Finance Minister Petrit Malaj

Private Sector Has to Follow Pay Raise; Malaj

Minister of Finance Petrit Malaj said on Wednesday in a press conference that the average gross salary in the public sector in the third quarter of 2024 reached about Euro 968 or 15% more compared to the same period a year ago.

Malaj said that the wage reform undertaken in 2023-2024 brought higher wages in the education, health, security, order, and defense sectors.

"The average gross monthly salary, which includes the private and public sector, from Lek 45,000 in 2013 has increased to Lek 77,600 for the third month of 2024, increasing by 2.3 times.

The average monthly salary in the public sector has increased from Lek 52 thousand in 2013 to Lek 96,850 in the third quarter of 2024.

In pre-university education, the average gross salary reached over Lek 103,000 per month, compared to Lek 62,000 in 2013.

The average salary for a doctor is Lek 150,000 per month, up from Lek 70,590 in 2013. The average salary for a nurse is Lek 87,000, up from Lek 40,000 in 2013. The average salary for police officers is Lek 106,000, excluding other benefits for food and uniforms.

According to the Finance Minister, the reform of salary increase in the public sector had a financial effect of Lek 40 billion or Euro 400 million.

"The increase in wages is attracting more workforce, which can help us in the future in demographic issues. In this challenge, the private enterprise also has an important role, which will have to reflect the same dynamics of salary increase, as has been done in the public sector," Malaj said, adding that the upward trend of salaries is also being reflected in the private sector. "If we compare the third quarter of 2024 with the same period of 2023, salaries in the private sector have increased by 5.3%. Also, the private sector will be forced to follow the upward trend, if it has to be competitive in the labor market," he said.

The Minister of Finance, responding to the interest of journalists, also spoke about the results of the informal action that started in October. According to him, until now there have been positive reflections from businesses on the correction of salary statements.

"The positive pressure exerted by the government and the fight against informality will have positive effects. The Tax Directorate operates in three phases. There was a first and second notification for those who did not reflect the real salary in the payroll. Subjects who did not respond even after the second notification are being contacted personally. At the end of this, we are expected to have results. But as a whole, businesses have reacted positively to this action," said Malaj.

Furthermore, Minister Malaj, emphasized that this year's budget will be reviewed within this month, and due to the good performance of the income, a fund will be allocated to cover the spring bonus for pensioners.

Regarding the performance of the labor market in the third quarter of the year, the Minister emphasized that the government's objective was met and the average salary in the public sector was recorded at the level of Euro 978, thus making an appeal for the private sector to follow this trend.