ABSTRACT

Minimum wages are an almost universally accepted instrument for regulating employment relations. The criticisms about the adequacy of existing minimum wage levels are particularly widespread in Europe, where trade unions and other social actors have launched campaigns for more substantial wage increases in many countries. The effectiveness of a minimum wage regime depends on its ability to successfully implement and enforce existing minimum wage regulation. Violations of the minimum wage are a significant problem in almost all countries. They are reported from developed countries such as Germany or the UK, as well as from developing countries. The scope of collective bargaining has a significant influence on minimum wage setting. Comparative research has highlighted different forms of interplay between minimum wages and the wage scales set within collective bargaining in different national systems according to the different institutional settings and power relations between collective actors.