Chapter 8: Minimum wages for domestic workers

8.8 Putting the numbers together

Once the calculations on the needs of workers and their families, and economic factors have been done, there will be a series of indicators available for discussion. These will include:
  • the amount required for a worker to support their family
  • the number and profile of households that employ domestic workers
  • their capacity to pay a given wage level
  • the percentage of workers affected if the minimum wage were to increase by a specific amount
  • the minimum wage proposed as a share of the current average wage.

How should these numbers be used to determine a final minimum wage level?

First the indicators could be ranked from lowest to highest. For example, there will likely be several potential minimum wage values based on the needs of workers and their families that could be ranked.

Each of the values for the other indicators falling under economic factors could also be ranked, thereby creating a range of minimum wage values for each indicator. Once the ranges for all of the indicators are overlaid (combined together), the result is a general range of figures wherein social partners can negotiate.

However, the indicators could also be examined individually, and parties to the negotiation process could decide how much weight to attribute to each indicator. For example, some countries may give more weight to the needs required to support a worker and their family, while others may give more weight to trends in productivity. This is described in more detail in chapter 5.