Question Hello Sir,
I have read about Minimum wage law. Is there Maximum wage law also? if so then what it is?
I have searched web but not get clear answer.
waiting for answer
Thanks!
Take Care Sir!
Answer Thank you for your query. Thus far there is no such thing as mandatory maximum wages. Some companies, such as Ben and Jerry's, they do have some capping on wages, eg the ceo may not make more than x number of times the lowest paid employee. As a matter of fact, minimun wage is a minimun price. Wages are the price of Labour. Thus, as with any economic factor, good or service, its price should be determined by supply and demand, by the market. Putting a floor or a cap is just a way to introduce more imperfections to the market. Good luck.
