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The Impact of the 1896 Factory and Shops Act on the Labor Market of Victoria, Australia

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  • Seltzer, Andrew J.
  • Borland, Jeff

Abstract

This article examines the effects of the Victorian Factory and Shops Act, the first minimum wage law in Australia. The Act differed from modern minimum wage laws in that it established Special Boards, which set trade-specific minimum wage schedules. We use trade-level data on average wages and employment by gender and age to examine the effects of minimum wages. Although the minimum wages were binding, we find that the effects on employment were modest, at best. We speculate that this was because the Special Boards, which were comprised of industry insiders, closely matched the labor market for their trades.

Suggested Citation

  • Seltzer, Andrew J. & Borland, Jeff, 2018. "The Impact of the 1896 Factory and Shops Act on the Labor Market of Victoria, Australia," The Journal of Economic History, Cambridge University Press, vol. 78(3), pages 785-821, September.
    • Handle: RePEc:cup:jechis:v:78:y:2018:i:03:p:785-821_00
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    Cited by:

    1. Seltzer, Andrew, 2024. "The Political Economy of Minimum Wage Setting: The Factories and Shops Act of Victoria (Australia), 1896-1913," IZA Discussion Papers 16788, Institute of Labor Economics (IZA).
    2. Andrew J. Seltzer, 2024. "The Political Economy of Minimum Wage Setting: The Factories and Shops Act of Victoria (Australia), 1896-1913," CEH Discussion Papers 02, Centre for Economic History, Research School of Economics, Australian National University.
    3. Andrew Seltzer & Martin Shanahan & Claire Wright, 2022. "The Rise and Fall and Rise (?) of Economic History in Australia," CEH Discussion Papers 05, Centre for Economic History, Research School of Economics, Australian National University.

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