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Income inequality in T&T an issue says Farrell
Chairman of the Economic Advisory Board of T&T, Dr Terrence Farrell said yesterday that trends are showing that there is income inequality in T&T and this can be bad for the domestic economy. He said globalisation has even worsened income inequality.
Farrell said: “Globalisation has in fact created a lot of wealth but at the same time it has also worsened income inequality. Within T&T, US and the UK we are also seeing widening income inequality. What happens is that social dynamics are such that, at some point in time that widening inequality becomes socially unpopular as people begin to rise up.”
Farrell was part of a panel discussion on the external environment in which business must operate, titled, “Optimising your business in the new normal.” The panel was hosted by the T&T Chamber of Industry and Commerce, Westmoorings. Farrell added that both the National Tripartite Advisory Council and the Economic Development Advisory Board are expected to discuss the issue of income inequality. The dynamics of income and the political atmosphere in T&T are to be talked about by both boards also, he said.
Referring to the salaries of senior public servants and ministers, Farrell said the both groups are underpaid and something should be done to improve their salaries. He said there is need to design policies in tandem with the labour market.