This is the 5th increase in basic pay since 2019
To 880 euros increases from April 1st the minimum wage According to what was announced in the Council of Ministers chaired by the Prime Minister Kyriakos Mitsotakis.
The new increase in the minimum wage will support 19 benefits but also the import salary in the State. As of April 1, the import salary in the public is in line with that of the private sector, with Finance Minister Kyriakos Pierrakakis jointly proposing with the Ministry of Labor the increase.
Increase 35.4% since 2019
Upon recommendation of the relevant ministers to the Council of Ministers, the minimum wage will increase From 830 to 880 euros -a minor increase of 6.02%– and there will be a similar increase in minimum wage from 37.07 euros to 39.30 euros.
Increasing the minimum wage will apply as of April 1, 2025. The main objective is to enhance the available income of employees and their purchasing power, the support of workers, the improvement of living conditions and the further economic development of the country.
It is about 5th Increase in Basic Remuneration from 2019. The cumulative increase in six years is 35.4%. Profit for employees is now equivalent to about 5 additional minimum wages of 2019 per year.
In addition, the total increase in the minimum wage Since 2019, by 35.4%is almost twice as much as the cumulative inflation of the same period, that was formed in 18.1%. That is, it is significantly protected by the real income of the workers.
Greece today is the 11th position among the 22 EU Member States with a minimum wage. The goal of the government is for the minimum wage to reach 950 euros in 2027.
- By increasing the bottom salary and wage benefit directly over 1.6 million citizens among whom:
- more of 575 thousand employees paid with minimum
salary In the private sector, - civil servants who will also see an increase,
- Those receiving benefits depending on the minimum wage (such as maternity, marriage, parental leave, unemployment allowance), while the three years are supported.
This year’s increase is accompanied by an institutional section: for the first time the protection of the minimum wage extends to the State, as it will be the introductory salary for civil servants. As a result of the connection, the remuneration of civil servants will rise horizontally by 30 euros this year and further increases in the coming years.
- Taking into account all interventions made for civil servants’ salaries by 2023the average Increase amounts to EUR 2,283 per year, equivalent to 1.3 additional wages the time
- Indirectly, the minimum wage also affects the formation of the average salary
This is the first application of the recent law on the formation of the minimum wage, which upgraded the role of social partners in the process of setting the minimum wage, and for the first time this increase also concerns civil servants.
The minimum wage now acts as a security net for all employees in the country, since the new law provides that there can be no reduction.
By 2028, the minimum wage will be automatically increased by mathematical formula, taking into account ELSTAT’s objective data on inflation and increased productivity of the economy.
Examples
Mixed increase in minimum wage that will apply from 1st/4/2025 will rise
At 50 €:
- This corresponds to In a monthly net increase of 34 € for employees without childrenwith no other incomes and 43 € for employees with 2 or more children with no other income, After payment of insurance contributions and income tax.
- On an annual basis (14 salaries), the net benefit of workers is 473 € (no children) and 606 € (with 2 or more children).
- Overall since December 2019, these employees receive In addition, net 195 € (no children) and 215 € (with 2 or more children) each month, and 2,735 € (no children) up to 3,010 € (with 2 or more children) per year.
The whole suggestion of the Prime Minister:
“The central theme of today’s meeting is the approval of the 5th in order to increase the minimum wage in our country. It is a decision that will be recommended for approval to the Council of Ministers soon by the Minister of Labor. And it will at the same time upgrade the remuneration of civil servants, also raising up to 19 benefits of different categories.
Most importantly, however, it will once again signal the government’s intention to gradually return to society a share of our collective development.
According to the new regulation, the basic fee -I want to be reminded of it at 650 euros in 2019 -which is currently 830 euros from 01/04 will go to 880 euros. It is an additional € 50 per month aid and the cumulative gross growth compared to 2019 reaches 2,735 euros TV. In other words, almost 5 net salaries of the past. While the employee’s annual net profit will now reach an almost extra salary compared to last year.
Let me remind you that this measure concerns 595,000 private sector workers, but as we have said, it also captures 600,000 public officials. And of course it also concerns those who receive maternity, marriage, unemployment benefits. Of course, it has a positive impact on both three years and consequently the average salary.
I would like to emphasize that this decision brings Greece to 11th place among 22 European countries with a minimum wage status. Obviously it does not relieve as much as we would like all needs. But I think this decision highlights the steady steps to implement our central pre -election commitment that is none other than the continuous improvement of available income. Especially in the public the horizontal increase of 30 euros, after last year of 70 euros, and in combination with other interventions, the total benefit of each employee will reach a middle of € 190 per month. It is therefore if you look at it compared to 2022 for yet another salary, ”the prime minister noted.
He emphasized that it is an element that certifies that despite the difficulties, these choices are ultimately the only ones that lead to a positive result. “I recall that our goal, our pre -election commitment remains a minimum wage of 950 euros in 2027 and average salary at 1,500 euros. ABut the important thing is not only to increase wages, it is also a positive overall impact on the labor market, because we must know that every increase in salary should not undermine the competitiveness of our employers, especially the competitiveness of our employers. This does not seem to be because unemployment has already fallen to 8.7%, according to the latest data, “Mr Mitsotakis said, noting that only 93,000 new jobs were created last year.
“Overall we have created. 500,000 new work since 2019 and I say this because in 2019 our central project was the fight against unemployment that we then found at 17% and the creation of many new jobs. And this policy, as you can see, is consistently implemented, while at the same time – because it is always concerned with the burden on non -wage costs – we continue a policy that we have started since 2019. In 2027 the reduction in non -wage costs will exceed 6 points. So our main project, more and better jobs, support for disposable income, increased nominal wages, a decrease in tax burden, is implemented in every manifestation of our policy. It is, of course, a policy that is first and foremost based on fiscal consistency, so that we can implement our other important priorities, better health, more modern education, a more effective and more digital state. While in the coming days we will have the opportunity to submit to the House the long -term program of national defense, having secured the necessary fiscal space that we can now design in the long run so that we can shield the armed forces and bring them to the level of geopolitical challenges:
“And I insist on this overall dimension of our policy, especially at a time when public dialogue tends to become a monotheistic and where it is often reduced to party voting full of toxicity. But let us keep in mind that events outside the border now have consequences – and have consequences for all of us. From the wars in Europe, in the Middle East to the apparent new confrontation at the level of duties that will certainly affect the world economy. So, in these unprecedented, I would say, geopolitical rearrangements Greece can in no way be naive. It must first regulate the acquis of political stability. Which in many countries today is still demanding to maintain its public finances in a positive orbit so that resources can relieve society. At the same time, a wider strategy for our presence in international geopolitical and economic correlations is needed. Unfortunately, it is something that does not seem to concern, no one, opposition party. “
In addition the prime minister reported In Chevron’s new interest in hydrocarbon surveys south of Crete After her already announced participation in the program west of the Peloponnese.
“In essence, the American multinational actually recognizes the Greek exclusive economic zone in the region, and I would like to point out that Libya, which recently auctioned maritime plots on its own EEZ, also followed this midline, respecting Greek rights. And let’s not forget that in our region southwest of Crete and the Peloponnese, Exxon Mobil already operates, with a lead, possibly with the first sampling drilling taking place in 2025. It is a proof that Greece is practicing its sovereign rights. But it is also a proof that our country is recognized as an energy hub in the wider area. Both in the field of renewable energy sources and in the field of hydrocarbons, “he said.
Concluding, the prime minister said, “Citizens are asking for confidence, but they are first and foremost demanding improvement in their daily lives and in this direction we will continue to work.”