VILNIUS – The Lithuanian government on Friday backed plans to raise the minimum monthly wage by 15 percent to 840 euros from next year, while the non-taxable income rate will rise by 16 per cent to 625 euros.
Finance Minister Gintare Skaiste says both increase will give those on minimum wage 83.5 euros in additional post-tax income.
The minimum hourly wage will go up to 5.14 euros, from the existing 4.47 euros.
The changes will require 37.6 million euros from the state budget.
The Cabinet's minimum wage decision is final as it approved the minimum salary.
Meanwhile, the parliament will make the final decisions on the basic rate used to calculate salaries for civil servants, and also on the non-taxable income rate.