EconPapers    
Economics at your fingertips  
 

Exploiting the Irish Border to Estimate Minimum Wage Impacts in Northern Ireland

Duncan McVicar (), Andrew Park () and Seamus McGuinness ()
Additional contact information
Andrew Park: University of Ulster

No 11585, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: This paper examines employment and hours impacts of the 1999 introduction of the UK National Minimum Wage (NMW) and the 2016 introduction of the UK National Living Wage (NLW) in Northern Ireland (NI). NI is the only part of the UK with a land border where the NMW and NLW cover those working on one side of the border (NI) but not those working on the other side of the border (Republic of Ireland). This discontinuity in minimum wage coverage enables a research design that estimates the impacts of the NMW and NLW on employment and hours worked using difference-in-differences. We find a small decrease in the employment rate of 22-59/64 year olds in NI, of up to two percentage points, in the year following the introduction of the NMW, but no impact on hours worked. We find no evidence that the introduction of the NLW impacted either employment or hours worked in NI.

Keywords: minimum wages; Northern Ireland; employment; hours (search for similar items in EconPapers)
JEL-codes: E24 J31 J38 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-eur, nep-lma, nep-mac and nep-ure
Date: 2018-06
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3) Track citations by RSS feed

Forthcoming in: IZA Journal of Labor Economics, 2019

Downloads: (external link)
http://ftp.iza.org/dp11585.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:iza:izadps:dp11585

Ordering information: This working paper can be ordered from
IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany

Access Statistics for this paper

More papers in IZA Discussion Papers from Institute of Labor Economics (IZA) IZA, P.O. Box 7240, D-53072 Bonn, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Holger Hinte ().

 
Page updated 2019-09-16
Handle: RePEc:iza:izadps:dp11585