[Greece] Minimum wage will reach close to 780 euro

An increase of between 5.5 per cent and 9.5 per cent is expected to be applied to Greece’s minimum wage on April 1, following the completion of the prescribed procedure for determining the amount of the wages, TO BHMA reports.

The new minimum wage will be over 751 euros (an increase of 5.5 per cent) and optimistic estimates reportedly expect it to reach close to 780 euros (an increase of 9.5 per cent), according to sources.

The acceleration of the procedure for determining the new minimum wage – allowing increases to be known before the parliamentary elections – was formalised with the announcement of Prime Minister Kyriakos Mitsotakis, who set the effective date of the new wage at April 1.

Third increase in a row

Therefore, this month the process of determining the third – in a row – increase in the minimum wage is being launched. It is expected to develop at a rapid pace so that it may be completed in March and implemented in April.

The Ministry of Labor is now bringing an amendment to Parliament, which will provide for the new start and end dates for the process to determine the new minimum wage, especially for 2023, since the current law reportedly provides for a different schedule.

The configuration of the monthly minimum wage above 751 euros and close to 800 euros are the new elements to be considered.

When the debate on a new increase in the minimum wage was opened, Greece’s government reportedly let it be seen that the minimum wage would return, before the elections, to 751 euros. This is the rate it stood at before the significant reduction it suffered in 2012, at the behest of the second memorandum. SYRIZA then "upped the stakes" by announcing a minimum wage of 800 euros, if it should enter the government after the elections.

The government has reportedly been implying that the upcoming increase will be higher (than expected) and may be "closer" to the SYRIZA proposal. Most recently Minister of Finance Christos Staikouras reportedly spoke of "surprises" in the rate of increase, which will shape the salary close to the average of European countries (this is determined to be close to 780 euros).

However, the Minister of Labor, Kostis Hatzidakis, avoids referring to specific percentages and stresses that doing so would invalidate the legal procedure for determining the minimum wage.

The government is reportedly seeking to portray the increase in the minimum wage as a further "weapon" to tackle the problems facing citizens as a result of price hikes and inflation.

Source: TO BHMA

An increase of between 5.5 per cent and 9.5 per cent is expected to be applied to Greece’s minimum wage on April 1, following the completion of the prescribed procedure for determining the amount of the wages, TO BHMA reports.

The new minimum wage will be over 751 euros (an increase of 5.5 per cent) and optimistic estimates reportedly expect it to reach close to 780 euros (an increase of 9.5 per cent), according to sources.

The acceleration of the procedure for determining the new minimum wage – allowing increases to be known before the parliamentary elections – was formalised with the announcement of Prime Minister Kyriakos Mitsotakis, who set the effective date of the new wage at April 1.

Third increase in a row

Therefore, this month the process of determining the third – in a row – increase in the minimum wage is being launched. It is expected to develop at a rapid pace so that it may be completed in March and implemented in April.

The Ministry of Labor is now bringing an amendment to Parliament, which will provide for the new start and end dates for the process to determine the new minimum wage, especially for 2023, since the current law reportedly provides for a different schedule.

The configuration of the monthly minimum wage above 751 euros and close to 800 euros are the new elements to be considered.

When the debate on a new increase in the minimum wage was opened, Greece’s government reportedly let it be seen that the minimum wage would return, before the elections, to 751 euros. This is the rate it stood at before the significant reduction it suffered in 2012, at the behest of the second memorandum. SYRIZA then "upped the stakes" by announcing a minimum wage of 800 euros, if it should enter the government after the elections.

The government has reportedly been implying that the upcoming increase will be higher (than expected) and may be "closer" to the SYRIZA proposal. Most recently Minister of Finance Christos Staikouras reportedly spoke of "surprises" in the rate of increase, which will shape the salary close to the average of European countries (this is determined to be close to 780 euros).

However, the Minister of Labor, Kostis Hatzidakis, avoids referring to specific percentages and stresses that doing so would invalidate the legal procedure for determining the minimum wage.

The government is reportedly seeking to portray the increase in the minimum wage as a further "weapon" to tackle the problems facing citizens as a result of price hikes and inflation.

Source: TO BHMA