OMM Newsroom
A possible increase in Azerbaijan’s minimum wage in 2027 is under discussion. Amendments to the Labor Code adopted last year require the minimum wage to be reviewed at least once a year.
The Operative Information Center-OMM, citing ITV, reports that MP Vugar Bayramov expects next year’s state budget to include funding for a minimum wage increase.
Increase could affect more than 700,000 people
Bayramov said that after the minimum wage is raised, salaries for employees of state institutions who are not civil servants are also expected to be adjusted accordingly.
As a result, changes to the minimum wage expected in 2027 could affect more than 700,000 people, he said.
The MP noted that the change would not apply only to people earning the minimum wage. Salaries could also rise for non-civil-servant employees working in government institutions.
The increase could therefore affect both average monthly wages and the incomes of people whose salaries are set by Cabinet of Ministers decisions.
How should the minimum wage be determined?
Economist Khalid Karimli says that setting the minimum wage requires consideration not only of a potential increase but also of a number of economic indicators.
He said decisions should take into account economic growth and development, employment conditions, labor productivity, the trend and current level of average monthly wages, as well as the manat’s purchasing power and inflation.
The economist emphasized that labor productivity is one of the key indicators.
When will the final amount be known?
Experts say that setting a new minimum wage requires balancing the protection of workers’ incomes with the financial burden on employers.
The specific minimum wage for 2027 is expected to be clarified during discussions on the state budget.
