Minimum wage regulations in developing countries boost income for low-paid workers
Labor regulations and unions have different impacts on labor outcomes in developing countries compared to advanced countries. Minimum wage regulations can increase income for low-paid workers but may also affect employment. Employment protection laws can shift jobs to informal sectors. Unions can influence both wages and nonwage outcomes. The informal sector is growing in developing countries, highlighting the need to understand and support workers in that sector. Cooperation between labor and management tends to lead to better economic results.