![Minimum wage in Greece to reach 751 euros](https://www.ot.gr/wp-content/uploads/2022/08/katotatos-misthos-1.jpg)
The minimum wage in the private sector is expected to reach 751 euros – i.e. the pre-monetary levels after 10 years – on May 1, 2023. The Greek Prime Minister is expected to announce his intentions to raise the minimum wage during the Thessaloniki International Fair (TIF) and then the Greek labour minister will accelerate the process.
The Commission’s estimates that put inflation at 8% for 2022, the increase in commodity and raw material prices, as well as the possibility of elections next spring, create scenarios within the government to speed up the process of the new minimum wage increase.
OECD estimates
It should be noted here that the OECD, in its report on the economic outlook of its members published in June, shows Greece as the champion in the loss of real income in 2022, due to price hikes. More specifically, Greek citizens are estimated to lose 6.9% of their real income in 2022.
According to government circles, once again the process of formulating the new minimum wage is being accelerated, which will start early in 2023 (possibly even earlier), so that the government and social partners can come to an agreement on the new, increased minimum wage, which will apply from 1 May 2023. As a reminder, from 1 May 2022 the minimum wage was increased to 713 from 663 euros previously.
The pros of the increase
According to the Greek Ministry of Labour, given that 14 salaries are paid per year, the minimum wage increase equals to one additional salary (50 euros the monthly increase multiplied by 14 salaries = 700 euros).
Monthly earnings, taking into account the payment of 14 salaries per year, amount to €831.8, up from €773.5, today. The nearly 650,000 workers paid with the minimum wage will gain an extra salary per year. In other words, a 15th salary will be added to their income from now on.
If the previous increase in the minimum wage, which took place on 1 January 2022, is taken into account, this results in an increase of 9.7% or 63 euros per month (from 650 euros to 713 euros). Given that 14 salaries are paid, this double increase in the minimum wage in 2022 amounts to 882 euros per year (63 euros times 14 salaries).
As the ministry has pointed out, “In reality, however, the net wage increase is even higher, amounting to 11.81%, if the 1.63 percentage point reduction in the social security contributions paid by employees, which has already been implemented, is taken into account. From these two minimum wage increases in 2022 and because of the reduction in social security contributions the additional amount of money the workers gain annually amount to €906”.
The “three-year periods”
Regarding the so-called “three-year periods”, i.e. the years of work experience that the employees paid with the minimum wage have, the Ministry of Labour and Social Affairs has already clarified that they will continue to be paid.
In particular, the minimum wage and the minimum daily wage are increased by up to 30% depending on the years of service completed by the employee before 14 February 2012.
As a consequence, the gross monthly minimum wage for workers with three years of professional experience may be up to €213 higher (€713 + 30%). In this case, the minimum wage may amount to €926 plus Christmas bonus, Easter bonus and vacation pay.
At the same time, the increase in the minimum wage has also brought increases in allowances. For example, as of 1 May 2022, the unemployment benefit was increased to 438 euros from 407.25 euros previously and the daily allowance was increased to 17.51 euros from 16.29 euros.
![ot.gr](/wp-content/themes/whsk_otgr/common/imgs/fav.ico/favicon-32x32.png)
![ot.gr](/wp-content/themes/whsk_otgr/common/imgs/fav.ico/favicon-32x32.png)
Latest News
![Gov’t Eyes Return of Power Subsidies Amid Spike in Rates](https://www.ot.gr/wp-content/uploads/2024/07/power-lines-2048x1365-1-600x400.jpg)
Gov’t Eyes Return of Power Subsidies Amid Spike in Rates
According to reports, the government will resume an electricity subsidization program, given that forecasts cite disruptions – i.e. higher rates
![ELSTAT: 6.3% Increase in Output Price Index for Agriculture and Livestock](https://www.ot.gr/wp-content/uploads/2024/07/ot_georg_PROIONTA_money-1-600x352.png)
ELSTAT: 6.3% Increase in Output Price Index for Agriculture and Livestock
The 6.3% rise in May 2024 is largely driven by an 8.8% increase in the crop output group, particularly due to changes in olive oil prices, and a 0.5% increase in the animal output group.
![Balkans Blackout Highlights Climate Threats to Power Grids](https://www.ot.gr/wp-content/uploads/2024/07/blackout-1-600x457.png)
Balkans Blackout Highlights Climate Threats to Power Grids
The surge in electricity demand during the heat wave and the power deficit in Balkan markets have driven up prices in the Greek wholesale electricity market.
![Greece in Top 4 Destinations Favored by European Tourists](https://www.ot.gr/wp-content/uploads/2021/06/ploio-600x400.jpg)
Greece in Top 4 Destinations Favored by European Tourists
Greece was selected by 5.9% of respondents who were asked where they would vacation this year, up from 5.4% in the same survey last year
![Scope Affirms Greece’s BBB- Ratings; Revises Outlook to Positive](https://www.ot.gr/wp-content/uploads/2024/06/euros-2048x1365-1-600x400.jpg)
Scope Affirms Greece’s BBB- Ratings; Revises Outlook to Positive
The international ratings firm raised Greece to investment grade in early August 2023
![First Seaplane Test Flights to Skopelos, Alonissos, Skyros](https://www.ot.gr/wp-content/uploads/2024/06/hellenic-seaplanes-pilotikes-ptiseis-ydatino-pedio-lavriou-600x450.jpeg)
First Seaplane Test Flights to Skopelos, Alonissos, Skyros
After decades of on-again, off-again efforts to schedule regular seaplane routes to Greece's numerous island and coastal destinations the prospect now appears within sight
![ELSTAT- Overall Import Price Index for May 2024 up 2.8% y-o-y](https://www.ot.gr/wp-content/uploads/2023/08/unnamed-41.jpg)
ELSTAT- Overall Import Price Index for May 2024 up 2.8% y-o-y
The same price index had decreased 20.8% from May 2022 to May 2023
![Over 7 in 10 Employees Feel Their Contributions Are Not Appreciated](https://www.ot.gr/wp-content/uploads/2024/06/ergasia-ergazomenos-600x300.jpg)
Over 7 in 10 Employees Feel Their Contributions Are Not Appreciated
Specifically, the option "Subjective opinions are prioritized over objective data" ranked highest in importance for young employees, with a score of 3.89 out of 4
![OECD: Job Vacancies on the Rise in Greece](https://www.ot.gr/wp-content/uploads/2024/07/ergasiabusinness-768x556-1-1-600x434.jpeg)
OECD: Job Vacancies on the Rise in Greece
By the fourth quarter of 2023, job vacancies per unemployed person had risen by more than 4, with the index reaching 446 units compared to 100 units in late 2019
![OTE Group: FTTH Program Advancing in Semi-Urban and Rural Areas of Greece](https://www.ot.gr/wp-content/uploads/2024/05/ΟΤΕ-Group_1-600x450.jpg)
OTE Group: FTTH Program Advancing in Semi-Urban and Rural Areas of Greece
This initiative will provide ultra-fast internet speeds of up to 1Gbps to over 350,000 households and businesses in semi-urban and rural areas across the country