Global Pay Scales
Steven Cooke, Management Consultant, Philippines
First, "Compensation" is always relative to perceived value. Businesses necessarily want to minimize expenses, workers want to optimize salaries. Optimization is a balance based on available skills and comparative opportunities.
I worked for global corporations for most of my career. Living conditions and costs are different around the world as well. A person needs a fair daily wage for the value given, for the region that they are in. Not everyone can live on $6USD a day, and very few may really be worth more than $5K/day, wherever they are.
Government interference is always a detriment to markets. It may be necessary in some cases, and in international treaties, but it should be minimal for optimum effect.