Starting July 1, 2016, the minimal wages will be increased up to 7500 rubles

The bill draft No. 1031440-6 “Regarding amendments to Article 1 of the Federal Law “Regarding the minimal wage” was passed at the third hearing.

The main idea behind the change is a gradual increase of the minimal wage up to the working population’s minimum subsistence level. This is required to restore the ratio between the minimum subsistence level and the minimum wage to the level of 2011-2013 (that is, before the 2014-2015 crisis) and to lay the foundation for subsequent minimum wage growth in the following two years (2017-2018).

These changes will be relevant for around 1 000 000 employees. 87% of those benefiting from the increase are governmental and municipal employees, with the other 13% being employed in the private sector.