ILO: wage increases global falls to its lowest level in 4 years – The Trade

(EFE). The rising wages has slowed since 2012 to the global level, the move from 2.5% this year to 1.7% in 2015, which represents its lowest level in four years, revealed today a new study in the International Labour Organization (ILO).

If in this calculation as it excludes China, where wages increased at a faster rate than in any other part of the world, the rise in wages overall is even smaller, going from 1.6% to 0.9%, according to the Global Wage Report 2016-2017.

According to the ILO, after the financial crisis between 2008 and 2009, the increase in the real wage began to recover in 2010, but slowed down from 2012.

In the aftermath of the crisis, the pay rise was driven in large part by the relatively strong wages in the regions and countries in development. However, this trend has slowed more recently, or even been reversed.

Thus, among the emerging and developing countries that are part of the G20, the increase in the real wage grew from 6.6% in 2012 to 2.5% in 2015, according to the ILO.

in contrast, In the industrialized countries of this group increased from 0.2 % in 2012 to 1.7% in 2015, the highest rate of the last ten years.

last year, wages increased by 2.2% in the united States, 1.5% in Northern Europe, South and West and 1.9% in the countries of the European Union (EU).

however, the recovery of the salary in some developed economies was not enough to offset the decline in emerging and developing countries.

The deputy director general of Policy of the ILO, Deborah Greenfield, expressed his concern for the evolution of wages, because that can affect the income of households and thus consumption, aggregate demand and contributing to deflation.

The report of the ILO finds large differences between the regions with developing economies.

Indicates, for example, that in 2015, the wage growth remained relatively strong at 4.0% in the southeast asia and the Pacific, while it decreased to 3.4% in central and west Asia and stood at approximately 2.1% in the arab states and 2.0% in Africa.

By contrast, wages real fell last year by 1.5% in Latin America and the Caribbean, in a large measure for the decline of wages in Brazil, and by 5.2% in eastern Europe, mainly due to the fall of wages in Russia and Ukraine.

In terms of the distribution of income, the ILO stresses that the disparity “is more acute in the top of the pay scale.

salaries will go up gradually by levels, but increase drastically for the 10% that is located at the top of the scale, and even more for the 1% of the employees are better paid.

In Europe, 10% of the workers are better paid perceived of average 25.5% of the total volume of wages paid to all workers in their respective countries, which is almost the same that receives 50% of the lowest paid workers (29.1%).

The difference of salary , which receives 10% of the workers are better paid is even larger in some emerging economies such as Brazil, where this segment of employees earn 35% of the salary mass, in India (42.7%) and south Africa (49,2%).

Also by gender inequalities continue to exist: while the pay gap per hour between men and women in Europe is around 20%, for the 1 % in the highest range of salaries comes to be 45%.

Among the women and the men who hold senior management posts in the top 1%, the difference is more than 50%.