The process of setting the minimum wage for 2026 is entering the consultation phase, following an invitation by the Minister of Labor and Social Security, Niki Kerameus, to social partners and scientific bodies.

In this context, both the Consultation Committee and the Scientific Committee are called upon to submit their memoranda.

The Consultation Committee consists of five representatives of workers’ organizations, five representatives of employers’ organizations, and the president of the Organization for Mediation and Arbitration (OMED).

At the same time, the five-member Scientific Committee is made up of independent experts in economics and labor economics, appointed by the Ministry of Labor and Social Security, the Ministry of National Economy and Finance, and the Hellenic Statistical Authority (ELSTAT), as well as the president of the Council of Economic Experts (SOE).

The memoranda of the two Committees and the relevant reports will be jointly assessed in order to determine the size of the increase in the minimum wage.

They will then be sent to the Centre of Planning and Economic Research (KEPE) for the drafting of the consultation’s final report.

The process will be completed with the Labor Minister’s recommendation to the Cabinet, with the aim that the new minimum wage will come into force in April 2026.

As Ms. Kerameus has stated publicly, the government’s and the Prime Minister’s commitment remains intact for the minimum wage to reach €950 and the average wage €1,500 by 2027.

It is noted that the entry-level salary in the public sector has been aligned with the minimum wage in the private sector, along with a horizontal increase across all pay grades. The entry-level public sector grade is determined based on the minimum wage set in the private sector, while the remaining grades are also increased accordingly.

According to the Ministry of Labor, “two key factors define the framework for the increase: first, strengthening workers’ income, and second, the capacity of the labor market, businesses, and the state’s public finances, given that the minimum wage also applies to the public sector. At the same time, intensive efforts continue to boost citizens’ purchasing power and steadily enhance disposable income, taking into account labor market conditions.”

Currently, the minimum wage stands at €880, while the minimum daily wage for manual workers is set at €39.30.

From 2019 to 2025, the minimum wage has increased by 35.4%.

The increase directly benefits private-sector employees, public servants, seniority increments (increases to the minimum wage based on each employee’s length of service), as well as allowances and benefits calculated on the basis of the minimum wage.

In addition, an increase in the minimum wage indirectly pushes the average wage upward.

As officials from the Ministry of Labor point out, the new increase is taking place in a labor market that is steadily improving, with unemployment having fallen to 8.2%, more than 500,000 new jobs created since 2019, and non-wage labor costs having been significantly reduced.

What changes in 2028

From mid-2027, a new mechanism for setting the minimum wage will come into effect. Under the new system, the annual percentage increase in the minimum wage will be the sum of the annual percentage change in the Consumer Price Index—specifically for households in the lowest 20% of the income distribution—and half of the annual percentage change in the purchasing power of the General Wage Index over the same period.

In summary, inflation affecting households in the lowest 20% of the income distribution and growth in the productivity of the Greek economy will be taken into account.

According to the Ministry of Labor, the innovations of the new system lie in strengthening security for workers, as it stipulates that the minimum wage cannot be reduced, links its level to real economic indicators such as inflation and productivity, and is based on objective data from ELSTAT, thereby enhancing transparency and trust in the system.