Understanding Wage Floor Setting in Industry-Level Agreements: Evidence from France

Denis Fougere, Erwan Gautier and Sébastien Roux ()

No 10290, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: This paper examines empirically how industry-level wage floors are set in French industry-level wage agreements and how the national minimum wage (NMW) interacts with industry-level wage bargaining. For this, the authors use a unique dataset containing about 50,000 occupation-specific wage floors in 365 French industries over the period 2007-2015. They find that the NMW has a significant impact on the seasonality and on the timing of the wage bargaining process. Inflation, past sectoral wage increases and real NMW increases are the main drivers of wage floor adjustments; elasticities of wage floors with respect to these macro variables are 0.6, 0.4 and 0.2 respectively. Wage floor elasticities to inflation and to the NMW both decrease along the wage floor distribution but are still positive for all levels of wage floors.

Keywords: collective bargaining; wages; minimum wage (search for similar items in EconPapers)
JEL-codes: E24 J31 J51 (search for similar items in EconPapers)
Pages: 51 pages
Date: 2016-10
New Economics Papers: this item is included in nep-lab and nep-mac
References: Add references at CitEc
Citations: View citations in EconPapers (6)

Downloads: (external link)
https://docs.iza.org/dp10290.pdf (application/pdf)

Related works:
Working Paper: Understanding Wage Floor Setting in Industry-Level Agreements: Evidence from France (2017)
Working Paper: Understanding Wage Floor Setting in Industry-Level Agreements: Evidence from France (2016)
Working Paper: Understanding Wage Floor Setting in Industry-Level Agreements: Evidence from France (2016)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:iza:izadps:dp10290

Ordering information: This working paper can be ordered from
IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany

Access Statistics for this paper

More papers in IZA Discussion Papers from Institute of Labor Economics (IZA) IZA, P.O. Box 7240, D-53072 Bonn, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Holger Hinte ().