Labour Research February 2005

European news

Minimum wages rise more than inflation

Last month minimum wages went up in 10 of the 25 EU member states.

The mid-point increase was 5.85% at a time when EU-wide inflation is running at 2.2%.

Only three countries saw minimum wages rise by less than inflation as governments used the opportunity to improve the position of the low paid.

The biggest increase relative to inflation was in Spain, where the minimum wage rose by 11.4% in 2004 and prices by 3.5%. (for details see Workplace Report, January 2005).