Reasons why different workers are paid different wage rates

  1. Productivity of worker 

The more the worker can produce the greater their ability to negotiate higher rates of pay, as measured by their MRP

  1. Different skills / degree 

The skills attaching to different jobs vary and pay is commensurate with the level of skill involved. The greater the skill required to perform the job the greater the rate of pay e.g. a surgeon receives higher pay than a nurse. 

  1. Length of training involved 

The longer the length of time spent in training the greater the rate of pay e.g. a nurse who trains for work in intensive care becomes more specialised and will receive higher pay. 

  1.  Educational qualifications 

The higher the level of education attained the greater the wage rate tends to be. 

  1. Nature / conditions / risk of the job 

Certain jobs have unsociable hours or are temporary and are usually paid higher wages e.g. night shift workers. The more risk involved in the work the higher the rate of pay e.g. prison officers.  

  1. Negotiating strength of the workers’ trade union 

If a worker is a member of a strong trade union this union may be able to negotiate higher wages for their members. They may be successful in bargaining for pay increases when workers, with whose pay they are linked, get a pay increase. 

  1.  Regulation / tradition attaching to certain jobs 

The more regulation or the greater the barriers to entry into an occupation then the higher the rate of pay e.g. legal profession. Some occupations can maintain high pay levels because of the tradition which is attached to such professions i.e. hospital consultants. 

  1. Possession of innate talents 

Some people possess certain talents and thus may be able to earn very high incomes e.g. sports stars, those in the entertainment industry. 

  1. Gender Bias 

Despite legislation a bias continues to exist in the payment of women in the Irish workforce.

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