Lithuania to Raise Minimum Wage to €1245 Next Year
Lithuania continues rapid minimum wage hikes, reaching €1245 'on paper' next year – €400 more than currently planned in Latvia. The government believes the economy can handle it, but businesses outside major cities warn of increasing strain.
The Lithuanian government has approved a rise in the minimum wage for next year, bringing it to €1245 per month before taxes. This marks the second consecutive year of sharp increases.
By comparison, the current proposal in Latvia would set the minimum wage €400 lower. Officials argue that Lithuania's economic growth supports such a move and that it will boost household incomes.
However, employer associations voice concerns – especially in regions outside Vilnius, Kaunas, and Klaipėda, where businesses say the rapid wage growth creates a heavy burden. They warn that in less developed areas, this could threaten the survival of enterprises.
