The Problem or Wage Determination in Ethiopia: A Case Study of the State-Owned Textile Industries
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Date
1986-06
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A.A.U
Abstract
The objective of this study has been to identify inter'
industry and interpersonal wage differential and to explain
the determinants of mean wags and individual wares in the
state-owned textile industries. The necessary information
was obtained through sample survey and secondary sources,
The coefficient of variation. Simple range, percentages,
standard deviation, coefficient of valuation, Lorenz curve,
Gini efficient, multiple linear and semi- logarithmic regression,
and principal component methods were used to analyze
the data.
The results indicate that 1) the institutional variables
such as the government legislations and directives influence
the wage determination process in the state-owned textile
industries . 2) there exists high inter 'industry and interpersonal
wage differential. 3) production, profit and fixed
assets jointly affect the mean wage differential between the
industries. 4) Education and experience within an industry
are increasing function of wages. Moreover, the variables
sex , marital status, occupation, experience outside the industry,
and change of jobs influence the level of wages in the state"'
owned textile industries.
The paper suggests for the restructuring: of the existing
wage system particularly the introduction of wage policy on
the needs of the economy not only for the textile sector but
also for the whole economy.
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Keywords
Textile Industries, Wage Determination