Using data at micro and city levels, the present paper explores the policy evolution of theminimum wage system in China, and examines its coverage for migrant workers. Theanalysis indicates that minimum wage policy has been substantially improved in terms ofboth coverage and the level of the minimum wage standard, but that the current policy toolthat relies on the monthly wage rate is not effective.Because migrant workers tend to workmore hours, use of an hourly wage rate is more appropriate than a monthly wage rate. Using data at micro and city levels, the present paper explores the policy evolution of the minimum wage system in China, and examines its coverage for migrant workers. Theanalysis indicates that minimum wage policy has been substantially improved in terms ofboth coverage and the level of the minimum wage standard, but that the current policy toolthat relies on the monthly wage rate is not effective.Because migrant workers tend to workmore hours, use of an hourly wage rate is more appropriate than a monthly wage rate