Minimum wage: What it means to increase it to 830 euros for Easter gift, three years and benefits

A 6.4% increase was announced today by Prime Minister Kyriakos Mitsotakis. This increase will apply from 1 April 2024 (i.e. will be incorporated into the April payroll at the end of the month). Mr Mitsotakis announced that the minimum wage would be 830 euros mixed against the 780 euros valid until 31 March 2024. That is an increase of EUR 50 mixed. The net minimum wage will be 710 euros on 1 April compared to the 667 euros up to this month. This increase will contribute directly – i.e. as of April – all IPP unemployment benefits by a corresponding percentage. For example, the unemployment allowance will amount to EUR 509 compared to the EUR 479 up to this month (EUR 30 increase). At the same time, the increased minimum wage from April will support up to 1/4 Easter Gift. Thus a worker, who has been hired no later than 1 January 2024 and employed and in April 2024, without raising the minimum wage in April would receive an Easter gift of 333 euros. However, thanks to the forthcoming increase in the minimum wage from 1 April by 6.4% the Easter gift will increase by 6.4% on its April side. Thus this worker will receive an Easter gift of EUR 337. Moreover, the new minimum wage of EUR 710 net (830 gross) is the new basis for calculating the past benefit, which has been ‘frozen’ since 1 January 2024 and take into account the service before 12 February 2012 and after 1 January 2024. At 830 euros the minimum wage – an increase of 27.7% to 3 years According to the government’s information note, from 1 April, the minimum wage and 559.274 employees will be paid at the minimum wage (Information System, 26/3/2024) There has been a cumulative increase of 27.7% in the last 3 years: February 2019: 650 euros January 2022: 663 euros May 2022: 713 euros April 2023: 780 euros April 2024: 830 euros Workers earn 3 additional salaries compared to 2019 on an annual basis. There is an increase of EUR 2,352 (30.7%) to EUR 10,010 in 2024 from EUR 7.658 in 2019 in the annual net income of employees with a minimum wage (for single-person households without other income and assets).