The International Labour Organization (ILO) released the latest edition of its World Wage Report on Monday, showing that the global wage growth hit a decade-low last year, the 21st Century Business Herald reported.
Based on data collected from 136 countries, the report finds that the growth rate of the world's average wage was down from 2.4 percent in 2016 to 1.8 percent in 2017, the lowest since 2008.
Across the G20 countries, the wage growth in real terms (that is, adjusted for price inflation) declined from 0.9 percent in 2016 to just 0.4 percent last year. For the emerging and developing countries in the G20 group, the rate had been fluctuating between the 4.9 percent in 2016 and the 4.3 percent in 2017 according to the report.
Guy Ryder, ILO's Director-General, said that despite a recovery in the GDP growth and a decline in the unemployment rates that are currently taking place in high-income economies, the wage growth in these economies remains sluggish.
"The stagnation in the wage growth erects a barrier for a strong economic growth and a higher living standard," said Ryder. "Countries across the world must try to find a wage growth model which is both sociologically and economically sustainable."
The report also finds that the wage gap between genders worldwide is now staying at a level of 20 percent, meaning that the average wage for male employees is 20 percent higher than that for female employees.
"The wage gap between genders is one of the most distinctive characteristics of social inequality at present," said Ryder. "Countries should find out what lies behind it and step up their efforts to narrow the gender gap."
Latest comments