Decent Wages: Theoretical and Methodological Foundations and Evaluation Indicators

The aim of the work is to substantiate the theoretical and methodological foundations of fair wages and develop indicators for evaluating the labor income policy in terms of implementing the principles of decent work at different levels. It is substantiated that the concept of “decent wages” is an organizational and economic mechanism for determining the basic parameters of wages, which provides a decent level of remuneration, fair distribution of the marginal product between the owner and the employee, timely payment and objective differentiation of wages, as well as transparency of the wage policy. The organizational and economic mechanism for determining the basic parameters of wages should be based on the use of market and contractual elements to regulate the size and structure of remuneration, as well as innovative approaches and tools for the formation of various components of remuneration for work. There proposed indicators with the identification of evaluation standards of the labor income policy in terms of implementing decent work principles at macro and micro levels. The developed indicators should serve as a tool for assessing the current state and trends in the development of the labor income policy through the prism of the implementation of the principles of decent work. Further research should focus on developing indicators for evaluating the labor income policies in terms of implementing decent work principles at sectoral and regional levels, monitoring the labor income policies, and elaborating innovative mechanisms for developing the labor income policies based on decent work at different levels.