibility, sure the company/ business will give them a high wages rather than the one that have a low education, low skills, have a low responsibility and the supply of the workers is greater than the demand for workers , the company/ business will think that they will give them a low wages, because the job is easy like example : office boy that job is easy they only need to clean up. Government policy in a wide variety of areas has a significant influences, the influences the demand and supply of labour is in two ways that is in direct and indirect ways. Increasing the regulation of the labour market seen as being by damaging by some, it also influences by the government. The one that is also influences by government is when the business claim legislation and taxes depress the demand for labour. Government influences the employment legislation like example the equal pay, sex discrimination, disability, helath and safety, benefits in works , pension rights, example for the pension rights is if the person is already old sure they can’t work anymore example the football player if they are already old so they cannot play football anymore. Necessity of meeting legislation imposes additional costs on businesses it affect and shifts the demand for labour to the left. The government also affect the EU policy, they have the social chapter and working time directive, for the social they include the Specifies various employment rights and responsibilities, more rules and regulation for employees to meet, Claim that it makes the labour market less flexible, Imposes additional costs on employers again. And for the working time directive they include the limits employers flexibility and the raises in cost! The government influences the public sector and for the private sector is influences by the company / business itself. For the public sector, they have low salary or wages, high status, the security is high, social security high it means that if the people is already old they will pension. For the private sector, they have a high salary / wages , low status, low security, the social security is low. there are some company / business that doesnt take profit too much but they make a nice good and services, example llike PLN the electrical company they dont take much profit because that is belongs to the country so they must to be good at the services to every people.
ReplyDeleteShelvina Gabriela 8B
Government is the one that can affect the demand and supply of the labor. Government makes rules and regulation and we must obey their rules.
ReplyDeleteHow the government can affect the demand and supply of the labor?
1. Improve the quality of the labor
There are some ways to improve the quality of labor such as giving a free school until Senior High School and cheap payment. It can help the labor’s skills, So the company want to recruit that labor.
2. Increasing the place of work
There are two place of work, that is inside the country and the foreign country. Some country such as Indonesia has a higher supply of worker rather than the demand for the job. It means if the government can increase the place of working, it also can affect the demand for the labor because they need workers to run the company. There are some ways to open a new place of work such as making a new company that is useful for many people or send our worker to the foreign country as we know in Indonesia we call as TKI (Tenaga kerja Indonesia) or TKW (Tenaga kerja wanita)
3. Make the minimum payment for a worker
As we know wages is one of the main factors for demand and supply of the labor and if the wages is higher, so the demand for the labor is decrease. The Indonesian government makes a rule for the minimum wages received by the worker in the company. In Indonesia now (Jakarta), the minimum wages is Rp 2200000 per month. And if the company can't pay the amount or the company feels that the wages is too high, they decrease the demand for the labor. And if the workers receive too small payment, they can’t fulfill their primary needs. It will decrease the supply of the worker
4. Government gives the protection for the workers by the laws and regulation
The worker can get the protection from the government for the safety of the work. There are some laws of Indonesian government for the protection of workers in Indonesia, such as:
-The Indonesian government has the age of work between 15 years old until 64 years old.
This also can decrease the supply and the demand for the worker below 15 years old and more than 64 years old.
-Undang-undang No.1 Tahun 1951 about work
This law set the work time for the worker, yearly leave, pregnancy leave, etc.
- Undang-undang No.2 Tahun 1952 about work’s accident
This law give the compensation for the accident of the work or the worker that get the sickness from the working.
5. Increasing public facility
This also can increase the supply of the worker because the worker that live far away from their work place can easier get to their work. Some ways are by increasing the public transportation or making a better road so it can also make the time faster to our working place.
So, beside the your own factor, government affect so much in the supply and the demand of the labor because you must obey the rules and regulations from the government.
Richard Sanders 8B
This comment has been removed by the author.
ReplyDeleteThis comment has been removed by the author.
