WSI Minimum Wage Report 2018: Price inflation suppresses real minimum wage growth

Malte Lübker and Thorsten Schulten
Authors registered in the RePEc Author Service: Malte Luebker

No 39e, WSI Reports from The Institute of Economic and Social Research (WSI), Hans Böckler Foundation

Abstract: In recent months, the call for a minimum wage sufficient to secure a decent existence has been at the centre of public debate both in Germany and more widely across Europe. The European Pillar of Social Rights, proclaimed in November 2017, includes a commitment to 'adequate minimum wages'. French President Macron has also emphasised the key role of minimum wages for the European Social Model. And in Germany, the coalition agreement between the Christian Democrats (CDU), the Christian Social Union (CSU) and the Social Democrats (SPD) states that the new German government will seek to develop a European-level framework on minimum wages. This WSI Minimum Wage Report aims to contribute to this debate by offering a comprehensive analysis of current minimum wage developments in Europe and beyond. One significant finding is that it confirms the scope for more ambitious increases in minimum wages, in particular in Germany, where the minimum wage is currently at a relatively low level in European comparison.

Date: 2018
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