Will salaries continue to grow and what will the EU directive change

Business
LETA
Publiation data: 03.10.2025 11:03
Will salaries continue to grow and what will the EU directive change

In the second quarter of this year, the average monthly gross salary in Latvia (before taxes) was 1808 euros, writes Diena.

The average salary in the private sector was 1781 euros, while in the public sector it was higher at 1886 euros, according to data from the Central Statistical Bureau (CSB).

In real life, as well as in various discussions, the average salary is assessed differently - some claim it is extremely low, considering how much money is needed each month for food, housing, transportation, and other urgent expenses, while others say that the salaries of many workers are above average.

According to the CSB, in the second quarter of 2025, the average salary was relatively high in the financial and insurance sector - 3052 euros, in the information and communication technology sector - 2804 euros, in energy - 2389 euros, in the professional, scientific, and technical services sector - 2270 euros, in public administration - 2104 euros, in the water supply and waste management sector - 1934 euros, in the mining industry - 1899 euros, and in health and social care - 1831 euros. In contrast, the lowest average salary was in the hospitality and catering sector - 1219 euros.

Regionally, the highest average gross salary in the second quarter of this year was in the Riga region - 1980 euros, while the lowest was in Latgale - 1317 euros. The difference in average salaries between Riga and the Latgale region is quite significant - a full 33.5%, notes the CSB.

"In the near future, the trends of salary growth will continue. The economy will continue to recover, and the labor market will heat up. It is likely that this year the salary growth will remain slightly above 8%, and next year it will be 7-7.5%, as the impact of the government's spending restraint policy will be more noticeable," said SEB bank economist Dainis Gašpuitis.

It is predicted that the directive of the European Parliament and Council regarding the conditions of wage application and its transparency throughout the EU will soon become relevant in the Latvian labor market.

"This directive provides for significant changes in the application of the principle of equal pay for equal work in EU member states. One of the most important steps in implementing the new regulation is the clear definition of labor evaluation criteria and the creation of a fair wage system that prevents discrimination risks and ensures equal pay for men and women for equal work," said the Ministry of Welfare.

ALSO IN CATEGORY

READ ALSO