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Minimum Wage Effects on Job Attachment: A Gender Perspective

Author

Listed:
  • García-Morán Eva

    (Institute for Advanced Studies (IHS), Josefstädter Straße 39, 1080 Vienna, Austria)

  • Jiang Ming-Jin

    (Marbella International University Center (MIUC), Avenida Don Jaime de Mora y Aragón, sn Finca El Pinillo, 29601 Marbella, Spain)

  • Rachinger Heiko

    (Department of Applied Economics, Universitat de les Illes Balears, Cra, de Valldemossa, km 7.5, 07122 Palma de Mallorca, Spain)

Abstract

We examine whether the effects of the introduction of a minimum wage on low-pay employment duration in Germany in 2015 are heterogeneous by gender. In order to disentangle the effects on women and men, we estimate a duration model with unobserved heterogeneity in which we allow gender differences and differences before and after the introduction of the minimum wage. We find that the reform does affect women and men differently, in particular, it mainly increases men’s job attachment. These gender differences in job attachment are the strongest for full-time employment. In consequence, although the minimum wage may have been set up as a gender-neutral instrument, in an indirect way, it affects women and men differently. We discuss different mechanisms that could account for our result and carry out several robustness checks.

Suggested Citation

  • García-Morán Eva & Jiang Ming-Jin & Rachinger Heiko, 2024. "Minimum Wage Effects on Job Attachment: A Gender Perspective," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 244(1-2), pages 83-112, February.
    • Handle: RePEc:jns:jbstat:v:244:y:2024:i:1-2:p:83-112:n:7
    DOI: 10.1515/jbnst-2022-0012
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    References listed on IDEAS

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    Keywords

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    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J2 - Labor and Demographic Economics - - Demand and Supply of Labor
    • J38 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Public Policy
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination

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