TAX NEWS 2022

Minimum Wage as of January 1st, 2023

Barbora Palenikova

The Ministry of Labour, Social Affairs and Family of the Slovak Republic by Notification no. 300/2022 Coll. On August  27th, 2022 passed the draft bill provided for an increase in the minimum wage as of January 1st in the following manner:

  • Monthly minimum wage is to reach the amount of € 700
  • Hourly minimum wage is to reach the amount of € 4.023

Comparison of minimum wage in 2022 and 2023:

  2022 2023
  Applicable as of January 1st 2022 Proposal to be made applicable as of January 1st 2023
Legislation Act on minimum wage no. 663/2007 Coll. and Act No. 311/2001 Coll. - Labour Code, Notice No. 353/2021 Coll. Act on minimum wage no. 663/2007 Coll. and Act No. 311/2001 Coll. - Labour Code, Notice No. 300/2022 Coll.
Minimum monthly wage € 646 € 700
Minimum hourly wage € 3.713 € 4.023

An overview of minimum hourly wage under various shift regimens:

Weekly working hours Hourly minimum wage
40 hours – single-shift operation € 4.023
38.75 hours – two-shift operation € 4.153
37.5 hours – three-shift operation € 4.291

MINIMUM WAGE AND ITS IMPACT ON MINIMUM WAGE ENTITLEMENTS AS OF JANUARY 1st, 2023

An employer whose employee compensation is not negotiated in a collective agreement shall be obliged to provide the employee with a wage at least in the amount of the minimum wage entitlement determined for the labour difficulty rating of the respective employment position.

It simultaneously results from the above that the employer must classify each position under a specific category of labour difficulty rating, which depends on the complexity,  responsibility  and laboriousness of work in compliance with the labour difficulty rating characteristics as provisioned by the Annex no 1. of the Labour Code.

Note:  Only employees working under regular employment contract shall be entitled to minimum wage pursuant to labour difficulty ratings above. Employees working under an agreement outside the scope of employment contract shall only be entitled to the minimum wage.

Mechanism for determining minimum wage entitlements for 2023:

In comparison to 2022, the change in the calculation of minimum wage entitlements in 2023 will mean that for each level of work difficulty, the minimum wage entitlement will increase by €54.

Hourly minimum wage entitlement for a particular degree of labour difficulty rating with 40 work hours per week shall be calculated as 1/174 from the minimum wage entitlement calculated for employees remunerated with monthly wage.

An overview of minimum wage in 2022 and 2023 depending on the degree of labour difficulty rating:

For the sake of comparison, we present thew overview of minimum wage in 2022 and 2023 depending on the degree of labour difficulty rating with working time comprising 40 work hours per week.

Degree of labour difficulty rating Minimum wage coefficient  Monthly minimum wage in 2022 Monthly minimum wage in 2023 Monthly minimum hourly wage in 2022 Monthly minimum hourly wage in 2023
1. 1.0 € 646 € 700 € 3.713 € 4.023
2. 1.2 € 762 € 816 € 4.379 € 4.690
3. 1.4 € 878 € 932 € 5.046 € 5.356
4. 1.6 € 994 € 1.048 € 5.713 € 6.023
5. 1.8 € 1.110 € 1.164 € 6.379 € 6.690
6. 2.0 € 1.226 € 1.280 € 7.046 € 7.356

WAGE BENEFITS FROM JANUARY 1st 2023

Below, we provide the introduced amounts of wage supplements effective from January 1st 2023:

Minimum amount of hourly wage supplements in 2023 determined as a fixed amount:

Category of the hourly wage supplement - overtime and other premiums Fixed amount of hourly wage supplement Fixed amount of reduced hourly wage supplement *
Supplement for working on Saturdays €1.79 €1.61
Supplement for working on Sundays €3.58 €3.22
Supplement for working overnight – no-risk profession €1.43 €1.25
Supplement for working overnight – risky profession €1.79 -
Supplement for working during holidays (agreement) €3.58 -
Supplement for complicated performance of work €0.72 -
Supplement for non-active stand-by status €0.72 -

* In case of regular performance of work on Saturday, Sunday, and overnight there a possibility to agree on a lower amount of wage supplement