Principles of Employment RelationsIntroductionWaring and Bray (2006) say that the labor market in many cases has been defined as the informal market. The workers can find work and the employers can find the employees who are willing to do the work. In addition to this the labor markets are the ones in which the wage rates are being determined. As in this case it has been seen that the wage rates are the ones that are dependent upon the work being done in the market and the demands being placed from the labors in the market. Teicher and O’Rourke (2006) have argued that in this case it has been seen that the labor market can be local or can be based on an international level.
In some cases the labor markets are often based on the smaller as well as interactive labor markets as these markets are composed of different qualification from the workers, the skills levels as well as the experiences of the employees in this case. Labor market also differs in case of their geographical locations. Within the labor markets an exchange of information takes place in the employers and the employees and this creates innovative skills within the employees and at the work level.
In addition to this it has been seen that the information exchange can be on the basis of wage rates, employment conditions as well as the level of the competition that is being faced. Product market and the labor marketStewart (2008) says that the product market as compared to the labor market has been defined in many ways but the most important aspect that has been given is price discrimination.
It has been seen that among all the main aspects that have been counted in the labor market, as has been deeply analyzed by the analysis, the most important aspect has been price discrimination in the labor market. Brown (2004) says that it has been seen in the case of the labor market that there are different buyers for the same product; thereby, they charge different prices. The product market has been differentiated from the labor market in case of the prices that are being offered for the products in the market by the different suppliers as well as the buyers.
In a single market there can be many buyers and suppliers who can have the tendency of not bargaining on the product price when the price offered is too low as compared to what is being anticipated. Stewart and Williams (2007) say that the labor economics has been seen to be in an in-depth understanding of the functioning and dynamics are related to the market. The suppliers in the case of the labor services are taken into account.
As one can see the employers or the ones that demand the services from the workers are on the top priority of the labor economics. Labor is the amount of work done by the employers and in the greater cases by the employees. Wage in this case has been the main topic of discussion and it has been analyzed that it is the amount that is paid to the workers for the amount of the work that is done by the workers in the labor market.