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Major Issues of Wage Policy in Africa

In: Industrial Relations and Economic Development

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  • Elliot J. Berg

Abstract

The framing of an effective wages policy is nowhere easy, but is especially difficult, and especially important, in developing areas. The degree of government control over wage determination, whether direct or indirect, tends to be greater in these areas, so the impact of public policy decisions is sharper and more extensive. The consequences of error are greater, in both political and economic terms; no element of economic policy touches more sensitive political nerves, none is so capable of shaking the fragile foundations of the state itself. In the poor countries, furthermore, there is less income to distribute, at the same time that social goals tend to be generously defined; between social objectives and budget restraints or market imperatives the gap is distressingly large.

Suggested Citation

  • Elliot J. Berg, 1966. "Major Issues of Wage Policy in Africa," Palgrave Macmillan Books, in: Arthur M. Ross (ed.), Industrial Relations and Economic Development, chapter 0, pages 185-208, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-00306-8_9
    DOI: 10.1007/978-1-349-00306-8_9
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