Evaluation of the existing minimum wage regulations - Sector: main construction trades : research assignment of the Federal Ministry of Labour and Social Affairs (BMAS)). Final report

Abstract

"The effects of minimum wages are equally controversial in both the political and academic spheres. This applies similarly to existing legal regulations for sector-specific minimum wages within Germany. Against this background, the Institute for Employment Research (IAB), the Rheinisch-Westfälische Institut für Wirtschaftsforschung (RWI) und the Institut für Sozialforschung und Gesellschaftspolitik (ISG) investigated the effects of the minimum wage introduced in the main construction sector in 1997 by means of an empirically and methodically very broadly designed study. In doing so, the effects of minimum wage regulations on the development of wages, employment, worker protection, and the competitiveness of establishments were analysed separately for the eastern and western parts of Germany. While the effects on wages in eastern Germany were more pronounced than in the west, in general no evidence was found to imply serious consequences for employment." (Author's abstract, IAB-Doku) ((en))

Cite article

Möller, J., Bender, S., König, M., Vom Berge, P., Umkehrer, M., Wolter, S., Schaffner, S., Bachmann, R., Kröger, H., Janßen-Timmen, R., Paloyo, A., Tamm, M., Fertig, M. & Apel, H. (2011): Evaluation bestehender gesetzlicher Mindestlohnregelungen - Branche: Bauhauptgewerbe. Forschungsauftrag des Bundesministeriums für Arbeit und Soziales (BMAS). Endbericht. Essen, 508 p.