Training and the New Minimum Wage

8 Pages Posted: 17 May 2004

See all articles by Wiji Arulampalam

Wiji Arulampalam

University of Warwick - Department of Economics; IZA Institute of Labor Economics

Alison L. Booth

Australian National University (ANU) - Research School of Social Sciences (RSSS); Centre for Economic Policy Research (CEPR); IZA Institute of Labor Economics

Mark L. Bryan

University of Essex - Institute for Social and Economic Research (ISER)

Abstract

Using the British Household Panel Survey, we estimate the impact of the national minimum wage, introduced in April 1999, on the work-related training of low-wage workers. We use two 'treatment groups' - those workers who explicitly stated they were affected by the new minimum and those workers whose derived 1998 wages were below the minimum. Using difference-in-differences techniques for the period 1998 to 2000, we find no evidence that the introduction of the minimum wage reduced the training of affected workers and some evidence that it increased it.

Suggested Citation

Arulampalam, Wiji and Booth, Alison L. and Bryan, Mark L., Training and the New Minimum Wage. Available at SSRN: https://ssrn.com/abstract=547502

Wiji Arulampalam (Contact Author)

University of Warwick - Department of Economics ( email )

Coventry CV4 7AL
United Kingdom
01203 523471 (Phone)
01203 523032 (Fax)

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Alison L. Booth

Australian National University (ANU) - Research School of Social Sciences (RSSS) ( email )

Canberra, Australian Capital Territory 0200
Australia
+61 2 6125 3285 (Phone)
+61 2 6125 0182 (Fax)

Centre for Economic Policy Research (CEPR)

London
United Kingdom

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Mark L. Bryan

University of Essex - Institute for Social and Economic Research (ISER) ( email )

Wivenhoe Park
Colchester CO4 3SQ
United Kingdom
+44 1206 874683 (Phone)
+44 1206 873151 (Fax)

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