Greece announced that it will raise the gross monthly minimum wage by about 4.5% to around €920 ($1,061) starting April 1, 2026, marking the sixth increase since 2022. The government says the measure is aimed at improving living standards and offsetting inflation and rising energy costs.
The increase comes as Greece continues to recover from the 2009–2018 debt crisis, which led to severe austerity measures under EU and IMF supervision. While economic indicators have improved in recent years, including growth and employment, many households still face high living costs and relatively low purchasing power compared to the rest of the EU.
The government of Kyriakos Mitsotakis has combined wage increases with tax cuts and aims to reach a €950 minimum wage by 2027. However, critics argue that wage growth has not kept pace with inflation and that many workers continue to struggle, as reflected in protests and ongoing concerns about inequality and cost of living pressures.
Mitsotakis: New minimum wage rise in 2017
Addressing a cabinet meeting on Thursday, Prime Minister Mitsotakis framed the increase as a fulfillment of a central campaign promise.
“Today, we are jointly deciding on a new increase in the minimum wage to further support society,” Mitsotakis stated. “It is the sixth consecutive rise; in 2019, we inherited a minimum wage of €650 ($750), and as of April 1, it will reach €920 ($1,061). This represents a cumulative increase of more than 41% since we took office.”
The Prime Minister noted that for a full-time employee, this translates to an annual benefit of over €3,780 compared to 2019 levels. He also highlighted that the average wage in Greece has already surpassed the €1,500 mark for full-time employment, putting the government ahead of its original schedule for 2027.
“With clear visibility and confidence,” Mitsotakis added, “we can say that our 2027 target of a €950 minimum wage is well within reach.”
Labor unions warn of “widening gap” between wages and survival
The General Confederation of Greek Workers (GSEE) warned that such a “limited” adjustment fails to address the systematic erosion of purchasing power. In a formal statement following the government’s announcement, the union emphasized that soaring costs for essential goods, energy, and housing continue to place unsustainable pressure on household incomes.
Data from the GSEE Labour Institute (INE/GSEE) paints a sobering picture of the 2026 economic landscape. Their research indicates that a vast majority of workers are struggling to cover basic monthly needs, leaving Greece near the bottom of European Union rankings for actual purchasing power.
The most striking figure in the union’s report is their calculation of a “living wage.” According to INE/GSEE, to ensure a decent standard of living in 2026, the gross monthly minimum wage would need to be set at €1,052 (approx. $1,216 USD)
SYRIZA: “Anemic” and insufficient rise in minimum wage
While the government celebrated the move, the opposition party, SYRIZA, issued a sharp rebuke, labeling the 4.5% increase as “anemic” and insufficient to combat the “suffocating” wave of price hikes hitting Greek households.
In an official statement, the leftist party argued that the nominal increase offers no substantive relief to workers whose disposable income is being systematically eroded by inflation. “This anemic rise in the minimum wage produces no real result in the face of the extreme cost of living that workers experience daily,” the party stated.
Related: Greece to Raise Minimum Wage, But Critics Say It Falls Short