IMPACT OF MINIMUM WAGE OF FIRM-LEVEL EMPLOYMENT IN NIGERIA

Authors

  • PROF. MIKE DURU AHMADU BELLO UNIVERSITY, ZARIA
  • PROF. ALIYU RAFINDADI SANUSI AHMADU BELLO UNIVERSITY, ZARIA
  • PROF. DAHIRU SULEIMAN AHMADU BELLO UNIVERSITY, ZARIA
  • AMINA ABDULSALAM KADUNA POLYTECHNIC, KADUNA

Keywords:

Minimum wage, Employment, Difference-in-Difference, Firm-level, Nigeria

Abstract

The aim of the minimum wage is to alleviate poverty, reduce income inequality, protect workers from exploitation and also create incentive to work. This work studied the impact of minimum wage on Employment. Data was sourced from World Bank’s enterprise survey (2007 – 2014). Data spans seven years allowing for a comprehensive analysis of trends over time. The difference- in – difference (DID) approach was used for the analysis. The DID is a quasi- experimental strategy typically used to estimate the effect of a specific intervention by comparing the changes in outcome over time between a population that is enrolled and that which is not. The findings showed a positive effect of minimum wage on employment (4.165). One of the recommendations was urging firms to hire based on merit so as to improve productivity because by improving productivity firms may not consider down-sizing as a result of minimum wage increase.

Author Biographies

PROF. MIKE DURU, AHMADU BELLO UNIVERSITY, ZARIA

DEPARTMENT OF ECONOMICS, AHMADU BELLO UNIVERSITY, ZARIA

AMINA ABDULSALAM, KADUNA POLYTECHNIC, KADUNA

COLLEGE OF ADMINISTRATIVE STUDIES AND SOCIAL SCIENCES, KADUNA POLYTECHNIC, KADUNA

Downloads

Published

2024-08-05

Issue

Vol. 5 No. 2 (2024): Zamfara Journal of Politics and Development

Section

Articles

License

Copyright (c) 2024 Author(s)

Creative Commons License

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

Authors retain the copyright of their manuscripts, and all Open Access articles are distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided that the original work is properly cited.