How much can minimum wage increase in Azerbaijan?

Economy Materials 14 May 2024 15:32 (UTC +04:00)
Humay Aghajanova
Humay Aghajanova
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BAKU, Azerbaijan, May 14. The minimum wage in Azerbaijan can increase by two times, Azerbaijani MP Vugar Bayramov said in a social media post, Trend reports.

He reminded that the last time the minimum wage was raised was in January 2023, reaching 345 manat ($203), and over the past five years, it has increased by 2.7 times.

"Two criteria can be used for the new minimum wage increase: the inflation rate recorded over the past period or the percentage growth of the nominal average monthly wage for that period. In 2023, the inflation rate was 8.8 percent, and the percentage growth of the average monthly wage was 11.3 percent.

Moreover, there are indicators for price growth and changes in the nominal average monthly wage for 2024. In this regard, if considered together, higher figures should be discussed. This means that a higher increase in the minimum wage may occur, taking into account the average criteria sum for 2023 and 2024.

So, in this case, we are talking about a double-digit increase. Of course, the exact figure will be known after official proposals are presented," he added.

To note, the average monthly nominal wage of employees in Azerbaijan grew by 10.8 percent from January through February 2024 compared to the same period last year and amounted to 946.8 manat ($556.9).

Earnings in the oil and gas sector were 3,438 manat ($2,022), while in the non-oil and gas sector they were 899.7 manat ($529.2). Employee salaries in governmental entities totaled 901.8 manat ($530.4), while private enterprises paid 996.5 manat ($586).

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