RESEARCH by a management consultancy group shows that clerical workers, or more commonly “white-collar” workers, do not seem to benefit from pay increases compared to senior managers, especially in Asian countries whose economies are booming.

Results of global management consultancy firm Hay Group’s “Pay Gap Report in Asia-Pacific,” shows that countries like Vietnam, Thailand and emerging global powerhouse China led the top 13 pay gap rankings in the region, with pay-gap multiples of 11.7, 10.6, and 10.5, respectively. In these countries, the “gross base salary” of senior managers is over 10 times higher than their clerical staff last year.

The report was compiled by comparing detailed cross-country pay information from Hay Group PayNet at management (head of function/department) and clerical/junior professional levels.

The report showed the Philippines placing 8th out of the top 13 countries.

“The pay gap in the Philippines has remained fairly constant in part due to the strong union movement. Developed Asian economies like Hong Kong, Singapore and South Korea have remained fairly consistent but we expect the gap to widen in the mid- to long-term as the global war for top level management talent intensifies,” said Roland Ruiz, managing director, Reward Information Services Asia, Hay Group, in a statement.

In other, more developed economies such as Australia, South Korea and New Zealand, pay gaps for white-collar workers compared to senior managers follow the trends of more mature economies like the United Kingdom and the US, which hovers around the 3.1 mark.

Analysis shows the powerful growth of emerging Asian markets is outstripping the global supply of senior managers. In countries like Vietnam and China, there is a real lack of management talent and the pay is indicative of the premiums being paid to managers to attract and retain them. This trend is likely to continue as the Asian economy continues to enjoy positive growth,” Ruiz said.

Thailand’s economic growth is not like that of Vietnam or China. Being second-place points to the fact that starting salaries for clerical jobs in Thailand are still relatively low, Ruiz pointed out.

A further analysis showed that the gap is not narrowing in Asia compared to Australia and New Zealand, hovering around the 3.0 mark. In India, China, Vietnam and Thailand, Ruiz said the pay gap has been steadily increasing over the past 3 years in conjunction with their respective economic gains.

“There are social and business implications of this trend of ever-widening pay gaps in Vietnam, China, India and Thailand. Governments may choose to impose minimum wage schemes or reform their tax structures in the short term, or invest in more education and training in the longer-term so as to spread the economic gains. All these will have implications on companies doing business in these countries,” Ruiz said.

SM Investments Corp., a listed holding company led by shopping mall magnate Henry Sy Sr., has tapped European hotel operator Accor to run its P2.8-billion hotel in Mactan, Cebu.

Pay gap between clerks and managers in Asia widens

RESEARCH by a management consultancy group shows that clerical workers, or more commonly “white-collar” workers, do not seem to benefit from pay increases compared to senior managers, especially in Asian countries whose economies are booming.

LEGACY Ventures Realty and Development Inc. is investing about P1.35 billion for its first real-estate project in the Manila Bay area.

The project offers bold guarantees for delays in the turnover of units and depreciation of the property.

This has reference to Securities and Exchange Commission’s  (SEC) authority or power to suspend, or revoke, after proper notice and hearing, the franchise or certificate of registration of corporations, partnerships or associations upon any of the grounds provided by law. (See: Section5 (m) of the Securities Regulation Code of 2000 (SRC.)