The Impact of the Minimum Wage on Irish Firms. ESRI Policy Series No. 44. May 2002

The National Minimum Wage was introduced in Ireland in April 2000. A survey of firms was carried out by the The Economic and Social Research Institute prior to its introduction, as part of a prospective analysis of the likely impact of the minimum wage. The present study is based on a further survey carried out in late 2000/early 2001, commissioned by the Department of Enterprise, Trade and Employment. This survey interviewed both a substantial proportion of the firms in the earlier sample - for whom the situation "before and after" the minimum wage can be directly compared - and significant numbers of other firms. Here the results from these surveys are used to assess the impact of the minimum wage on employment, wage levels and other aspects of work organisation among Irish firms. Broader issues relating to the impact on the earnings distribution and on household incomes, requiring complementary analysis of individual and household­ level data rather than information from firms, are not addressed