A study conducted by the Organisation for Economic Cooperation and Development (OECD) shows that minimum-wage (MW) employees in the U.S. must work at least 50 hours a week to lift their families out of poverty, triple than the U.K. which is only 16 hours a week (the Wall Street Journal, 6th May 2015).
Unfortunately, the report does not include Indonesia as one of the examples so that I have to calculate it by my own in order to compare Indonesia with other countries. Therefore, in this article, I would like to elaborate this research and its relevancy in Indonesia’s case.
Figure 1: Hours a week a minimum-wage worker with two children would need to work to earn 50 percent of their country’s median household income, a common gauge for the poverty line
Note: I slightly modified this picture by adding Indonesia.
In order to calculate how many hours…
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