How minimum wage shortens employment terms?

Guangyuan Guo, Dongmin Hu, Huanhuan Wang, Ji Zhang

Research output: Contribution to journalArticlepeer-review

Abstract

The nationwide implementation of the minimum wage system in 1993 was followed by the “Minimum Wage Regulations” in 2004 with an attempt to enhance regulatory stringency of the system. The article constructs a theoretical model to establish testable propositions and conducts empirical analysis using China's Nutrition and Health Survey data to examine the impact of the minimum wage system on enterprise employment decisions. The findings reveal that the increase in the minimum wage has resulted in a shift towards short-term employment forms, and the strengthening of the minimum wage system in 2004 has further amplified this trend.

Original languageEnglish
Pages (from-to)103-118
Number of pages16
JournalChina Economic Quarterly International
Volume3
Issue number2
DOIs
StatePublished - Jun 2023

Keywords

  • Employment pattern
  • Labor contract term
  • Minimum wage

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