This is stipulated by the regulations adopted at the government meeting on Tuesday, October 29, titled "Amendment to the Cabinet of Ministers Regulations No. 656 of November 24, 2015, 'Regulations on the Minimum Monthly Wage within Normal Working Hours and Calculation of the Minimum Hourly Tariff Rate.'"

Minister of Welfare Uldis Augulis emphasizes: "Next year, the minimum monthly wage will increase by 40 euros. We are beginning the transition to a new system, where the minimum wage will be set as a percentage of the average wage in the country. This will undoubtedly improve the financial situation and living standards of lower-paid employees."

The adopted regulations apply to employers and employees. According to data from the Central Statistical Bureau (CSB) on the number of employees with income up to or at the level of the minimum wage, in 2023, out of 131,584 employees in the private sector, 99,270, or 18.6% of those employed in the private sector, earned the minimum wage, while in the public sector, there were 29,012 employees, or 12.6% of those employed in the public sector.

Between 2020 and 2023, the share of employees earning the minimum wage or less in the public sector slightly increased from 10.4% in 2020 to 12.6% in 2023, whereas in the private sector, the proportion of those earning the minimum wage decreased from 21.2% to 18.6%.

In 2023, there were 822,489 employed people in Latvia.