Minimum Wage Non-Compliance: Evidence from Ireland
11 Pages Posted: 22 Jan 2020 Last revised: 16 Apr 2023
Abstract
We use a unique question from the Irish Labour Force Survey that captures the reasons for workers being paid below the minimum wage. Compared to existing work, this allows us to more precisely identify sub-minimum wage workers. We find that 5.6 percent of minimum wage workers are paid below the minimum wage for reasons other than those permitted under legislation. This is considerably lower than estimates reported in the existing literature.
Keywords: minimum wage, non-compliance
JEL Classification: J22, J23, J31, J32
Suggested Citation: Suggested Citation
McGuinness, Seamus and Redmond, Paul and Delaney, Judith, Minimum Wage Non-Compliance: Evidence from Ireland. IZA Discussion Paper No. 12884, Available at SSRN: https://ssrn.com/abstract=3521702 or http://dx.doi.org/10.2139/ssrn.3521702
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