Effects of the German Minimum Wage on Earnings and Working Time Using Establishment Data-Reference-Cited by-同舟云学术

Effects of the German Minimum Wage on Earnings and Working Time Using Establishment Data

Published:2024-07-16 Issue: Volume: Page:
ISSN:0021-4027
Container-title:Jahrbücher für Nationalökonomie und Statistik
language:en
Short-container-title:

Author:

Ohlert Clemens¹

Affiliation:

1. Federal Institute for Occupational Safety and Health (BAuA) 84645 , Berlin , Germany

Abstract

Abstract This study examines the short-term effects of the introduction of a statutory minimum wage in Germany on hourly wages, monthly wages and paid working hours. We exploit a novel panel dataset by linking the Structure of Earnings Survey (SES) 2014 and the Earnings Survey (ES) 2015 and apply a difference-in-differences approach at the establishment level. The results indicate an effect of the introduction of the statutory minimum wage on the average hourly wages of employees in minimum wage establishments of up to 5.9 %. Due to negative effects on average working time of approximately minus 3.1 %, the effects on monthly gross earnings are smaller but still amount to up to 2.7 % on average. The results further suggest that the minimum wage effects on earnings were greater among low-wage employees than on average, in eastern Germany than in western Germany, and among part-time employees and marginal employees than among full-time employees.

Publisher

Walter de Gruyter GmbH

Link

https://www.degruyter.com/document/doi/10.1515/jbnst-2024-0025/pdf

Reference41 articles.

1. Ahlfeldt, G. M., D. Roth, and T. Seidel. 2018. “The Regional Effects of Germany’s National Minimum Wage.” Economics Letters 172 (11): 127–30. https://doi.org/10.1016/j.econlet.2018.08.032.

2. Bachmann, R., H. Bonin, B. Boockmann, G. Demir, R. Felder, I. Ispording, R. Kalweit, N. Laub, C. Vonnahme, and C. Zimpelmann. 2020. Auswirkungen des gesetzlichen Mindestlohns auf Löhne und Arbeitszeiten. Studie im Auftrag der Mindestlohnkommission. Essen: Leibniz-Institut für Wirtschaftsforschung (RWI), Institut für Angewandte Wirtschaftsforschung (IAW) und Forschungsinstitut zur Zukunft der Arbeit (IZA).

3. Bachmann, R., B. Boockmann, M. Gonschor, R. Kalweit, R. Klauser, N. Laub, C. Rulff, and C. Vonnahme. 2022. Auswirkungen des gesetzlichen Mindestlohns auf Löhne und Arbeitszeiten. Studie im Auftrag der Mindestlohnkommission. Essen: Leibniz-Institut für Wirtschaftsforschung (RWI) und Institut für Angewandte Wirtschaftsforschung (IAW).

4. Baumann, A., and O. Bruttel. 2020. “Fünf Jahre gesetzlicher Mindestlohn: Bilanz und Perspektiven.” Aus Politik und Zeitgeschichte 70 (39–40): 4–10.

5. Biewen, M., B. Fitzenberg, and M. Rümmele. 2022. Using Distribution Regression Difference-in-Differences to Evaluate the Effects of a Minimum Wage Introduction on the Distribution of Hourly Wages and Hours Worked. IZA Discussion Paper No. 15534. Bonn: IZA – Institute of Labor Economics.