Minimum Wages, Earnings and Mobility in the EU

Minimum Wages, Earnings and Mobility in the EU

September 13, 2019

Working Paper

This document summarises the results of several studies exploring the link between the minimum wage and earnings of EU migrant workers in different EU countries. The results reveal important differences about the relationship of minimum wage change and the
earnings of these migrants. For instance, there was a positive increase in the hourly wage of EU migrants in Germany associated with the introduction of the minimum wage in 2015. In Spain, changes in the minimum wage (i.e. Salario Mínimo Interprofesional) during the mid 2000s were negatively associated with the monthly earnings of EU migrants. Finally, in the UK, a higher National Minimum Wage during 2000-2018 was associated negatively with the hourly earnings of EU migrants. Overall, the mixed results suggest that while the minimum wage on its own could play some role in driving migration among EU countries, it is unlikely to be a major driver of EU mobility.

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