ReplyDeleteA government may interfere the demand and supply of a labor in several ways,
ReplyDeleteFirst the government can increase the minimum wage. Each country have a different minimum wage, this depends from the ability of people in that country, level of education, and kind of jobs. Example: in America, dirty works are paid more expensive then dirty work in Indonesia, why? Because in America, people that do dirty works is people that are high educated, Americans respect and appreciate people that do dirty works. In Indonesia, dirty works are for people that are low educated, and Indonesian did not respect those workers. The minimum wage is design to protect workers, especially low paid workers from exploitation by powerful employers. This kind of legislation also helps unskilled workers to pay their living needs.
Second, the government may make a rule that power employers are not allowed to decide the wages (if the power employers decide the wages, wages will be cheap) (power employers are firms that own many workers example coca cola, Indofood, pepsi). A government limited the freedom of trade union and power employers to decide how much is the average wage. Some trade union give wages that are pretty high, because they look up to the motivation of the worker. Other trade union gives low wages, because their principal are making high profit, and spending low expenses. Because of this condition, government must have law to limit the powerful trade unions and mayor employers over wage and working condition. Because of this law, trade union may also be liable for any damage, or suffer by an employer from industrial action.
Third, the government can make protection towards rights of the employee and workers. For example of the employee’s right, workers can get fringe benefits from the firm such as free tickets to go on vacation, to comply with health and safety regulation, not to have work more then 48 hours per week and have holidays per year. The example of right employers are to comply with terms and condition of their contract with an employee, not to discriminate against any worker (gender, race, religion and union), and to provide a healthy and safe working environment and any necessary equipment. In a totally free labor market, a powerful employer may not provide a safe working environment and did not deliver levels of labor productivity expected by employers. So the government make legislation to ensure Human rights of the employee fulfilled. They didn’t exploit when they are working.
Fourth, government can make advertisement about jobs. In the events of reducing an employment, government made advertising and announcing for jobs and jobs interview, the purpose of this is for people can prepare better for searching job. Not only that, government also train people so that they can own skills for working. In this way, a government can reduce a cost of searching for employment and increase the mobility of labor.
Fifth, to make law upon unfair discrimination. Some employers still differentiate workers by race and unions, example: in Indonesia, western is paid more then Indonesian. In Australia, white men are paid more then black men. Because of this government focused to clear discrimination so that all people can work in the same position with same amount of wage depending on their ability, not their race.
In conclusion, if the government demanding on employee, they will offer to attract unemployment for work with regulation that gives benefit to employee, so the supply of the employee might rise. And if the government wanted to reduce employment, they will force employers or trade union to raise the demand labor (with the new regulation)
Could government change the influence the demand and supply of labour,firstly government could changes the supply and demand of labour by their restriction or laws enforced to the nation and there are many ways such as
ReplyDeleteFirst is about age restriction like in Indonesia we have a law that people below 18 years are not allowed to work in and factory because they still must learn and this can cause less supply of workers but if there is no such regulation there will be a very big supply of workers.
Second is setting minimum wages so by this the price of workers increases so many people could have a better welfare but because of this the company will have less workers because the workers payment will be high.
Third is government loan with low interest so more people will borrow and created more business ideas so because there Are more business created definitely more workers gonna be hired.
Fourth is to change income taxes, usually big company have troubles because of the taxes they must pay a lot for it so if there are low taxes there will be chances for company to higher production and so more workers gonna be hired but they could increases it so the company will make less production and so they will fired workers.
Fifth is to make regulation of business easier so more people will open business and so there will be more demand on workers because they will need workers to do the job because if the regulation to open a business is very complicated people will think its easier to work for other company than opening their own business opportunities that can cause more supply of workers.
Sixth is by government making job places for people so there will be people who work for the government like by making job fields by this the government can change the demand and supply of workers because more workers are gonna work for the government.
Seven is by giving no discrimination so the government can enforce law that we are not allowed to be racist in payments of workers since some workers are paid more because of the skin colour,religion or gender so more worker will have better welfare and more are willing to work.
Social security also could affect if government enforce a rule about social security that the workers will have old age pension more people will think its better to became a worker than opening a business so then the supply of workers will increase.
Government also can make rules to decreased the work hours of the workers so more people will work rather than opening a business because it only took less of their time so supply of workers also will increase.
