Government raises minimum wage to €1000, boosting income for 25,000 workers

In a move aimed at bolstering the income of low-wage earners, the Ministry of Labour and Social Insurance has announced a significant rise in the National Minimum Wage, effective this January.

According to a report on Philenews, under the new Government Decree, the National Minimum Wage has been increased from €940 to €1000, benefiting approximately 25,000 workers across Cyprus. This decision reflects a concerted effort by the government to uplift the financial well-being of vulnerable citizens, aligning with directives outlined by the European Commission.

"The gradual improvement of citizens’ income, especially those who need protection from the risk of poverty and social exclusion, is a governmental priority aligned with the guidelines of the European Commission and is implemented according to the capabilities of the economy," stated a spokesperson from the Ministry of Labour and Social Insurance.

To ensure the smooth execution of the Decree and the timely payment of increased wages, the Ministry of Labour has pledged to conduct targeted inspections at workplaces. Additionally, authorities will analyze social insurance contribution data and address any reported complaints promptly.

However, in a stern warning to non-compliant entities, the Ministry affirmed its commitment to enforce the legislation rigorously. Employers found in violation of the new wage regulations may face punitive measures, including administrative fines of €250 per employee. Furthermore, prosecution could result in a maximum penalty of €5000, with an additional daily fine of €50 for continuing violations. Employers are also obligated to settle any accumulated amounts owed to their employees.

The Ministry of Labour underscores its dedication to ensuring fair and equitable wage practices across the nation, emphasizing the importance of upholding workers' rights and fostering economic stability.

[With information sourced from Philenews]