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Does minimum wage affect workplace safety?

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    SYSNO ASEP0490353
    Document TypeV - Research Report
    R&D Document TypeO - Ostatní
    TitleDoes minimum wage affect workplace safety?
    Author(s) Hradil, Vít (NHU-N)
    Issue dataPrague: CERGE-EI, 2018
    ISSN1211-3298
    SeriesCERGE-EI Working Paper Series
    Series number615
    Number of pages35 s.
    Publication formPrint - P
    Languageeng - English
    CountryCZ - Czech Republic
    Keywordsminimum wage ; job safety ; occupational injuries and illnesses
    Subject RIVAH - Economics
    OECD categoryApplied Economics, Econometrics
    Institutional supportNHU-N - RVO:67985998
    AnnotationEmpirical evidence on the employment effects of minimum wage legislation suggests the possibility that firms react to increases in low-skilled labor costs driven by minimum wages
    by reducing investments in non-wage job aspects, which can mitigate the need for layoffs. Such adjustments may involve the worsening of workplace safety. To evaluate the hypothesis that increases in minimum wages result in a higher incidence of occupational injuries and illnesses, I use employer-level data from the United States and variation in state minimum wages during 1996-2013. The results suggest that states which increase their minimum wage experience an increase in the incidence of occupational injuries and illnesses. The effect appears stronger in industries that employ large numbers of low-wage workers, and those where the workforce is intensively exposed to health risks.
    WorkplaceEconomics Institute
    ContactTomáš Pavela, pavela@cerge-ei.cz, Tel.: 224 005 122
    Year of Publishing2019
    Electronic addresshttps://www.cerge-ei.cz/pdf/wp/Wp615.pdf
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