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The impact on employment of the age related increases in the National Minimum Wage

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posted on 2023-06-08, 11:55 authored by Richard DickensRichard Dickens, Rebecca Riley, David Wilkinson
In this paper we use a regression discontinuity approach to analyse the effect of the legislated increase in the UK National Minimum Wage (NMW) at age 22 on various labour market outcomes. Using data from the Labour Force Survey we find a statistically significant 5% point increase in the employment rate of the low skilled at age 22 years. This is almost wholly explained by a decline in unemployment among men and inactivity among women. We find no effect before the NMW was introduced and no effect at age 21 or 23 years. Our results are robust to a range of specification and tests.

History

Publication status

  • Published

Journal

Low Pay Commission Report

Publisher

Low Pay Commission

Pages

32.0

Place of publication

London

Department affiliated with

  • Economics Publications

Notes

Report for the Low Pay Commission

Institution

Low Pay Commission

Full text available

  • Yes

Peer reviewed?

  • No

Legacy Posted Date

2012-07-03

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