Minimum Wage − Minimum Income − Unconditional Basic Income?

Abstract

Changes in the labour market have marked features that are important for previous eras. These changes are primarily changes as digitalization comes to the fore, which significantly changes the structure of the labour market. The time lag between job losses and new jobs created due to new technologies, as well as possible retraining, will result in an intermediate time interval. This time interval for maximum service will be characterized by a low-skilled workforce. Starting out, however, from the principle of state social welfare, we cannot leave these persons without benefits. The question was made especially topical by the COVID-19 epidemic, which also reached Europe in the spring of 2020. In several countries, basic income or -similar social benefits have been introduced. The reason for this move is the significant employment crisis that has resulted in the lockdown used by some countries to stop the spread of the virus. The basic income is, however, only one element of the system, which is why it is necessary to examine the issue in relation to the minimum wage and minimum income.