Can a Living Wage Improve Production?

Authored by Anna Kallschmidt

Some international clothing brands such as H&M, Continental Clothing and Mini Rodini have committed to paying workers a living wage. While the companies plan to expand their mission, critics argue that there are many barriers preventing organizations from implementing livable wages for supplier factories’ employees in developing countries. These obstacles include increasing the cost of products for customers, decreasing rates of employment, and increasing the replacement of workers with automation.

This dilemma is especially salient in the Indian garment export sector, where inequalities are so drastic that some workers have reported a month’s wages could not purchase a garment they created. Even so, the garment factor has proven vital to India’s economic growth. While research on living wages has grown in the United Kingdom, United States, and New Zealand, developing countries are drastically under researched. GLOW researcher Dr. Bimal Arora has proposed a study to examine the perspectives on living wages and the capabilities for them in this sector.  Continue reading Can a Living Wage Improve Production?

How to Raise Wages Without Increasing Unemployment

Authored by Anna Kallschmidt

The opposition to increase wages to be “livable” is actually not always heartless. While it may be shocking that some disagree that paying people well enough to afford basic needs (such as healthcare), a major concern that many opposers have is that increasing wages will make employees so unaffordable that they will actually lose their jobs.

When employers have to pay their employees more, they are concerned they will lose profit. This perception has had a devastating impact on low-wage workers; for example, when Wendy’s increased their minimum wage, they also eliminated 31 hours of labor per location every week.

Fortunately, GLOW researcher Dr. Molefe Maleka discovered there is a benefit to employers for retaining employees who are paid a livable wage.  Continue reading How to Raise Wages Without Increasing Unemployment

Living wage policy resources

Resources from the European Association of Work and Organizational Psychology

What is it

Authored by Mendiola T. Calleja, Ateneo de Manila University

Impact For Individuals

Authored by Rosalind Searle, University of Glasgow &
Ishbel McWha-Hermann, University of Edinburgh

A Checklist for Managers

Authored by Andrea Werner: Middlesex University London

The Importance of Supply Chains

Authored by Divya Jyoti & Bimal Arora, Aston University

How to Engage Informal Workers in Work Restructuring Programs

Authored by Anna Kallschmidt

If you remember from our first post, Project GLOW has partnered with the United Nations to use organizational science to address the Sustainable Development Goals…but what has the GLOW community contributed since then? GLOW researcher Dr. Charles Tchagneno’s recent dissertation research contributes to these goals by  investigating how people in developing countries decide to engage in programs that will help them leave low-wage jobs.  Continue reading How to Engage Informal Workers in Work Restructuring Programs

How to Justify Higher Wages

Authored by Anna Kallschmidt

Can the interests of laborers and management align on the same minimum wage?

Recent work by GLOW Researchers Mendiola Teng-Calleja, Donald Jay Bertulfo, Jose Antonio R. Clemente, and Ma. Ligaya M. Menguito in the Philippines are supporting national movements  to shift from “minimum wages to “living wages.” In the Philippines, 26.3% of people live in poverty. Additionally, workers’ groups are emphasizing that minimum wage is not allowing them to utilize their capabilities or live a quality life. However, Silvestre Bello III, the Secretary of the Philippines’ Department of Labor and Employment, has expressed that higher wages can only be justified if they balance the interests of labor and management.  Continue reading How to Justify Higher Wages

How to Fight Poverty with Organizational Science

Authored by Anna Kallschmidt

Poverty is such a pervasive global issue that research by the PEW Research Center found that 71% of the globe lived on under $10 a day in 2011. With such a overwhelming percentage, it can be difficult to know where to even begin in fighting it. However, if you’re an organizational scientist, the United Nations and Project GLOW have a list of objectives for eradicating poverty around the world.

Project GLOW (Global Living Organisational Wage), is a global network of researchers initiated by Dr. Stuart Carr at Massey University in New Zealand. GLOW researchers aim to answer the question, is there a global living wage that permits people, communities, and organizations to thrive Continue reading How to Fight Poverty with Organizational Science