It is possible for Russians to reduce wage inequality. Although much remains to be done, progress towards this goal is ongoing. This view was expressed by Russian Senator Olga Epifanova in an interview with socialbites.ca.
According to him, there is a tendency to reduce wage inequality in Russia by 2024. He explained that this is facilitated by a significant increase in the minimum wage and its further indexation, as well as state support for enterprises.
“In any case, we must continue to fight against the “gray” labor market, develop the economy everywhere, in all regions, create new enterprises, work on increasing labor productivity, automation, and developing labor-saving technologies. The Russian government is working in this direction, dynamically responding to changes in the economy today, Epifanova noted.
But she did not rule out the existence of vulnerable categories of the population “even with the most positive indicators”. Epifanova explained that income redistribution in favor of less wealthy groups, including the transition to a progressive taxation scale, could help. The senator said that wage inequality is a global problem, and one of the proposed solutions is the introduction of an unconditional basic income. According to Epifanova, this mechanism is very complex, and a lot needs to be changed in the economy and taxation. The senator added that although experiments have been conducted, the mechanism has not been implemented in any country in the world so far.
Epifanova also called for taking into account the regional “polarization” in Russia (high concentration of traditionally highly paid specialists in large cities). According to the senator, this reduces the development potential of other regions, small towns and districts. Therefore, in a small town, government agencies pay less than in a regional center or capital. Another reason, according to the senator, is the geography of the country: specialists in the Far North, the Arctic region and the Far East are paid more for their work. The final salary depends on the region, employer and industry. Epifanova added that now there is a great demand for IT specialists, engineers, technologists and skilled workers. And the salary offers for a toolmaker in different regions – from 80 thousand to 160 thousand rubles. The senator explained that machinists are offered from 100 thousand to 260 thousand rubles, the maximum that can be earned in the Far North.
According to the All-Russian Research Institute of Labor, over the past 20 years, wage inequality in Russia has decreased threefold: at the end of last year, the difference between the lowest and highest average wages was 13.1 times.
Previously It happened It is known which Russians received the highest salaries in August.
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Source: Gazeta
Ben Stock is a business analyst and writer for “Social Bites”. He offers insightful articles on the latest business news and developments, providing readers with a comprehensive understanding of the business world.