Saturday, 4 May 2013

Minimum wage and inflation

The inflation effect


Published in The News on May 3, 2013

This refers to your editorial titled ‘Workers’ day’ (May 1). The national minimum wage in Pakistan is double than that of Bangladesh (US $80 compared to US $40). However, the increase in minimum wages practically every year has not benefited the Pakistani worker because of high inflation.

Even if the minimum wage is increased to Rs15,000, as promised by the two major political parties, the worker will still not reap the benefit unless inflation is controlled.

Shakir Lakhani

Karachi

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