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Regional evidence on the effect of the National Minimum Wage on the gender pay gap

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  • Robinson, Helen

    (Cardiff University)

Abstract

We study the evidence of change in the gender wage gap across regions around the introduction of the National Minimum Wage (NMW) in Britain. As the proportion of low paid workers continued to vary across British regions, so did the relative share of men and women paid below the NMW before its introduction. This variation provides a "quasi" natural experiment with which to try and measure the effect of the introduction of the NMW. Using difference-in-differences type estimation, we conclude that there is variation in the narrowing of the overall gender pay gap across regions, consistent with regional differences in the incidence and magnitude of low pay.

Suggested Citation

  • Robinson, Helen, 2003. "Regional evidence on the effect of the National Minimum Wage on the gender pay gap," Royal Economic Society Annual Conference 2003 176, Royal Economic Society.
    • Handle: RePEc:ecj:ac2003:176
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    References listed on IDEAS

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    1. Marianne Bertrand & Esther Duflo & Sendhil Mullainathan, 2004. "How Much Should We Trust Differences-In-Differences Estimates?," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 119(1), pages 249-275.
    2. Richard Dickens & Alan Manning, 2004. "Has the national minimum wage reduced UK wage inequality?," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 167(4), pages 613-626, November.
    3. Alana Gilbert & Euan Phimister & Ioannis Theodossiou, 2001. "The Potential Impact of the Minimum Wage in Rural Areas," Regional Studies, Taylor & Francis Journals, vol. 35(8), pages 765-770.
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    Cited by:

    1. David Metcalf, 2002. "The National Minimum Wage: Coverage, Impact and Future," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 64(supplemen), pages 567-582, December.
    2. Boris Hirsch & Marion König & Joachim Möller, 2013. "Is There a Gap in the Gap? Regional Differences in the Gender Pay Gap," Scottish Journal of Political Economy, Scottish Economic Society, vol. 60(4), pages 412-439, September.
    3. Howell, Anthony, 2020. "Minimum wage impacts on Han-minority Workers’ wage distribution and inequality in urban china," Journal of Urban Economics, Elsevier, vol. 115(C).
    4. Caliendo, Marco & Wittbrodt, Linda, 2022. "Did the minimum wage reduce the gender wage gap in Germany?," Labour Economics, Elsevier, vol. 78(C).
    5. Majchrowska, Aleksandra & Strawiński, Paweł, 2018. "Impact of minimum wage increase on gender wage gap: Case of Poland," Economic Modelling, Elsevier, vol. 70(C), pages 174-185.
    6. Ines P. Murillo Huertas & Raul Ramos & Hipolito Simon, 2017. "Regional Differences in the Gender Wage Gap in Spain," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 134(3), pages 981-1008, December.
    7. Shi Li & Xinxin Ma, 2015. "Impact of minimum wage on gender wage gaps in urban China," IZA Journal of Labor & Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-22, December.
    8. H. Ada & Elizabeth Roberts & Robert Elliott & David Bell & Anthony Scott, 2006. "Comparing the New Earnings Survey (NES) and the Labour Force Survey (LFS): An Analysis of the differences between the data sets and their implications for the pattern of geographical pay in the UK," Regional Studies, Taylor & Francis Journals, vol. 40(6), pages 645-665.
    9. 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).
    10. 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).

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    More about this item

    Keywords

    gender wage gap; difference-in-differences;

    JEL classification:

    • J38 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Public Policy

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