Breaking news

Cyprus’ Minimum Wage: Mid-Tier In Europe but What Does It Really Mean?

Cyprus has positioned itself in the middle of the pack when it comes to minimum wages in the European Union, ranking 12th among the 22 EU nations that set a national baseline. As of January 2025, the island’s minimum wage stands at €1,000 gross per month, according to Eurostat.

That figure is nearly double Bulgaria’s €551—the lowest in the EU—but only a fraction of Luxembourg’s €2,638, the highest in the bloc.

The European Minimum Wage Landscape

Out of the 27 EU countries, only Denmark, Italy, Austria, Finland, and Sweden do not enforce a statutory minimum wage. Across the remaining 22, there’s a stark divide in earnings.

  • Below €1,000 per month: Ten EU countries, mostly in Eastern Europe, fall into this category, including Hungary (€707), Latvia (€740), Romania (€814), and Greece (€968).
  • Between €1,000 and €1,500 per month: Cyprus sits in this range, alongside Portugal (€1,015), Poland (€1,091), and Spain (€1,381).
  • Above €1,500 per month: Six Western European nations lead the pack, with France (€1,802), Germany (€2,161), and Ireland (€2,282) among them.
AD 4nXeusta4cI dM zYo0dvZbUgKuqWFML69 v i D9WVFQ7a3TiUM3sKScsriWyc QWQh6cLkviYKp9b79nfVQZ6ALS aoYt53CBUaVL9UubfFhG5eYF1UUeodTlFlNlPkHbIrrleE g?key=0svtzUJR5NqvA1EgOrhU20m8

The gap between the highest and lowest minimum wages is striking—Luxembourg’s rate is 4.8 times higher than Bulgaria’s. But when adjusted for cost of living, the picture changes.

What Happens When You Factor In Living Costs?

Eurostat’s data shows that once purchasing power parity (PPS) is considered, wage disparities shrink. In real terms, the lowest adjusted wage is 878 PPS in Estonia, while the highest is 1,992 PPS in Germany—meaning the biggest gap is actually 2.3 times, not 4.8.

This metric is critical in understanding how far wages actually go in each country. A €1,000 salary in Cyprus does not stretch as far as it would in lower-cost economies like Romania or Latvia, but it also doesn’t carry the same weight as it would in high-cost markets like Germany or Ireland.

How Minimum Wages Compare To Median Earnings

Another way to assess fairness is to look at minimum wages as a percentage of median earnings. In 2022, France, Portugal, and Slovenia stood out, with their minimum wages accounting for 66% of median gross monthly earnings—suggesting a stronger safety net for low-wage workers.

At the lower end, Belgium (49%), Malta (46%), and Estonia and Latvia (43%) had the weakest relative minimum wages compared to median earnings, indicating a larger income gap within their labour markets.

Cyprus At A Crossroads

While Cyprus’ €1,000 minimum wage keeps it competitive within the EU, the bigger question is whether it provides a decent standard of living relative to local costs. With rising inflation and housing pressures, policymakers will need to consider whether this mid-tier ranking is enough—or if adjustments are needed to ensure workers are not just getting by, but getting ahead.

Cypriot Government Employment Sees Modest Growth in April

Total government employment in Cyprus increased by 237 persons, a rise of 0.4 per cent, in April, compared to the same month in 2024, reaching a total of 55,490 employees, according to the state statistical service.

Employment in the civil service and the security forces decreased by 1.2 per cent and 1.1 per cent respectively, while the educational service saw an increase of 3.8 per cent.

Civil Service and Educational Service Breakdown

In April 2025, the civil service employed 11,960 permanent staff, 4,141 employees with contracts of indefinite duration, 1,458 with contracts of definite duration, and 5,798 hourly paid workers.

Permanent employees represented the highest proportion of the civil service workforce at 51.2 per cent, while employees with contracts of definite duration made up the lowest proportion at 6.2 per cent.

In the educational service, there were 12,461 permanent employees, 947 with contracts of indefinite duration, 4,824 with contracts of definite duration, and 141 hourly paid workers.

Permanent staff formed the majority of the educational workforce at 67.8 per cent, while hourly paid workers accounted for only 0.8 per cent.

Security Forces Breakdown

Within the security forces, 8,430 were permanent employees, 4,304 held contracts of indefinite duration, 267 were on definite-duration contracts, and 759 were hourly paid workers.

Permanent employees again made up the largest group in the security forces at 61.3 per cent, with definite-duration contracts representing just 1.9 per cent.

The Future Forbes Realty Global Properties

Become a Speaker

Become a Speaker

Become a Partner

Subscribe for our weekly newsletter