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Evaluating the Introduction of a National Minimum Wage: Evidence from a New Survey of Firms in Ireland
Author(s) -
O'Neill Donal,
Nolan Brian,
Williams James
Publication year - 2006
Publication title -
labour
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.403
H-Index - 34
eISSN - 1467-9914
pISSN - 1121-7081
DOI - 10.1111/j.1467-9914.2006.00334.x
Subject(s) - legislation , minimum wage , irish , wage , government (linguistics) , labour economics , wage growth , low wage , business , survey data collection , economics , political science , law , linguistics , philosophy , statistics , mathematics
. 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.