So my conclusion is government have many influence for the demand and supply of labour because they can enforce rules and regulation that company must obey such as age restriction minimum wages,loan with low interest,change in income taxes,changing regulation,making new job places and many more and this can cause a shift in demand or supply of labours.
In an economic system of a country, government has the power and will certainly interfere in the labour and also goods demand and supply. In labour demand and supply, government’s interference is to ensure there is a suitable amount of demand and supply of the employees and employers. The government can change the rules of the country on labour to protect the rights of employees and employers, to outlaw and regulate restrictive practices that may be used by powerful tade unions and major employees, to raise the wages of the lowest paid workers, to reduce unemployment, to outlaw unfair discrimination.
ReplyDeleteTo protect the rights of employees and employers, government gives health and safety regulations to provide the employers and workers certain rights and to make them responsible for observing the rights and responsibilities of each other. For example: in creating a healthy and safe working environment the employers have to provide necessary safety equipments for the employees while they are working in certain sites. And for the employees they have to wear the safety equipments provided and also obey the rules and regulations that are stated in their working place such as the no smoking sign.
To outlaw and regulate restrictive practices that may be used by powerful trade unions and major employers, government control the power of employers and trade unions over wages and working conditions. For example, in Indonesia both employers and employees have to know their legal rights and responsibilities including the way to express their needs and wants to each other such as during strikes a trade union may also be responsible to the damages or loses that a company or employers suffer.
To raise the wages of the lowest paid workers, government give a minimum wage legislation designed to protect vulnerable and low paid workers from exploitation by powerful employers. For example government set a minimum wage depend on the economy condition of their country to ensure that the workers will be able to survive with their daily needs based on the wage that they received. Moreover, this is to make sure the wage is also not too high for the employers to pay, so both the employers and employees can meet their needs without exploiting another.
To reduce unemployement, government provide unemployed workers with help retraining in the new skills required for employment in new growing industries and occupations such as giving them knowledge on the new technology as well as skill that is needed in the present economic and industries. The other way that government do to help the unemployed is setting up a firm that manage the human resource to help the people that seek for jobs and also companies that need employees. Thus the firm can connect the unemployed people and also the companies that need employees.
To outlaw unfair discrimination, the government set up the rules and regulations universally without the boundaries of age, gender, race and religion. For example the minimum wage apply in a country is valid to old and youngs as well as male and female equally.
Therefore the government interference in labour is to make sure that the demand and supply of employment is fair to all of the people so that it will give a good output to the economy of the country.
Vincent CIA
8B
Government has the power and role affecting the demand and supply of the labor market. They have an important role which to protect the rights of employees and employers. They make rules and regulations which we have to obey.
ReplyDeleteFirst is about the minimum wage the government. Firstly, it is the wage rate established by the government in order to help the low-paid employees and vulnerable people to get a sufficient money/wages to support their life, it also protect them from the powerful employer from giving the employees a low wages so they will get more profit. Every country has different minimum of wage, not only per country but in one country the rate will be different too per province because the value of each object in every place is different. For example: Indonesia, in Jakarta the minimum wage paid is Rp.2,200,000 while in Bali the minimum wage paid is Rp.1,181,000. When the government decide to rise the minimum wage paid from Rp.2,200,000 into Rp.3,000,000. It will be a good news for the employees but sincerely big no for the employers, moreover to the small companies, they will have less profit for themselves. And favorable minimum wages set above free market wage levels will raise production cost and reduce the labor demand.
Second is about protecting the rights of the employees-supply of labor and employers-demand for labor by the regulations made. Workers can get the protection from the government for the safety of the work. Some employers/business don’t give their employee their rights. A good employer/business will provide their worker their rights for example the safety guarantees and the environment where the worker will work. And for both employers and employee, they have to follow the rules of the business like for example: dress code/uniform, time of work, number of taking day-off, etch.
Third is about improving the ability of the labor. Government try to help the citizens to improve their ability and knowledge in many ways, for example is the government give a free school for education of the poor. By doing this, the future generation of the country will be more educated and skilled compared to the previous generation. In this case, the business will requite those citizens and there will be less unemployment.
