Lithuania's minimum wage could be raised by about 35 euros to 642 euros as of next January, Social Security and Labor Minister Linas Kukuraitis said on Thursday.
Krizė paveikė daugelį.
Krizė paveikė daugelį.
© Shutterstock

On Wednesday, the Tripartite Council, which brings together the government, employers and trade unions, started discussions on raising the minimum wage, but failed to agree on the size of the wage increase.

Kukuraitis said that his ministry is inclined to agree with the Bank of Lithuania's new estimate that the minimum wage should reach 48.1 percent of the average wage next year, up from the current 47.5 percent.

"The government usually chooses somewhere between trade union's proposal and that of employers," he told the Ziniu Radijas radio station.

If the Tripartite Council fails to reach a deal, the government will have to make the decision, according to the minister.

"We'll have to make that decision in any case. This concerns both the budget formation and a clear legal norm," he said.

A decision should be taken as soon as possible, but the situation is complicated by the uncertainty caused by the coronavirus pandemic and rapidly changing economic forecasts, the minister noted.

Trade unions suggested increasing the minimum wage by 56 euros to 663 euros before tax, but employers asked the council not to discuss this issue at all amid the uncertain economic situation.

The Tripartite Council has decided that the minimum wage should make up 45-50 percent of the average wage.

The Finance Ministry has recently released its updated economic forecasts, showing that it expects average gross wages to grow by 6.5 percent this year. Wage growth is projected to decelerate to 3.3 percent next year.

The minimum wage was last raised to 607 euros before tax in January 2020.

It is prohibited to copy and republish the text of this publication without a written permission from UAB „BNS“.

Lithuanian airports’ aviation traffic results for 2021: the period of rapid recovery

In 2021, Lithuanian airports handled almost 2.5 million passengers, 37% more than in 2020, when they...

Lithuanian startup launches predictive eye-tracking analytics for ad posters

Attention Insight, a pre-launch design analytics company offering AI-powered website and advertising...

Seimas reject ruling block's bid to liberalize alcohol sale

The Seimas of Lithuania on Tuesday voted down the ruling block's initiatives aimed at liberalizing the...

Bagdonavicius to lead birkle IT Lithuania and Latvia

To meet the goal of business expansion in the Baltics, birkle IT is proud to announce that Dr....

Prototype electric passenger bus is being tested at Vilnius Airport

The prototype electric bus Dancer developed and manufactured in Lithuania is being tested for...

Top news

President urges to "fix" Taiwanese office name

Lithuanian President Gitanas Nauseda has called on the country's government to "fix" the name of the...

Simonyte: we need to be ready for everything, only Putin can answer on war

Lithuania needs to get ready for all possible scenarios over Russia's military buildup near Ukraine...

10 630 new COVID-19 cases

On Wednesday, 10 630 new COVID-19 cases were detected in Lithuania. Since the beginning of the...

Foreign Minister welcomes EC's decision to turn to WTO

Lithuanian Foreign Minister Gabrielius Landsbergis has welcomed the European Commission's decision to...

Hollywood star Clint Eastwood continues legal battle against Lithuanian firm (1)

Hollywood star Clint Eastwood continues his legal battle against Mediatonas, a now-liquidated...