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Evaluating the Introduction of a National Minimum Wage: Evidence from a New Survey of Firms in Ireland

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  • Donal O'Neill
  • Brian Nolan
  • James Williams

Abstract

. In April 2000 the Irish government introduced a national minimum wage of IR£4.40 (€5.58) an hour. We use data from a specifically designed survey of firms to estimate the employment effects of this change. Employment growth among firms with low‐wage workers prior to the legislation was no different from that of firms not affected by the legislation. A more refined measure of the minimum wage, however, suggests that the legislation may have had a negative effect on employment for the small number of firms most severely affected by the legislation. However, the size of these effects is relatively modest.

Suggested Citation

  • Donal O'Neill & Brian Nolan & James Williams, 2006. "Evaluating the Introduction of a National Minimum Wage: Evidence from a New Survey of Firms in Ireland," LABOUR, CEIS, vol. 20(1), pages 63-90, March.
    • Handle: RePEc:bla:labour:v:20:y:2006:i:1:p:63-90
    DOI: 10.1111/j.1467-9914.2006.00334.x
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    Cited by:

    1. Alan Manning, 2021. "The Elusive Employment Effect of the Minimum Wage," Journal of Economic Perspectives, American Economic Association, vol. 35(1), pages 3-26, Winter.
    2. Sarah Voitchovsky & Bertrand Maitre & Brian Nolan, 2012. "Wage Inequality in Ireland’s “Celtic Tiger” Boom," The Economic and Social Review, Economic and Social Studies, vol. 43(1), pages 99-133.
    3. Thomas Turner & Michelle O’Sullivan, 2013. "Economic Crisis and the Restructuring of Wage Setting Mechanisms for Vulnerable Workers in Ireland," The Economic and Social Review, Economic and Social Studies, vol. 44(2), pages 197-219.
    4. Friedrich Martin, 2020. "Using Occupations to Evaluate the Employment Effects of the German Minimum Wage," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 240(2-3), pages 269-294, April.
    5. Redmond, Paul, 2020. "Minimum wage policy in Ireland," Papers BP2021/2, Economic and Social Research Institute (ESRI).
    6. Brian Nolan, 2010. "Ireland: A Successful Minimum Wage Implementation?," Chapters, in: Daniel Vaughan-Whitehead (ed.), The Minimum Wage Revisited in the Enlarged EU, chapter 9, Edward Elgar Publishing.
    7. Georgiadis, Andreas & Kaplanis, Ioannis & Monastiriotis, Vassilis, 2018. "The impact of minimum wages on wages and employment: evidence from Greece," LSE Research Online Documents on Economics 91959, London School of Economics and Political Science, LSE Library.
    8. Friedrich Martin, 2020. "Using Occupations to Evaluate the Employment Effects of the German Minimum Wage," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 240(2-3), pages 269-294, April.
    9. Doorley, Karina, 2018. "Taxation, Work and Gender Equality in Ireland," IZA Discussion Papers 11495, Institute of Labor Economics (IZA).
    10. Bargain, Olivier & Doorley, Karina & Van Kerm, Philippe, 2018. "Minimum Wages and the Gender Gap in Pay: New Evidence from the UK and Ireland," IZA Discussion Papers 11502, Institute of Labor Economics (IZA).
    11. Bechlioulis, Alexandros & Chletsos, Michael, 2021. "The differentiated effects of minimum wage reforms on unemployment Evidence from the Greek labor market," MPRA Paper 109327, University Library of Munich, Germany.
    12. BARGAIN Olivier & DOORLEY Karina & VAN KERM Philippe, 2016. "Minimum wages and the gender gap in pay. Evidence from the UK and Ireland," LISER Working Paper Series 2016-02, Luxembourg Institute of Socio-Economic Research (LISER).
    13. E. Calvert & Brian Nolan & Tony Fahey & D. Healy & A. Mulcahy & B. Maître & Michelle Norris & I. O’Donnell & Nessa Winston & Christopher Whelan, 2013. "GINI Country Report: Growing Inequalities and their Impacts in Ireland," GINI Country Reports ireland, AIAS, Amsterdam Institute for Advanced Labour Studies.
    14. Andreas Georgiadis & Ioannis Kaplanis & Vassilis Monastiriotis, 2018. "Greece after the Bailouts: The Impact of Minimum Wages on Wages and Employment: Evidence from Greece," GreeSE – Hellenic Observatory Papers on Greece and Southeast Europe 131, Hellenic Observatory, LSE.

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