Question

What factors influence the wages of nonmanagerial workers?

Answer 1

Following factors influence the wages of non managerial workers :-

i) Demand and supply of labour directly affect their wage rate.If there is shortage of workers the wage rate of workers will be generally high and vice versa.

ii) Wages Law also affects the wage rate because organization are bound to comply with the minimum wage rate.

iii) Organization capacity to pay to its workers also affects the wage rate of its workers.

iv) Productivity and efficiency of workers also increases their wage rate and with improved performance it also increases.

v) Trade unions of workers also regulate the wages paid to the workers.