Breaking news

Cyprus Ranks In EU’s Middle Tier For Minimum Wage After Cost Adjustment

Cyprus sits in the middle tier of the European Union’s minimum wage ranking when differences in living costs are taken into account, according to Eurostat.

Based on data from July 1, 2026, Cyprus falls into the group with minimum wages between 1,000 and 1,500 Purchasing Power Standards (PPS). The category also includes Greece, Malta, Portugal, Romania, Croatia, Lithuania, Slovakia, Hungary and Czechia.

After adjusting for purchasing power, Cyprus drops four positions compared with its nominal ranking.

Purchasing Power Gives A Different Picture

PPS adjusts for price differences between countries, providing a better indication of how much people can actually buy with their income.

The adjustment significantly narrows the gap between EU minimum wages. While Luxembourg has the highest nominal minimum wage, Germany ranks first when wages are measured in PPS.

Cyprus Hit By Higher Inflation

Differences in inflation have also affected purchasing power. Euro-area inflation reached 3.2% between January and July, while Malta recorded 8.2%, Cyprus 5.4% and the Netherlands 4.7%.

Countries with minimum wages of at least 1,500 PPS form the top group. This includes Germany, Luxembourg, the Netherlands, Belgium, Ireland, France, Slovenia, Spain and Poland.

At the other end, Bulgaria, Latvia and Estonia remain below 1,000 PPS.

Nominal And Purchasing Power Rankings Differ

In nominal euro terms, Luxembourg’s minimum wage was 4.5 times higher than Bulgaria’s on July 1. Once purchasing power is considered, the gap between the highest and lowest levels falls to 2.3 times.

Romania recorded one of the largest improvements, moving from 20th place in the nominal ranking to 12th in PPS terms. Estonia saw the biggest decline, falling from 16th to 26th place. Cyprus, Latvia and Czechia each dropped four positions.

Minimum Wages Rose In Several Countries

Between January and July 2026, eight of the 29 countries covered by Eurostat recorded increases in their minimum wages in local currency.

Romania and Estonia posted the largest increases at 6.8%, followed by Belgium at 5.8%, Greece at 4.5%, Luxembourg at 2.5%, France at 2.4% and the Netherlands at 1.9%.

Eurostat notes that minimum wages are generally reported as monthly gross earnings, before income tax and employee social security contributions.

Cyprus Outpaces EU Average In Working-Age Population Share, Eurostat Finds

Cyprus had a working-age population share of 61.6 per cent on January 1, 2025, placing the country above the European Union average of 58.3 per cent, according to Eurostat.

Cyprus Stands Above The EU Benchmark

The figures show that people aged 20 to 64 made up more than three-fifths of Cyprus’ population at the start of last year. In Eurostat’s regional demographic breakdown, Cyprus is treated as a single region because of its size, rather than being divided into multiple NUTS level 3 areas.

Wide Gaps Across The Bloc

Across the EU, 58.3 per cent of the population was of working age on January 1, 2025. The share reached at least 63.0 per cent in 39 NUTS level 3 regions, most of them in Germany. The group also included island regions in Spain, alongside several capital regions and their surrounding areas.

Capital And Island Regions Lead

At the top of the range was the Danish capital region of Byen København, where 68.9 per cent of residents were of working age. The same proportion was recorded in Spain’s island region of Eivissa y Formentera, while Fuerteventura stood at 68.3 per cent and Lanzarote at 67.3 per cent.

Rural Europe Skews Older

At the other end of the spectrum, working-age residents accounted for less than 55.0 per cent of the population in 189 EU regions. These areas were largely rural, including inland Portugal, much of rural France, most of eastern Germany, and rural areas in Bulgaria, Greece and the Nordic EU countries.

In six regions, fewer than half of the population was of working age. Those regions were Bornholm in Denmark, Creuse and Lot in south-west France, Etelä-Savo in south-east Finland, the Arrondissement of Veurne in Belgium and the French outermost region of Mayotte.

What The Data Measures

Eurostat’s regional demographic data measure the share of people aged 20 to 64, not the share of people who are actually employed. Cyprus’ 61.6 per cent figure was 3.3 percentage points above the EU average, though still below the highest regional levels recorded across the bloc.

The data underline how sharply Europe’s age structure varies from one region to another, with working-age shares differing significantly between urban centres, capital regions, islands and predominantly rural areas.

The Future Forbes Realty Global Properties
Aretilaw firm
Uol
eCredo

Become a Speaker

Become a Speaker

Become a Partner

Subscribe for our weekly newsletter