The minimum wage in 2020 for full-time work from January 1, 2020 is 940.58 euros (gross).
With the adoption of the amendment to the Minimum Wage Act, the minimum wage for full-time work from 1 January 2019 will increase from the current 638 euros net to 667 euros, and from 1 January 2020 to 700 euros (940.58 euros gross). Act on Amendments to the Minimum Wage Act (Uradni list RS, no. 83/18) as of January 1, 2020, excludes from the definition of the minimum wage all allowances determined by laws and other regulations and with collective agreements, part of the salary for work performance and payment for business performance, agreed with a collective agreement or an employment contract.
With the amendment, a formula will be used to calculate the minimum wage from 1 January 2021, namely that the minimum full-time salary must exceed the calculated minimum living expenses by 20 percent. With the amendment, the upper limit of the minimum wage was also adopted, namely that it should not be higher than 40 percent of the minimum cost of living.
The newly determined amount applies to work performed from January 1 onwards.
Minimum wage structure
An employee is entitled to be paid for work performed at least in the amount of the minimum wage if he works full time for an employer in the Republic of Slovenia. In the case of shorter working hours than full time, the employee is entitled to at least a proportional part of the minimum wage.
It follows from the basic legal diction that the minimum wage includes all elements of the wage, as stated in the Labor Relations Act, i.e. the employee’s basic wage for a given month, the part of the wage for work performance and the allowances that belong to it, except for the allowance for work over full-time time. In addition, the Act on Amendments to the Minimum Wage Act (Official Gazette of the Republic of Slovenia, No. 92/2015) exempted from the minimum wage three more allowances for work in special working conditions, which result from the distribution of working hours, namely:
- allowance for night work,
- supplement for work on Sunday and
- supplement for work on holidays and days off by law,
which began to be billed for payment of work done from 1 January 2016.
In addition, it is also not possible to include in the minimum wage reimbursements of expenses that the employer is obliged to pay to the employee (e.g. reimbursement of expenses for food during work, for transportation to and from work, expenses on a business trip), as well as other benefits from work relations (e.g. holiday pay, severance pay, jubilee awards).
Act on Amendments to the Minimum Wage Act (Official Gazette of the Republic of Slovenia, no.83/18) as of January 1, 2020, excludes all allowances from the definition of minimum wage , determined by laws and other regulations and by collective agreements, part of the salary for work performance and payment for business performance, agreed with a collective agreement or an employment contract.
Source: MDDSZ