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Minimum monthly wage 

The legal provisions of wage and minimum monthly wage in Latvia are stipulated in several normative acts. According to Article 61 of the Labour Law, the minimum monthly wage is set by the Cabinet of Ministers.

Current events 

  •   Minimum monthly wage in 2017 is 380 euro per month.
    The minimum hourly rate in 2017 calculated using the formula:

TLmin = MDA / h , where

TLmin - minimum hourly rate;
MDA - minimum monthly wage;
h - of normal working hours per month (5 working days a week and 40 hours a week or 5 working days a week and 35 hours a week, or 6 working days a week and  40 hours a week, or 6 working days a week and 35 hours per week), does not  perform work on public holidays, which fall on a working day specified for the employee.

Legislation

Section 61 of the Labour Law named as "Minimum Wage" does not define the terms, but sets the main provisions regarding minimum wage. In compliance with the law, a minimum wage shall not be less than the minimum level determined by the state. The minimum monthly salary within the scope of normal working time, as well as minimum hourly wage rates, shall be determined by the Cabinet of Ministers. The procedures for the specification and review of the minimum monthly wage shall be determined by the Cabinet of Ministers.

Each year, the Ministry of Welfare together with other partners, like the Ministry of Finance, the Ministry of Economics, the State Chancellery Policy co-ordination department, the Union of Local and Regional Governments of Latvia, the Free Trade Union Confederation of Latvia and the Latvian Employers' Confederation, shall evaluate the economic situation in the country and co-ordinate the amount of the minimum monthly wage. The amount of the co-ordinated minimum monthly wage and the date for amendments introduction must be approved at the meeting of the National Trilateral Co-operation Council.

Currently, the increase of minimum wage does not have a substantial impact on average wage level in the country. Growth of average wages is more determined by the labour market competition and other factors.


More information on National Minimum monthly wage available here.pdf.gif - 641 B

Overview of Central Statistical Bureau Wage Data available here.