18th Article | Volume 02 | Issue 02
Balancing Growth and Equity: Exploring Generation Z's Perspectives on Minimum Wage Policy and the Adoption of the Singaporean Model in the Philippines
Severo C. Madrona Jr.
Professor and Dean, College of Business Administration, City University of Pasay
Pasay, Philippines
Abstract
This study investigated Generation Z's perspectives on abolishing the minimum wage in the Philippines and their understanding of the Singaporean Progressive Wage Model (PWM). Utilizing a descriptive survey research design, the study distributed a structured questionnaire to a stratified sample of 600 respondents born between 1997 and 2012. This approach ensured diverse demographic representation across gender, socioeconomic status, education level, and geographic location. Findings indicate a pronounced resistance to the elimination of the minimum wage, with widespread concerns over potential economic instability and increased wage disparity under alternative models such as the PWM. Nonetheless, the PWM received favorable evaluations for its potential to enhance stability (75%), employment conditions (60%), and worker well-being (45%). Conclusively, the study underscores the necessity for improved public education concerning wage models and advocates for policy adjustments tailored to the local socioeconomic landscape to address Generation Z's concerns effectively. Such strategic initiatives are essential for cultivating a more inclusive and equitable labor market.
Keywords: Generation Z, Philippines, minimum wage, Singaporean wage model, wage policy, labor economics
How to cite:
Madrona, S. (2024). Balancing Growth and Equity: Exploring Generation Z's Perspectives on Minimum Wage Policy and the Adoption of the Singaporean Model in the Philippines. International Journal of Multidisciplinary Educational Research and Innovation. 2(2), 275-285. https://doi.org/10.17613/kngm-bp22.
References:
Agárdi, I., & Alt, M. (2022). Do digital natives use mobile payment differently than digital immigrants? A comparative study between Generation X and Z. Electronic Commerce Research. https://doi.org/10.1007/s10660-022-09537-9
Allegretto, S., Dubé, A., & Reich, M. (2011). Do minimum wages really reduce teen employment? Accounting for heterogeneity and selectivity in state panel data. Industrial Relations: A Journal of Economy and Society, 50(2), 205-240. https://doi.org/10.1111/j.1468-232X.2011.00634.x
Arnold, L. (2006). Does the choice between wage inequality and unemployment affect productivity growth? German Economic Review, 7(1), 87-112. https://doi.org/10.1111/j.1468-0475.2006.00148.x
Boockmann, B., Krumm, R., Neumann, M., & Rattenhuber, P. (2013). Turning the switch: An evaluation of the minimum wage in the German electrical trade using repeated natural experiments. German Economic Review, 14(3), 316-348. https://doi.org/10.1111/geer.12016
Brown, C., Gilroy, C., & Kohen, A. (1982). The effect of the minimum wage on employment and unemployment: A survey. NBER Working Paper No. 6. https://doi.org/10.3386/w0846
Djafarova, E., & Foots, S. (2022). Exploring ethical consumption of Generation Z: Theory of planned behaviour. Young Consumers: Insight and Ideas for Responsible Marketers, 23(3), 413-431. https://doi.org/10.1108/YC-10-2021-1405
Eijffinger, S., Olarte, A., & Uras, R. (2019). Heterogeneity in wage setting behavior in a New-Keynesian model. Macroeconomic Dynamics, 24(6), 1512-1546. https://doi.org/10.1017/S1365100518000949
Gevaert, J., Aerden, K., Moortel, D., & Vanroelen, C. (2020). Employment quality as a health determinant: Empirical evidence for the waged and self-employed. Work and Occupations, 48(2), 146-183. https://doi.org/10.1177/0730888420946436
Keatley, D., Hardcastle, S., Carragher, N., Chikritzhs, T., Daube, M., Lonsdale, A. & Hagger, M. (2016). Attitudes and beliefs towards alcohol minimum pricing in Western Australia. Health Promotion International. https://doi.org/10.1093/heapro/daw092
Lasco, C., Myers, R., & Bernsten, R. (2008). Dynamics of rice prices and agricultural wages in the Philippines. Agricultural Economics, 38(3), 339-348. https://doi.org/10.1111/j.1574-0862.2008.00304.x
Lee, D., & Saez, E. (2012). Optimal minimum wage policy in competitive labor markets. Journal of Public Economics, 96(9-10), 739-749. https://doi.org/10.1016/j.jpubeco.2012.06.001
Marimpi, M., & Koning, P. (2018). Youth minimum wages and youth employment. IZA Journal of Labor Policy, 7(1). https://doi.org/10.1186/s40173-018-0098-4
Neumark, D., & Wascher, W. (2006). Minimum wages and employment. Foundations and Trends® in Microeconomics, 3(1-2), 1-182. https://doi.org/10.1561/0700000015
Ng, I., Ng, Y., & Lee, P. (2018). Singapore’s restructuring of low-wage work: Have cleaning job conditions improved? The Economic and Labour Relations Review, 29(3), 308-327. https://doi.org/10.1177/1035304618782558
Norton, M., Neal, D., Govan, C., Ariely, D., & Holland, E. (2014). The not-so-common-wealth of Australia: Evidence for a cross-cultural desire for a more equal distribution of wealth. Analyses of Social Issues and Public Policy, 14(1), 339-351. https://doi.org/10.1111/asap.12058
Ortego-Marti, V. (2016). Unemployment history and frictional wage dispersion. Journal of Monetary Economics, 78, 5-22. https://doi.org/10.1016/j.jmoneco.2015.12.002
O'Sullivan, M., & Royle, T. (2012). Everything and nothing changes: Fast-food employers and the threat to minimum wage regulation in Ireland. Economic and Industrial Democracy, 35(1), 27-47. https://doi.org/10.1177/0143831X12462490
Spitzer, D., Thambiah, S., Wong, Y., & Kaundan, M. (2023). Globalization and the health and well-being of migrant domestic workers in Malaysia. Globalization and Health, 19(1). https://doi.org/10.1186/s12992-023-00925-w
Wahap, D., Jin, E., Wee-Cheng, L., Ngian, E., & Chin, C. (2022). Does electronic word-of-mouth (eWOM) matter? Using PLS-SEM approach to reveal Generation Z online purchase intention. International Journal of Academic Research in Business and Social Sciences, 12(12). https://doi.org/10.6007/IJARBSS/v12-i12/16032.