Fourth is increasing the public facility. By this activity, it can reduce the unemployment too. By logic, a person will be lazy if his/her work place is far away from their house. Take an example in Indonesia: someone named A live in west of Jakarta, and her place of work is in south of Jakarta, she will have to wake up really early to get on time for the work, afraid of the traffic jam of course. Maybe the government can build an MTR just like in HK, Singapore, Japan ad etch. Only super rich people can have their own car, and most of the citizens go around by walking, cycling and riding the MTR. Its fast and can fit a lot of people. And the people in Hk can live a the edge of the country and work at the other edge because they have the MTR which they only need to pay when they get into the MTR and out.
And the fifth is, the law for discrimination. The governments made a universal rule that every employers may not discriminate their employees on how they work or while picking which one will be taken for the job. Example: gender, religion and race. For example: long time ago, in America, black people re being hated and rarely someone will make them as a worker, but no for white.
Thank you, thania vireta
The government has the role to effect the demand and supply of labour. This important role protects the rights of employees.The government made rules and regulations which companies should obey to protect the employees rights.
ReplyDeleteFirst, is the minimum age requirements.The minimum age requirement varies in different countries. This rule should be obey by all of the companies in that country. If a company hires a worker below the age requirement to work , it will be illegal.
Second is the minimum wage rate. The minimum wage rate also varies in different countries ,even in states or province.For example : the minimum wage rate in jakarta is 2 million but in Sumatra it is 1.37 million . So in countries, states and province are all differents .In order to help insufficient people. The governtment decides a wage rate so the insufficient people could fullfill their needs and wants.
Third is about the rights of employees . There are some companies which do not give the workers what they deserve. Example: The work environment and facility is not good , the company doesn't give any holiday to the worker even if there is public holiday, the company forces the workers to work harder and longer, company asks the employees to do things they should not do. To prevent things like this to happen , the government creates rules and regulation to company.
Fourth , laws for discrimination. The leaders of the world made a rule for companies around the world that the employers should not be discriminated. Companies should not only choose workers that are their kind , race , skin colour or religion.For example : In the 1000s to 1900s people that are black all around the world are discriminated by people and they are rarely hired by companies.
Labour market is the connection/interaction between employer and employee which is the demand and supply of labour. Labour demand (demand for labour) is a derived demand,it's the total amount of time an employer wants a worker to work. Derived demand are demands that helps in a production of another product. While labour supply is the total amount of time that a worker wants and is wiling to do.
ReplyDeleteIn a country's economy, there will be the public (government) sector and the private sector, this is called as the mixed economy. If the government would not have any part of this, it would be called as a free market, where the prices for goods will go up and less wages, etc, so this where the government comes in, they have rules and regulation we have to follow in order to maintain the economy. Regulation is enforcing laws to create limits, it can take up many forms, example, legal regulations.
Regulation given by the government are:
Minimum wages, the employer/firms must pay the worker equivalently with the demand and supply for labour and also the the output. A bad example of not following it, is slavery, the workers are paid less then what they should have been given and now it has been banish of having slaves.
Prices of goods, when a good's price is too high, some may not be able to afford it and when it's too low the firms will have no profit, so the government must set the limit on how the price would be.
Subsidy, with more subsidy given to the poor-moderate class family/people, they can afford better education, which means increasing the skilled worker supply and also afford better houses and other goods which can improve their lifestyle.
Taxes, the government could either decrease or increase the taxes, both workers and firms have to pay more, the money taken would be used for the country (ex. Military) which means benefits for us as a whole country, more safe, better defenses, better hospital, etc. While by decreasing the taxes, the country would have less money and we'd have lesser protected country, etc.
Social security, a worker would be more motivated in working when they know that their working in a safe place which increases the firm's productivity.
Discrimination, generally, women earns less then mens, this is a discrimination by gender. People treats disabled people differently. This is not allowed, we can't just discriminated another just because we have different religion, our disability, or race and especially gender, we are human just like others, why must we discriminate others, there is no need in that nor any benefits in that.
Training/Education, people who are the non-skilled workers are given training by the government in order to improve their capabilities, which also means increasing the supply of labour
So in conclusion, the government is a big influence in the demand and supply for labour, the government gives out rules and regulation to keep the order in the economy of the country.
