I live in a developing country, where unemployment is at roughly 25%. There is a large divergence in population whereby skilled workers are typically active within in the manufacturing, finance, tourism, retail etc. sectors, however the bulk of the unskilled population typically would/could find employment in other sectors such as Manufacturing(again), Mining, Agriculture, construction and the like.
The problem is, within a highly unionised country, minimum wage is set to first world standards whereby its mostly cheaper to export our raw materials, and buy back finished products from China, India etc.
Is there a timing factor associated with implementation of minimum wage? surely there are natural supply vs demand factors at play in determining minimum wage. would it not be better to reach a critical mass in the labor force whereby skills, infrastructure & techniques are at par with international competition.