TY  - RPRT
        AU  - Cabrera-Hernandez, Francisco
AU  - Hernández, Robert Duval
        TI  - Minimum Wage and Job Transitions in Mexico
        PY  - 2026/Mar/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 18443
        UR  - https://www.iza.org/publications/dp18443
        AB  - This paper analyzes the labor market effects of Mexico’s 2019 minimum wage reform, which doubled wages in northern border municipalities. Using other northern municipalities with smaller wage adjustments as a comparison group, we examine changes in worker transitions across employment states. The reform lowered quit rates among formally employed workers but increased them for certain informal workers. Although the wage hike did not raise overall layoffs, it altered their composition: laid-off formal workers became more likely to transition into informal employment, while new formal hires increasingly came from previously employed informal workers.
        KW  - minimum wage
KW  - employment transitions
KW  - Mexico
        ER  -