Minimum or Living Wage? Framing Effects on Wage Floor Preferences and Expectations

This study explores how using the frame ‘living’ rather than ‘minimum’ wage changes socioeconomic expectations and preferences. A sample from the UK general population was recruited to participate in a series of online survey experiments. Evidence suggests introducing the term ‘living wage’ results in (1) higher expected wages and higher expected negative employment effects; (2) raises the preferred UK wage floor by £977per annum, and £1,913 for London; (3) greater desire for separate regional wage floors; and (4) increased preference for social welfare spending, with no evidence that a living wage norm reduces redistributive preferences. These findings hold policy implications