Minimum Monthly Wage to Increase in 2027
The Government of Lithuania approved a compromise proposal put forward by the Ministry of Social Security and Labour to increase the minimum monthly wage (MMW) to 1,245 EUR (gross) in 2027. The current minimum monthly wage is 1,153 EUR (gross).
Minimum wage to increase by 8%
The approved increase means that the minimum monthly wage will rise by 92 EUR, or 8%, next year. The minimum hourly wage will also increase by 8%, from the current 7.05 EUR to 7.61 EUR.
The increase in the minimum monthly wage will affect around 140,000 employees working both full-time and part-time.
Higher net income for minimum wage earners
According to the Ministry’s preliminary estimates, if the minimum monthly wage is set at 1,245 EUR (gross) and the same non-taxable income threshold applied this year remains unchanged, employees earning the minimum monthly wage will receive at least 902 EUR (net) per month in 2027. This represents an increase of 56 EUR compared to the current year.
The estimated net minimum monthly wage would also exceed the preliminary at-risk-of-poverty threshold for 2027, which is projected to be at least around 868 EUR per person per month.
Current minimum wage level
The current minimum monthly wage stands at 1,153 EUR (gross), representing 45.3% of the average gross wage. After taxes, it amounts to 846 EUR (net), or approximately 54.5% of the average net wage.
Positive impact on the labour market
Research shows that increasing the minimum monthly wage contributes to lower unemployment by encouraging the long-term unemployed to return to the labour market.
A higher minimum monthly wage also strengthens employees’ purchasing power, which is particularly important in regions where a larger share of workers earn the minimum wage.
Under the Labour Code, the minimum monthly wage may only be paid for unskilled work.