An increase of 2% in the minimum wage that was announced by the Greece Office of the Ministry of Labor and Social Affairs on 26 July 2021, becomes effective 1 January 2022. The current minimum wage of €650 per month will increase to €663 per month at that time. The new minimum is effectively €773.5 per month because Greek workers are paid 14 monthly salary amounts a year ((€663 x 14) /12 = €773.5).
The increase seeks to enhance workers' purchasing power without jeopardizing the viability of businesses. The Minister of Labor and Social Affairs cited the recession caused by the COVID-10 pandemic and the economic crisis. The minister said the increase is a prudent measure that does not hinder the upward trajectory of the economy and keeps the Greece minimum wage in the middle range of the countries of the European Union.
Minimum wage and salary requirements in Greece vary based on an employee's years of service, marital status, and occupation. A detailed table comparing the current required minimum compensation with the minimum compensation required as of 1 January 2022 is also set out in the announcement.
Edward Kowalski, Esq., is Manager, Payroll Information Resources, for the American Payroll Association