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Mindestlohneffekte des Entsendegesetzes? : eine Mikrodatenanalyse für die deutsche Bauwirtschaft (Minimum wage effects of the worker posting law? : a micro data analysis for the German construction sector)

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Author Info
König, Marion () (Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany])
Möller, Joachim () (Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany])

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Abstract

"The aim of this study is to analyze impacts of the introduction of the minimum wage in the German construction sector on wages and employment using micro data. The introduction of the minimum wage in 1997, which is binding for all blue-collar workers, is related to the Worker Posting Law. Following a difference-in-differences approach we propose a method to identify the effects despite the lack of information on working hours. In contrast to other studies the size of the treatment and control group is not exogenously given, but is determined by the maximum-likelihood criterion. Our results show positive wage growth effects of the minimum wage regulation in both the eastern German and the western German construction sector. Regarding the employment effects, the results for the two parts of the country differ clearly. The employment effects are negative for eastern Germany, and positive - although not always statistically significant - for western Germany." (author's abstract, IAB-Doku) ((en))

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Paper provided by Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany] in its series IAB Discussion Paper with number 200730.

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Length: 43 pages
Date of creation: 24 Nov 2007
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Handle: RePEc:iab:iabdpa:200730

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Keywords: Mindestlohn - Auswirkungen; Lohnhöhe; Beschäftigungseffekte; Baugewerbe; Arbeitnehmerentsendegesetz; IAB-Regionalstichprobe; Westdeutschland; Ostdeutschland; Bundesrepublik Deutschland;

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Find related papers by JEL classification:
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
J38 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Public Policy

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  6. David Neumark & William Wascher, 2000. "Minimum Wages and Employment: A Case Study of the Fast-Food Industry in New Jersey and Pennsylvania: Comment," American Economic Review, American Economic Association, vol. 90(5), pages 1362-1396, December. [Downloadable!] (restricted)
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    Other versions:
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