Research On The Minimum Wage Standard Of Liaoning Province

The Minimum Wage System is a necessity for governments to interfere withemployment relations. The system plays such an important role in ensuring laborers getreasonable payment that it causes discussion on the importance of its existence at thebeginning of its implementation. Since1993，China has been referring to internationaltradition to implement the minimum wage system，but the result is not so satisfying. Andat the same time，the status quo of labor market in the economic transformation periodchallenges the system. So in the background of economic transformation，clearlyunderstanding the importance of minimum wage system constructing a reasonablepattern of minimum wage system for public selection and setting up minimum wagestandard are not only a necessity for current China’s minimum wage system but annecessity for harmonious development of the society as well.Implementing the minimum wage in China aims to protect low-income workers oflegitimate interest, and to meet basic material needs of daily life. With rapid economicdevelopment, the low-income workers can share the achievement of economicdevelopment as also a necessary requirement to build a socialist harmonious society.However, whether the implementation of the minimum wage system achieves itsoriginal intention? The minimum wage system is one of the intervened means ofgovernment to force market. Whether this measure affects the market mechanism andcause losses? The current minimum wage is appropriate? The minimum wage systemmakes these questions, and we need a systematic in-depth research.In this paper, I collected series of data for basic to conduct a comprehensiveanalysis of the minimum wage system in Liaoning.There are five chapters except introduction in this paper. In chapter one, this articlefirstly introduce the concept of the minimum wage and the human investment, the theoryof the wage limits and the efficiency wage. In chapter two, this part describe the currentsituation and Influencing factors of the minimum wage standard in Liaoning. In chapterthree, this paper mainly analyze a series of factors that influence the minimum wage ofLiaoning, the factors including per capital GDP, average wages,CPI and so on. Selectedindicators from the factors, establish a minimum wage adjustment model, comparison of the predicted value and actual value of the gap In chapter four, analyze the feasibility ofraising the minimum wage under the result of chapter three. In chapter five, get policyrecommendations basing on analysis of previous chapters in this paper, the policyrecommendations as reference for setting up policy in future.