Using a difference-in-differences model, the present paper provides empirical evidence of
minimum wage effects on employment and working hours in China. The results show that
male employment is not affected by a minimum wage increase, although men’s working
hours do increase. In contrast, female employment is more likely to be negatively affected by
a minimum wage increase, while their working hours remain unchanged. This may lead to
women being in a more disadvantaged position in the workforce, and adopting a monthly
minimum wage may induce firms to extend men’s working hours. Therefore, to better
protect disadvantaged workers, we suggest that minimum wage regulation should focus on
the target group of less-educated women, and that a unified minimum hourly wage needsto
be set for both full-time and part-time workers. Meanwhile, the importance of human capital
accumulation should be addressed in alleviating the negative effects of minimum wage
increases.