Question

In: Economics

Where do you see discrimination by sex, appearance or age in the market for labor? Do...

Where do you see discrimination by sex, appearance or age in the market for labor? Do you think the excuse of corporate image is a viable reason for this discrimination?

Solutions

Expert Solution

Discrimination exists in the labor market, as employers make pay and job decisions based on biases such as race, gender, religion. This may result in pay fluctuations for the same work and different jobs levels. For example, employers who refuse to hire ethnic minority people or pay women lower wages for comparable jobs. Discrimination leads to lack of support for the deadweight. Some groups of employees may be out of work or have a lower wage than their marginal income product. When businesses have monopoly / monopsony control, discrimination helps corporations to cut costs and get more profits (at the detriment of workers).

Discrimination requires acting on the assumption that members of a certain group are inferior solely due to a factor such as race, gender or religion. There are many types of discrimination, but the focus here will be on labor market discrimination that arises if workers with the same level of skill — as measured by education, experience, and expertise — receive different salaries, receive different salaries, or have different job opportunities due to their race or gender.

Discriminatory practices affect all employees' job satisfaction-not just those who are discriminated against. Promotions, rewards, and incentives will be awarded on the basis of the skills and work results of the candidate. If an employee regularly sees promotions being granted based on gender, race, age or other discriminatory factors, his or her desire to succeed within the company or perform to the best of his or her capacity is negatively impacted.

Discriminatory activities harm the image of the company within the culture to which it belongs. Discrimination will directly impact customers if the organization offers inferior service to a certain category of people based on different demographic factors, including ethnicity. But customers can also be indirectly discriminated against. For example, if you only have steep access to your shop, you inadvertently prevent disabled customers from accessing the services you offer


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