Direct Request (CEACR) - adopted 2012, published 102nd ILC session (2013)

Minimum Wage Fixing Convention, 1970 (No. 131) - Lithuania (Ratification: 1994)

Other comments on C131

Direct Request

Replies received to the issues raised in a direct request which do not give rise to further comments

2019

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Article 3 of the Convention. Criteria for determining the minimum wage. The Committee notes the Government’s indication that the national minimum wage rate was not increased during the period 2008–12 owing to the difficult economic and financial situation in the country. It was only in June 2012 that the Government approved an increase of the minimum monthly and hourly rate to 850 and 5.15 Lithuanian litas (LTL) respectively (approximately €246 and €1.50), which represents a little more than 6 per cent increase in four years.

The Government states that this moderate increase is in line with the country’s macroeconomic situation and financial prospects, and that unemployment levels should not increase because of this decision. The Government also refers to a pending amendment to section 187 of the Labour Code, which will provide for the annual readjustment of the minimum wage either by the Government upon proposal of the Tripartite Council or by the Parliament, based on the average inflation rate in the previous year and other factors. The Committee requests the Government to keep the Office informed of all further developments concerning the amendment of section 187 of the Labour Code and the possible indexation of the minimum wage as provided for in section 190 of the Code. The Committee also requests the Government to specify the legal provision(s) which set out the socio-economic criteria to be used in revising the minimum wage as required under Article 3 of the Convention.

Article 5 and Part V of the report form. The Committee notes that according to the information provided by the Government, around 15 per cent of private sector employees are currently paid at the minimum wage rate. It also notes that the minimum wage in Lithuania is among the lowest in the European Union, representing 38 per cent of the average wage in the country, and that it has lost over the last few years much of its purchasing power due to rising inflation. The Committee would be grateful if the Government would continue to supply up-to-date information on the practical application of the Convention, including, for instance, comparative statistics on the evolution of the minimum wage rates and economic indicators such as the inflation rate; the approximate number of workers or proportion of the country’s workforce remunerated at the minimum wage rate; copies of activity reports or surveys undertaken by the Tripartite Council; and labour inspection results concerning compliance with the minimum wages in force.