Grace -8B
Labour market is the connection/interaction between employer and employee which is the demand and supply of labour. Labour demand (demand for labour) is a derived demand,it's the total amount of time an employer wants a worker to work. Derived demand are demands that helps in a production of another product. While labour supply is the total amount of time that a worker wants and is wiling to do.
ReplyDeleteIn a country's economy, there will be the public (government) sector and the private sector, this is called as the mixed economy. If the government would not have any part of this, it would be called as a free market, where the prices for goods will go up and less wages, etc, so this where the government comes in, they have rules and regulation we have to follow in order to maintain the economy. Regulation is enforcing laws to create limits, it can take up many forms, example, legal regulations.
Regulation given by the government are:
Minimum wages, the employer/firms must pay the worker equivalently with the demand and supply for labour and also the the output. A bad example of not following it, is slavery, the workers are paid less then what they should have been given and now it has been banish of having slaves.
Prices of goods, when a good's price is too high, some may not be able to afford it and when it's too low the firms will have no profit, so the government must set the limit on how the price would be.
Subsidy, with more subsidy given to the poor-moderate class family/people, they can afford better education, which means increasing the skilled worker supply and also afford better houses and other goods which can improve their lifestyle.
Taxes, the government could either decrease or increase the taxes, both workers and firms have to pay more, the money taken would be used for the country (ex. Military) which means benefits for us as a whole country, more safe, better defenses, better hospital, etc. While by decreasing the taxes, the country would have less money and we'd have lesser protected country, etc.
Social security, a worker would be more motivated in working when they know that their working in a safe place which increases the firm's productivity.
Discrimination, generally, women earns less then mens, this is a discrimination by gender. People treats disabled people differently. This is not allowed, we can't just discriminated another just because we have different religion, our disability, or race and especially gender, we are human just like others, why must we discriminate others, there is no need in that nor any benefits in that.
Training/Education, people who are the non-skilled workers are given training by the government in order to improve their capabilities, which also means increasing the supply of labour
So in conclusion, the government is a big influence in the demand and supply for labour, the government gives out rules and regulation to keep the order in the economy of the country.
Grace -8B
Tax - the government might increase the tax or decrease . The uses of tax is to build a good country . The money that the government got from the tax will be used for the country. For example : to make a better education and better medical care. Subsidy - the government will give subsidy to those family that poor. Those family will got a subsidy from the government that can increased the skilled worker supply and also afford better houses and other goods which can improve their lifestyle. Discrimination - generally , man always earn more money than women . This is a gender discrimination . They also have the discrimination in work place. For example that black people cannot work in that place. This is the discrimination by white people. Sometimes they also discriminate by disability. This means that some people are not perfect at the job may not work in that area.
ReplyDeleteLeonardo-8B
The government has the role to effect the demand and supply of labour. This important role protects the rights of employees.The government made rules and regulations which companies should obey to protect the employees rights. The first thing is age requirement. For example : in that type of work , it is needed above 25 age . So people under-age may not work in that places . Wage discrimination – An example would be when an employer offers a lower wage for a woman doing similar work as a man or offers a lower wage to new immigrant having similar experience/skills as a non-immigrant. There are also discrimination by religion : Religious discrimination involves treating a person (an applicant or employee) unfavorably because of his or her religious beliefs. The law protects not only people who belong to traditional, organized religions, such as Buddhism, Christianity, Hinduism, Islam, and Judaism, but also others who have sincerely held religious, ethical or moral beliefs.
ReplyDeleteReligious discrimination can also involve treating someone differently because that person is married to (or associated with) an individual of a particular religion or because of his or her connection with a religious organization or group.
And Race / colour : The law forbids discrimination when it comes to any aspect of employment, including hiring, firing, pay, job assignments, promotions, layoff, training, fringe benefits, and any other term or condition of employment. They are called racist people. That's all from me
Leonard - 8B
*Leonardo - 8B
ReplyDeleteSorry sir Bipin for the late submission. I forgot to check your blog. Thank you sir. Won't happen again :d