Eurostat: Turkey Falls Into Europe’s Lowest Minimum Wage Tier

New data from Eurostat reveal that Türkiye experienced a sharp decline in its minimum wage in euro terms in 2025, placing the country among the lowest minimum-wage countries in Europe. While the nominal wage remained unchanged throughout the year, currency depreciation led to a significant erosion in its value when measured in euros.

According to the figures, Türkiye’s gross minimum wage stood at €708 in the first half of 2025, before falling to €558 in the second half. The €150 loss over six months places Türkiye among the five lowest-ranked European countries by minimum wage, highlighting the pronounced impact of exchange rate movements on household incomes.

Exchange Rate Effects Drive the Decline

Eurostat’s methodology compares monthly gross minimum wages in euros, using average exchange rates for each reporting period. As a result, although Türkiye did not reduce its minimum wage in local-currency terms, the weakening of the Turkish lira directly translated into a steep decline in the euro’s value.

For 2025, Türkiye’s net minimum wage was set at 22,002 Turkish lira as of January 1 and remained unchanged for the entire year. However, the depreciation of the lira meant that workers effectively experienced a loss of purchasing power when wages were measured in international terms.

By the second half of 2025, Türkiye ranked fifth from the bottom among European countries in terms of statutory minimum wages, a notable shift compared with earlier periods when euro-denominated wages were temporarily higher.

Long-Term Volatility in Euro-Based Wages

Eurostat’s historical data indicate that Türkiye’s minimum wage in euro terms has been highly volatile over the past five years. In the second half of 2020, the gross minimum wage stood at €383, before declining to €347 by the end of 2021.

The downward trend continued into mid-2022, when the figure dropped further to €328. Subsequent policy adjustments and currency movements led to a partial recovery, with the wage rising to €501 in 2023 and €613 in the first half of 2024.

However, the gains proved short-lived. By the end of 2024, the euro-denominated minimum wage slipped to €568, followed by a further decline to €558 by the end of 2025. The peak level of €708 recorded in the first half of 2025 marked the highest euro value on record, but this improvement lasted only six months. In the second half of the year, the euro value of the wage fell by 21%, despite the nominal amount remaining unchanged.

Gap With the European Union Continues to Widen

When compared with European Union member states, Türkiye’s minimum wage remains significantly lower. Eurostat data show that in the second half of 2025, Bulgaria recorded a gross minimum wage of €551, placing it just below Türkiye. Albania, at €408, remained at the bottom of the ranking.

Several non-EU countries cluster around Türkiye’s wage level. North Macedonia reported €584, Serbia €618, and Montenegro €670, placing Türkiye in a similar income band to these economies rather than closer to EU averages.

In contrast, minimum wages in many Central and Eastern European EU members are substantially higher. Hungary recorded €727, the Czech Republic €841, Greece €1,027, Poland €1,100, and Lithuania €1,038, underscoring the widening disparity between Türkiye and much of the EU.

Western Europe’s Wage Levels Far Out of Reach

The gap becomes even more pronounced when Türkiye is compared with Western European economies. According to Eurostat, Germany’s minimum wage was €2,161, while the Netherlands’ was €2,246. Belgium reported €2,112, and Luxembourg topped the list with €2,704, nearly four times Türkiye’s level.

These figures highlight structural differences in income levels across Europe and reinforce the growing divergence between Türkiye and high-income EU countries in wage standards.

Currency Stability Emerges as a Key Factor

The data underscore that exchange rate stability has become a decisive factor in real income comparisons across countries. While domestic wage levels remained unchanged in Türkiye in 2025, the weakening lira led to a sharp decline in international purchasing power.

Analysts note that, without adjustments to either nominal wages or exchange-rate stability, euro-based comparisons are likely to continue to reflect downward pressure on incomes, particularly in countries with high inflation and volatile exchange rates.