Questions about minimum wage

August 10, 2005
Singapore Democrats

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Dear SDP,

With reference to my last mail which you kindly posted on the eight of August. A minimum wage as far as I understand it does not discriminate by race residency or job type. In essence assuming a legislated minimum wage of say X amt then X amt would have to be paid to my Indonesian maid, the Indian construction worker, etc.

Setting X at an excessively low level defeats its purpose. Setting X at an excessively high level would mean paying a lot more for the individuals stated above. As an example the minimum wage applies as well in HK to domestic workers.

Your call in the SDP podcast for greater privatisation of the TLCs was well articulated and well argued.

MARCUS

SDP: Dear Marcus,

Your questions and concerns about the minimum wage will be addressed in an article Minimum wage: What it is and why it’s important which will be posted shortly. Please watch out for it and thank you for your continued interest in the issues we raise on the website and our podcast.