Minimum wages alter the allocation of firm-idiosyncratic risk across workers. To establish this result, we focus on … relatively larger pass-through of firm-specific labor-demand shocks into wages for the workers whose earnings are far from the … removing minimum wages toward high-paid employees at the expense of low-wage workers. …

Minimum wages generate an asymmetric pass-through of rm shocks across workers. We establish this result leveraging …. However, the wage of high-paid workers decreases, and more so in rms with higher incidence of minimum wages. A neoclassical … channel that tilts the welfare gains of minimum wages toward low-paid workers. …