April 17, 2023

The methodology for determining the minimum wage will be changed in Kazakhstan

The Ministry of Labor and Social Protection of the Population of the Republic of Kazakhstan, together with the World Bank, is finalizing the development of a comprehensive plan for the development of the labor market until 2030. This was announced by the head of the department Tamara Duissenova at a Government meeting.

“The main guideline of the Plan will be the creation of high-quality jobs that are characterized by stable employment, the level of remuneration in the amount of at least the median salary in the region, the availability of social guarantees and workplace safety,” Tamara Duissenova said.

To this end, according to the Minister, measures will be presented to develop the legislative framework for employment, measures to address sectoral barriers and regional disparities related to employment.

The Minister also said that work is being completed on the development of a new methodology for determining the minimum wage.

“Currently, the Ministry, together with experts from the World Bank, has prepared a draft Methodology for determining the size of the minimum wage. The size of the minimum wage will be determined based on the median salary and labor productivity. This approach makes it possible to establish a clear relationship between the income of employees and the volume of goods, works and services produced. To date, the draft Methodology is undergoing the approval procedure with interested government agencies and social partners. By July 1 of this year, appropriate amendments to the Labor Code will be prepared to legislate the Methodology,” Tamara Duissenova summed up.

On December 1– the Head of State signed the Law of the Republic of Kazakhstan “On the republican budget for 2023-2025”. The document defines the main calculation indicators. According to the Law, from January 1, 2023, the minimum wage (minimum wage) for 2023 is 70 thousand tenge.

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