The Impact of the Introduction of the UK Minimum Wage on the Employment Probabilities of Low Wage Workers

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  • 1 January 2002
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      • Published in RePEc
Abstract
This paper uses individual-level longitudinal data from three contrasting datasets (LFS, BHPS and NES) to estimate the impact of the introduction of the UK minimum wage (in April 1999) on the probability of subsequent employment among those whose wages would have had to be raised to comply with the new minimum. A difference-in-differences estimator is used based on position in the wage distribution.span style="mso-spacerun: yes"> The estimated effect is insignificantly different from zero for all four demographic groups considered. The evidence is consistent across the three datasets and is robust to an extensive range of modifications considered.

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