Suvarna Garge (Editor)

Labor mobility

Updated on
Edit
Like
Comment
Share on FacebookTweet on TwitterShare on LinkedInShare on Reddit

Labor or worker mobility is the geographical and occupational movement of workers. Worker mobility is best gauged by the lack of impediments to such mobility. Impediments to mobility are easily divided into two distinct classes with one being personal and the other being systemic. Personal impediments include physical location, and physical and mental ability. The systemic impediments include educational opportunities as well as various laws and political contrivances and even barriers and hurdles arising from historical happenstance.

Contents

Increasing and maintaining a high level of labor mobility allows a more efficient allocation of resources. Labor mobility has proven to be a forceful driver of innovations.

International labor mobility

International labor mobility is the movement of workers between countries. It is an example of an international factor movement. The movement of laborers is based on a difference in resources between countries. According to economists, over time the migration of labor should have an equalizing effect on wages, with workers in the same industries garnering the same wage.

Impediments to worker mobility

In the United States:

  • Minimum wage laws that prevent unskilled workers, willing to work below minimum, from entering workforce
  • Absence of "right-to-work" laws / presence of forced unionization
  • Inadequate infrastructure and housing to accommodate fast-moving changes in labor demand
  • Binding ties to a geographic location. e.g., a worker's inability to sell his home for a price that covers his existing mortgage
  • A worker's lack of education or access to education
  • Government mandates on industry labor standards. e.g., license requirements to cut hair or give a massage
  • Unemployment benefits that disincentivize workers from accepting employment at market-clearing wages

    • In the Asia-Pacific:

  • National and regional differences in the qualifications necessary for different jobs
  • A lack of standards for skills and vocations
  • Discrimination based on citizenship or national origin

    • Other impediments:

  • Discrimination based on social class
  • Systems of economics that impede workers.

    • References

    Labor mobility Wikipedia
    (Text) CC BY-SA