GSB 7.0 Standardlösung

Ongoing research projects commissioned by the Minimum Wage Commission

Effects of the statutory minimum wage on the wage structure and hours worked

The research project aims at identifying the causal effects on wages and hours worked that have resulted from 1) the introduction of a minimum wage, and 2) its first uprating. The analysis is based on data from the Structure of Earnings Survey (SES), the Earnings Surveys of the German Federal Statistical Office, and the German Socio-Economic Panel (GSOEP). A number of questions will be answered with regard to the development of wages, such as the following: How has the wage structure changed as a result of the introduction and uprating of the statutory minimum wage? What impact did the introduction and uprating of the statutory minimum wage have on hourly and monthly wages for different categories of employees? Additional minimum-wage effects on employees’ non-monetary situations will also be examined. These include aspects such as life satisfaction, motivation and social participation.

Contractors: RWI Leibniz-Institut für Wirtschaftsforschung (RWI) in cooperation with Forschungsinstitut zur Zukunft der Arbeit (IZA) and Institut für Angewandte Wirtschaftsforschung (IAW)

Effects of the statutory minimum wage on employment and unemployment

The objective of the research project is to identify the effects on both employment and unemployment resulting from the introduction of a minimum wage in 2015 and its first uprating in 2017. In addition, the research project will focus on movements in and out of employment within and between firms, on the hiring and firing behaviour of firms and on the employment structure and employment stability within firms.

Contractor: Forschungsinstitut zur Zukunft der Arbeit (IZA)

Effects of the statutory minimum wage on firms

The research project aims at identifying 1) the causal effects of the minimum wage on firms, and 2) the adjustments these businesses have made as a result. Based on existing research findings, the study will evaluate the long-term effects on businesses of the introduction of a minimum wage and also consider the short-term effects of the first and possibly the second uprating. The analysis will consider impacts on productivity, profits, the closure and formation of firms, investments and outsourcing.

Contractor: Institut für Arbeitsmarkt- und Berufsforschung (IAB)

Behaviour of firms and employees in the context of the minimum wage

The objective of the research project is to identify and describe the qualitative effects of the minimum wage on impacted firms and employees and to evaluate their reactions to the introduction of a minimum wage. The focal points of the research are the actions and responses of firms and employees, along with their motives and relevant contextual factors. The research project will look specifically at the effects of the minimum wage introduction in 2015 and its uprating in 2017 in the areas of compliance, implementation costs and adjustment channels. The project will be based on a qualitative research design.

Contractor: Institut für Angewandte Wirtschaftsforschung (IAW)

Awareness of the statutory minimum wage among employees

Based on a representative survey, the project will analyse employees’ awareness of the existence of a statutory minimum wage in Germany and their knowledge of the actual wage level stipulated in the statute.

Contractor: Ipsos

Effects of the statutory minimum wage on self-employment

The research project’s goal is to identify causal effects of the statutory minimum wage on freelance work and self-employment (without employees). The question posed is: What impact did the introduction and subsequent increase of the minimum wage have on the extent of freelance work and self-employment? The nature and characteristics of freelance work and self-employment as compared to other enter-prises are also examined.

Contractor: Zentrum für Europäische Wirtschaftsforschung (ZEW)

Effects of the statutory minimum wage on household income, consumption and savings

The theoretical question of whether the introduction of a minimum wage in Germany affects total gross income, consumption and savings of private households remains an open one. The project will attempt to provide an answer through analysis of the 2015 minimum wage’s impact on income, consumption and savings behaviour of private households. The analyses will be based on the German Socio-Economic Panel (GSOEP) and the German Einkommens- und Verbraucherstichprobe (sample survey of income and expenditure).

Contractor: Deutsches Institut für Wirtschaftsforschung (DIW) in cooperation with Evaluation Office Caliendo

Effects of the statutory minimum wage on the pensions provided by statutory pension insurance

The goal of the research project is to clarify the impact of the statutory minimum wage on pensions. A simulation model will be used to calculate the effect of the introduction of the minimum wage on central pension values. The two main questions the research program addresses are the following: 1) How has the statutory minimum wage affected the adjustment of the current pension value and the different factors in the pension adjustment formula? 2) Do the effects differ across socio-demographic groups, forms of employment or geographic regions?

Contractor: Prognos

The potential usefulness of administrative statistics for evaluating the statutory minimum wage

The aim of the research project is to assess the potential value of German adminis-trative data at the firm level as a tool for evaluating the statutory minimum wage. The relevant data are the German Administrative Data-Firm Level (AFiD) and the Combined Firm-Level Data for Germany (KombiFiD). The research project will clarify the accessibility of the data for periods before and after the introduction of the mini-mum wage and assess whether panel data or cross-sectional data are available.

Contractor: Institut für Sozialforschung und Gesellschaftspolitik (ISG)

Methods of evaluating the effects of the statutory minimum wage on
undeclared work

The research project compares different approaches to the evaluation of minimum wage effects on undeclared work. The evaluation looks in particular at the suitability of conducting ex post analysis of the introduction and first uprating of the minimum wage or of future upratings.

Contractor: Institut für Sozialforschung und Gesellschaftspolitik (ISG)