Flexible wages in Asia boost competitiveness and stabilize employment markets
The article discusses how countries in Asia are focusing on boosting productivity and maintaining stable employment by addressing wage rigidity in labor markets. Japan, Korea, and Singapore have had success with flexible wages, and Malaysia is considering a similar approach. Flexible wages can help companies stay competitive and keep jobs secure, but it requires good relationships between employers and workers, as well as agreement on how to share productivity gains. Having institutions that consider both big-picture and individual factors is also crucial.